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Wholesaling real estate can be an extremely lucrative business, but it requires dealing with motivated sellers who often have objections. In this post, we'll go over the top 10 seller objections that wholesalers face and how to handle them smoothly.
What is Wholesaling?
Are you looking to get started in real estate wholesaling? Wholesaling involves finding distressed properties, putting them under contract at a wholesale price, and then assigning that contract to a real estate investor for a finder's fee. It's a great way to get your foot in the door of real estate investing without needing a lot of capital.
However, one of the most challenging parts of wholesaling is negotiating with motivated sellers who have objections. Sellers will throw all kinds of objections your way to avoid saying "no" directly. Handling these objections smoothly is crucial to closing more deals.
We will dive into this topic with one of the experts, Jennie Hudspeth, who has extensive experience in acquisitions for real estate companies doing 1,000+ deals per year. She's now a sales trainer, so she knows all the tricks for overcoming seller objections.
Let's dive right into the top 10 objections and how Jennie recommends responding:
1. "Let Me Talk to My Spouse First"
This is a common seller objection they will throw at you, trying to delay the decision or avoid saying "no" directly. Here are some ways Jennie recommends responding:
- Say this is usually a polite way of saying "no" - dig deeper into what the actual concern is
- Ask how the conversation with their spouse will be different than previous talks about selling
- Get them to explain how they think the spouse will respond so you can address concerns ahead of time
- If they insist they really do need to talk to their spouse, set clear expectations for follow-up
The key is digging deeper to uncover the real concern rather than taking the objection at face value. Don't let them use a spouse as an excuse to delay or avoid a decision.
2. "Let Me Think About it"
Similar to the spouse objection, "let me think about it" is usually a polite way to say "no" without directly rejecting you. Here are Jennie's tips for responding:
- Ask what exactly they need to think about - get specifics
- Say time doesn't equal a better decision, more information does. What info do they need?
- Acknowledge it's not a small decision to sell a home, but what exactly is their concern?
- Say you failed to provide enough info upfront if they need more time and find out what exactly they need
The more you can get them to open up about specific concerns, the better chance you have at addressing objections directly and closing the deal.
3. "I'm Not Ready to Sell"
Sometimes motivated sellers will admit they need to sell eventually, but claim they aren't ready yet. Here are effective responses:
- Find out why they aren't ready yet - financial, emotional, or logistical reasons?
- If financial, address their needs head-on. If emotional, provide resources. If logistical, offer to help.
- Explain most sellers consider three factors: money, time, and energy. How will waiting impact those things?
- Ask what they expect to happen if they wait - will the reasons they can't sell now change?
- Offer to keep in touch on a defined timeframe (e.g. 2 months) as they get closer to being ready
The more you understand the reasons for reluctance, the better you can tailor your responses and offers to their specific situation.
4. "I Can't Talk Right Now"
This rejection over the phone is common when cold-calling sellers. Jennie suggests these approaches:
- Acknowledge you caught them at a bad time and apologize
- Ask directly if they want you to call back later to discuss selling or if you're bothering them
- Say you've called X times already and assume you're bothering them - ask directly if they want to sell
Being direct with a dash of humor can help get a clear answer from sellers who try to brush you off over the phone. It also shows respect for their time.
5. "Can You Call Me Back?"
Similar to the previous objection, this is a brush-off over the phone. Respond by:
- Saying they probably don't want to seem rude but you've called many times already
- Asking bluntly if they actually want you to call back or if you're better off moving on
- Making it clear you want to respect their time and stop calling if they aren't interested
Sellers will often try to end calls without saying "don't call again." Make it easy for them to tell you not to call back if that's what they prefer.
6. “I Need to Make Repairs Before Selling"
Some sellers think they need to make significant repairs to get top dollar. Here’s how to respond:
- Ask what outcome they expect from repairs - higher sale price?
- Discuss estimated costs in terms of time, money, and energy repairs will require
- Ask what happens if repairs don't increase the sale price as much as they cost
- Offer to sell "as-is" and let buyers handle repairs to save them time and energy
Paint a clear picture of how much repairs cost in total - not just money. Then make your "as-is" offer seem like the easier, faster option.
7. "Zillow Says My House is Worth More"
Sellers who rely on Zestimates may think their house is worth far more than your offer. Fight this by:
- Noting Zillow shows a wide range, and asking where they feel their home falls in the range
- Reminding repairs and selling costs will eat into the final number
- Acknowledging you aren't paying retail prices, but offering speed and convenience
Bring up Zestimates early on so you can set accurate expectations. Sellers who insist top dollar is all that matters likely won't accept a wholesale offer.
8. “I’m Not Interested”
Some sellers will simply say they aren’t interested when you engage them about selling. Don’t give up too quickly.
- Acknowledge they’re probably getting bombarded with calls from many investors
- Ask if they’ve considered selling even if they aren’t interested now
- Explain you’re a local investor buying properties in the area, just exploring options
- Circle back after some time has passed in case circumstances change
Even firm rejections might turn around once the seller has some distance from the initial call. Follow up respectfully to see if anything changes.
9. “I Have Another Offer Coming In”
Sellers will sometimes claim there’s another offer on the way, trying to start a bidding war. Respond by:
- Acknowledging most sellers will look for the best price (don't take it personally)
- Explaining your company values a smooth process and meeting expectations over nickel-and-diming
- Offering to review the other offer once received and potentially match it
Avoid getting sucked into a bidding war whenever possible. Be ready to walk away if sellers seem committed to dragging multiple investors through endless offer rounds.
10. “Call My Agent”
Some sellers will simply refer you to their real estate agent, hoping to brush you off. To counter this:
- Note working with an agent will likely get them the highest price, but take more time
- Explain you're able to pay cash and close quickly, avoiding mortgage and inspection issues
- Offer to coordinate with the agent and make an offer through them
- If they still refuse, respectfully withdraw but ask to check in again if circumstances change
Make it clear you can add value even when an agent is involved. Some deals may still be possible.
Conclusion
Learning responses that dig deeper into objections rather than accepting vague answers is key to overcoming the top 10 seller objections in wholesaling.
With the right tactics, you can uncover the true concerns behind objections and close more deals even with reluctant or resistant sellers. Study these objections and responses as a foundation, then refine your skills further as you gain more experience speaking with sellers.