How to Explain Your Fee to a Motivated Seller Without Losing the Deal

This article shows you how to explain your fee to a motivated seller the right way, without sounding shady, defensive, or desperate.

Blogs

Jul 31, 2025

You’ve had a great conversation. The seller likes you. The numbers make sense. You’re close.

And then… they find out you’re not the one buying the property, or that you’re making $20,000 on an assignment.

Now they’re hesitant. Confused. Maybe even offended.

If you don’t know how to handle this moment, you lose the deal.

But if you do it right, with honesty, clarity, and confidence, you not only save the deal, you build more trust.

This article shows you how to explain your fee to a motivated seller the right way, without sounding shady, defensive, or desperate.

Why Sellers React Badly to Your Fee

Here’s what most wholesalers misunderstand:

Sellers don’t get mad because you’re making money.

They get mad because:

  • They didn’t know

  • They feel left out

  • Or they think they could’ve gotten more

It’s not the dollars, it’s the surprise.

When sellers feel like they’re being manipulated or left in the dark, even a $5,000 fee feels offensive.

When they feel informed and respected?

They’ll bless a $25,000 assignment without flinching.

Let’s unpack the right way to handle it.

Understand You Deserve to Get Paid

If you’re solving a problem, bringing the buyer, managing the transaction, and helping them get to the finish line, you’re providing real value.

You’re not scamming them. You’re not “getting one over.”

You’re earning a margin the same way a contractor, agent, or business owner does.

That mindset matters, because if you’re uncomfortable with your fee, they’ll feel that energy.

The 3 Rules of Talking About Your Fee

Don’t hide it, but don’t lead with it either.

Wait until the seller is bought in on the solution.
Then be clear and confident about how you get paid.

Always link your fee to the problem you’re solving.

Don’t justify the dollar amount, explain the outcome you’re delivering.

Use language they already understand.

Don’t try to “sell the assignment process.”
Use real-world parallels they get, like hiring a contractor, paying an agent, or using a concierge.

5 Situations Where Sellers Ask About Your Fee (and How to Respond)

Let’s get tactical. These are the five most common scenarios where your fee comes up, and how to handle each one.

They Ask, “Wait, Are You the Buyer?”

What they’re really asking:

“Are you flipping this contract?”

Wrong response:

“Well, technically, I have the right to assign it to a third-party end buyer as outlined in the purchase and sale agreement…”

Right response:

“Sometimes I buy properties directly. Other times I bring in a partner who funds and closes the deal. Either way, the process is the same for you, same price, same terms, and I stay involved until the end.”

If they dig deeper:

“I get paid a fee for coordinating everything and bringing the right people to the table. That’s how I run my business, just like a contractor or agent earns for their time and connections.”

They See Your Fee on the HUD (and Flinch)

What they’re feeling:

“I didn’t know you were making that much.”

Wrong response:

Total silence, or acting shocked, they noticed.

Right response (if you didn’t pre-frame):

“That’s my assignment fee. It covers everything I’ve done to make this happen, from bringing you the buyer, handling the paperwork, and coordinating the close. Your price and payout don’t change, and I don’t get paid unless this closes smoothly.”

Or, better yet: pre-frame it so this moment never becomes an issue.

They Say, “That’s a Lot, Couldn’t I Just List It?”

What they’re really asking:

 “Did I leave money on the table?”

Wrong response:

“Sure, but then you’d have to wait 3 months, fix everything, and deal with showings…”

Right response:

“You definitely could list it. But most listed homes sit for weeks, have buyer inspections, and fall out of escrow. What I’m offering is speed, certainty, and no repairs. That’s what my fee covers.”

And if the deal’s thin?

“If you want to try listing first, I totally understand, and I can even connect you with a great agent. If it doesn’t sell, feel free to call me back.”

This removes pressure, and puts the ball in their court.

They Say, “How Much Are You Making on This?”

What they’re really saying:

“Can I trust you?”

Wrong response:

“Uh… I’d rather not say.”

