Home buyers seem to expect deep discounts, deals and financial incentives. Almost daily, the media reports that it’s a buyer’s market and that inventory exceeds demand.

Many prospective buyers actually view discounts and deals as a form of entitlement, as a benefit they deserve because they believe they’re one the few active buyers in the market.

So, when they tell you that your home costs too much, your competition is giving bigger discounts or the classic, “You’ll have to do better than that,” as your frustration compounds, how should you respond?

To begin, it’s crucial that you realize that their objection to the price is not really an obstacle to their buying one of your homes. In reality, their objection is your opportunity to substantiate the value of your home and neighborhood, compared to your competition, and to validate your price.

You can overcome their objections through the following scenarios:

The Home’s True Worth

Your prospect tells you that your competition is selling homes for $20,000 less than yours or giving $20,000 discounts on all their homes, and that there’s nothing but for-sale signs up and down the street.

You can respond by first asking if they intend to make the largest investment of their life based purely on incentives or how much the home is discounted.

Then follow up with, “Every builder wants to get the maximum selling price for their homes. So, are you really getting a discount or is their discounted price all the home is really worth?”

The Buyer’s True Objections

Or, without wanting to appear discourteous, you can ask them why they haven’t bought the house if it is available at such a great price.

They may respond by saying that they like the price but prefer a different neighborhood or community or that the floor plans aren’t exactly what they want.

The True Difference in Price

Another tactic you can pursue is to relate the $20,000 price difference over the long term to an easily identifiable common purchase that the prospective buyer can forego once a day.

For example, while explaining that $20,000 may seem like a lot, you can hand them a calculator and help them determine that the difference is about $140 a month (depending upon prevailing rates) or $4.67 a day — about the price for bottled water or a latte.

Once you establish that, you can ask them if $4.67 or a latte a day will stand in the way of owning the home they really want and deserve.

Reaffirm Their Decision

People buy based upon perceived value.

Although they won’t admit it, your home buyers probably will be relieved to learn that you and your builder value their new home enough that you won’t readily discount its price to anyone.

When everything is said and done, this will reaffirm for your home buyer that they made the correct choice, one based on lifestyle choice rather than upon discounted pricing.

Myers Barnes, MIRM, of Myers Barnes Associates, Inc., is an acknowledged leader in global new-home sales. Known worldwide as one of the industry’s top authorities in sales, management and mega-corporate profits, he has counseled countless companies serving multicultural communities. He is an on-site mentor, public speaker, author and teleconferencing business coach. For more information, visit www.myersbarnes.com/; or email Barnes or call him at 252-261-7611.

A version of this article originally appeared in Sales + Marketing Ideas magazine.

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