Hi, Looking to buy a home from the k hovnanian. Curious to know what their compensation structure is for their salespeople to know how to properly negotiate. For example if they are compensated based on margin then they are not incented to give you any discounts vs. if they are given a fixed comission based on each home sold.
any insights? if not k hovnanian, please feel free to comment about other builders.
Thanks in advance for taking the time to respond.
The highest pay is 1.5% commission on the base price of the house. Not too many builders are paying top dollar today, but the good times might come back.
The lowest is apx $40,000 per year fixed salary with 2 days off per week.
The absolute lowest pay if for "hostesses" who don’t have a realty license but who just keep the doors open. That is minimum wage and frustrating because buyers want information and a hostess is not allowed to answer real estate questions.
The sales consultants are given their marching orders every Monday morning about what discounts they can offer that week. If you want discounts above what everyone else is getting; ask for the Sales Manager’s phone number. You have to offer something in return…. maybe non-refundable earnest money or a quick closing.
March 1st, 2010 at 5:58 pm
The highest pay is 1.5% commission on the base price of the house. Not too many builders are paying top dollar today, but the good times might come back.
The lowest is apx $40,000 per year fixed salary with 2 days off per week.
The absolute lowest pay if for "hostesses" who don’t have a realty license but who just keep the doors open. That is minimum wage and frustrating because buyers want information and a hostess is not allowed to answer real estate questions.
The sales consultants are given their marching orders every Monday morning about what discounts they can offer that week. If you want discounts above what everyone else is getting; ask for the Sales Manager’s phone number. You have to offer something in return…. maybe non-refundable earnest money or a quick closing.
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