Right response (if you're okay disclosing):

“I make a fee of around $12K for putting this together. That includes finding the buyer, managing the title process, and getting it across the finish line. It’s not money for nothing, it’s payment for making your sale simple and quick.”

If you're not okay with disclosing the amount:

“I make a margin for making this deal happen. It covers all the coordination, time, and resources. That said, your number is locked in, and that doesn’t change regardless of my fee.”

The key here: don’t act guilty.

Say it like it’s normal, because it is.

They Bring It Up Before You Do

Some sellers are more savvy. They’ve watched YouTube videos. They’ve talked to others.

Wrong response:

Deny, deflect, or stall.

Right response:

Yeah, this is a wholesale deal. You and I agree on a price, and I assign it to a partner of mine who does the rehab or buy-and-hold. You still walk away with exactly what we agree on, and I make a margin for solving the problem.”

If they respect your honesty, great. If not, it wasn’t your deal anyway.

Use Motivation Data to Know When to Bring Up Your Fee

Inside Goliath Data, you’ll see:

  • Seller timeline

  • Equity position

  • Property condition

  • Communication signals (texts, call logs, etc.)

This helps you predict whether:

  • You should explain your fee early

  • You can wait until after the contract

  • Or you should prep for pushback (and have your script ready)

Smart reps use this data to tailor the conversation, not wing it.

When to Mention Your Fee (and When to Keep It Simple)

There’s no universal rule. But here’s a good framework:

Seller Type

When to Mention

High-trust, fast-moving

After the offer

Analytical, agent-savvy

Before the contract

Price-sensitive, slow-moving

Pre-frame it early

In distress, focused on speed

After terms are locked in

The more motivated they are, the later you can introduce it.

The more cautious they are, the earlier you need to earn trust.

How to Pre-Frame Your Fee in the First Conversation

A simple way to avoid surprises:

“I’m an investor, sometimes I buy properties directly, and sometimes I bring in a partner who funds the deal. Either way, I make a small margin for coordinating everything. That’s how I stay in business, and I’m happy to walk you through exactly how it works if you’re ever curious.”

No pressure. No weird language.

Just clarity and confidence.

What NOT to Do

Let’s talk about the stuff that kills deals:

  • Don’t dodge the question

  • Don’t act defensive or apologetic

  • Don’t dump technical language they don’t understand

  • Don’t make up numbers to justify your fee

  • Don’t pretend you’re doing this out of charity

Be honest. Be specific. Be proud of your value.

When Your Fee Is Too High

This is rare, but it happens.

If your assignment fee is more than 50% of what the seller’s walking away with, you’d better have a strong justification.

Ask yourself:

  • Is the seller getting a fair deal based on condition and timeline?

  • Did I provide unique value (e.g., saved them from foreclosure, closed in 3 days, handled all cleanout)?

  • Could this come back to bite me later?

If you’re not sure, maybe it’s time to renegotiate or double close.

It’s Not the Fee, It’s the Framing

Most sellers don’t hate the fact that you’re making money.

They hate the idea that:

  • They didn’t know

  • You weren’t honest

  • Or they could’ve gotten more if they “cut you out”

Your job isn’t to hide your fee.

It’s to make your role feel clear, valuable, and necessary.

When you do that, the assignment check at closing feels earned, not stolen.

And the seller? They walk away saying, “That was the smoothest deal I’ve ever done.”

Written By:

Austin Beveridge

Chief Operating Officer

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Join Thousands Of Satisfied Operators

Discover why top teams rely on Goliath to find motivated sellers. Get everything you need to prospect, nurture, and close more deals.

679

Live Users

$
23
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Closed Deals

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%

Satisfaction Rating

11
+

Markets Live

Discover

Join Thousands Of Satisfied Operators

Discover why top teams rely on Goliath to find motivated sellers. Get everything you need to prospect, nurture, and close more deals.

679

Live Users

$
23
M

Closed Deals

11
%

Satisfaction Rating

11
+

Markets Live