How Wal-Mart Can Help You Keep Your Commission – NMP Skip to main content

How Wal-Mart Can Help You Keep Your Commission

Bubba Mills
Sep 01, 2016

“To give real service you must add something which cannot be bought or measured with money, and that is sincerity and integrity.”—Douglas Adams

Let’s start with a question: How long do you think Wal-Mart would stay in business if it began raising its prices?

What do you think? My guess is it would join the dinosaurs quicker than the Edsel, New Coke and all the other colossal blunders of business. Why? From the day Wal-Mart began, it was about price and it’s remained about price every day since. There’s nothing wrong with that. The company has cemented its place in the Hall of Fame of business based solely on that strategy. But here’s what all mortgage lenders need to remember: Wal-Mart can NEVER raise its prices. It will forever be in the business of cutting costs at every turn it ever takes from now to eternity.

So what does this have to do with you? Well, if you like your commissions on the higher side instead of the lower side, it has everything to do with you and your future in this industry.

How do you deal with a borrower who tells you they want you to lower your commission? The first thing you can do is do exactly as you were asked–you can lower your commission. You can become the Wal-Mart or K-Mart of mortgage lending. But just know this: You just jumped aboard the cost-cutting train and guess what? There’s not a ticket off that train. Happy travels through the land of offering limited services to your future clients.

Now, if you are more interested in not being a limited service provider, stick with me. Welcome aboard the train for professionals–where you distinguish yourself with your competence and unparalleled service. This is where, when a borrower asks you to lower your commission, you’re able to say, “Sorry, I’m not a limited-service provider. I give my clients 100 percent of myself because I believe they deserve it, and over the years, I’ve learned I’m worth every penny.”

Then back up your position with these tips:


1. Do the math: Prove to borrowers you are indeed worth every penny by showing your past performance.


2. Share everything: Share all (and I mean everything), you’ll be doing to earn your commission. A lot of borrowers simply don’t understand what mortgage lenders do. Educate them.


3. Illustrate your understanding of the market: If you say you’re worth the commission, prove it by sharing the intricate details of the current lending market with local economic insights.


4. Let others speak for you: For some people, you can talk all day long about the numbers and data and still not get the sale. Why? They want what in marketing is called “social proof.” In a word, that means testimonials. Always have them on hand.


I’ll close with this advice: Sell yourself, just don’t sell yourself cheap, because when you do, you stay cheap.

Bubba Mills is CEO of Corcoran Consulting & Coaching Inc. He may be reached by phone at (800) 957-8353 or visit

This article originally appeared in the August 2016 print edition of National Mortgage Professional Magazine. 

Sep 01, 2016
Chairman Xu Sells Off Personal Assets To Avoid Default

The Evergrande saga continues as Chairman Xu Jiayin sells off 7 billion yuan ($1.1 billion) of his personal assets to prop up the deflating property giant.

Industry News
Nov 23, 2021
OptiFunder Secures $25 Million In Capital

OptiFunder, a warehouse management system provider for mortgage originators, raised $25 million in additional capital lead by Arthur Ventures, a growth capital firm focused on high-growth, founder-led and capital efficient B2B software companies.

Nov 23, 2021
Mortgage Company Donates $100K To High School In Memory Of Fallen U.S. Navy Corpsman

Cleveland-based CrossCountry Mortgage donated $100,000 to Milan Edison High School in memory of U.S. Navy Corpsman, Maxton W. Soviak, who died while assisting in the evacuation of Americans and refugees in Afghanistan in August.

Nov 23, 2021
MISMO Seeks To Standardize Pre-Closing Title Data

Forming workgroup to focus on standardizing document datasets to streamline process and increase efficiency.

Industry News
Nov 23, 2021
Pandemic's Impact On Real Estate Around The World

Although the impact of the COVID-19 pandemic on the real estate industry has been well-documented within the United States, it’d be prudent to know how the global event impacted other countries as well. 

Industry News
Nov 22, 2021
Housing Market Potential Strengthens Modestly

First American Financial Corporation's Potential Home Sales Model for October 2021 reported that potential existing-home sales increased 0.1% month-over-month to 6.27 million, with household formation continuing to grow, largely driven by millennials.

Analysis and Data
Nov 22, 2021