Posted by MaggieMae_CA on 6/3/05 12:13pm
Msg #42090

Negotiating fees (Am I low or too high?)

I have a few companies who have started calling me on a regular basis. The fees I've received from them have ranged from $75 to $125 per signing. There are different schedulers calling from each of these companies and I'm trying to figure out the rhyme and reason as to the fees they're offering.

Susie from Company A calls and she will always how much my fee is. I'll quote $125 and she always says no, I can only give you $100.

Steve and Joe from Company A call and will as about my fee. I'll quote $125 and they approve it on the spot.

In all instances the lenders are different so I can't say XYZ Mortgage pays $125 and ABC Mortgage pays $100.

For Susie, my quote is too high and because Steve and Joe approve the fee I quote without hesitation I feel like I've quoted to low.

This isn't just one SS I'm finding this with, there are 3 different SSs I'm working with where this happens.

Any advice or words of wisdom would be most appreciated!

Reply by MaggieMae_CA on 6/3/05 12:16pm
Msg #42091

"ask" "ask" "ask"!!!!

Have no idea why I am missing the word "ask" in my posting. BRAIN FART!

Grammar and spelling police, please don't bring out your cat n nine tails.

Reply by Nicole_NCali on 6/3/05 12:45pm
Msg #42096

Keep a set price..it eliminates the second guessing

Maggie,

after perusing this board for over a year, one piece of advice has been invaluable, set a price and stick with it. Just because a SS doesn't blink when you quote $125 shouldn't mean anything to you. This SS may have over 300 orders per month with the title company and may charge $200 per loan, the other ss may only get a few and are looking at their bottom line.

Essentially, you are running a business. Only you know what your profit goal is and therefore only you will know what is your minimum price for the services you provide.

Let me give you an example: Chevron on J street price for gas per gallon is $2.45, this price does not change for different drivers or because one driver is more affluent than the other.

Figure out your profit goals and price accordingly. Assess your competition and how much human energy you are willing to lend to your endeavor. It doesn't make sense to charge $50 per signing when it will cost you $35 in material and human effort to make a $15 profit where as if your drop dead price is $75, with the same effort, your profit will be $40.

Simple economics (micro economics)

Reply by MaggieMae_CA on 6/3/05 12:53pm
Msg #42099

Thanks Nicole

I'm not dissatisfied with the $100 or the $125 fees, both are fine with me. What's confusing me is the fact that I'm dealing with the same company and getting different fees from different schedulers. Why would one schedule max at $100 and the other two (from the same company) are approving $125?

Reply by Bob-Chicago on 6/3/05 1:02pm
Msg #42100

I disagree

have them make the first offer
I they are higher than you need, you can accept and are ahead of the game
if lower than you need, then you can then try to negotiate upward
I find that i am better off having a flexible fee schedule based on many factors which I don't have time to get into now
good luck

Reply by Alabama on 6/3/05 1:40pm
Msg #42108

Re: I disagree

I always tell them you paid me X amount of dollars last time, so that will be fine now. I always look back and see what I charged on my last appt with the company.

Reply by janCA on 6/3/05 2:27pm
Msg #42122

Re: I agree with Bob

I don't have a set fee schedule and I'm amazed at what some companies will pay, and I'm talking title, lenders, etc. With signing services, I like the negotiating process and more times than not, they will accomodate my fee.

Reply by BrendaTX on 6/3/05 3:38pm
Msg #42130

Grammar Police !!!

Maggie, I made perfectly good sense of your post w/o "ask" in it.

In fact, I never missed the ask...however, I would like to invite you to join me, Cali, and Jon at the 12 Step Program for compulsive correction makers.

Before you know it, you will be able to use the wrong tense, leave out words, and make typos with the greatest of ease.

Reply by MaggieMae_CA on 6/3/05 3:54pm
Msg #42134

Brenda... I graciously accept the invitation n/m

Reply by SarahBeth_CA on 6/3/05 4:16pm
Msg #42138

Re: Grammar Police !!!

I skipped the 12 step and got a little tough love delt to me by the means of 8 stitches to the hand. It took 3 edits just to post this.

Reply by MaggieMae_CA on 6/3/05 4:25pm
Msg #42140

SarahBeth... Bless your heart

I'll pray for you (and me)... lol

Reply by SarahBeth_CA on 6/3/05 4:28pm
Msg #42144

Re: SarahBeth... Bless your heart

Thanks, I could realy use the prayers. I was hoping to be able to sign my name by now, but it's gonna be a couple more days before I can.

Reply by Lt. Gerund Nown, Usage Div. on 6/3/05 4:27pm
Msg #42143

Re: Grammar Police !!!

MaggieMae_CA pleads:

***Have no idea why I am missing the word "ask" in my posting. BRAIN FART!
Grammar and spelling police, please don't bring out your cat n nine tails.***

Some days it doesn't pay to roll over, much less get up. It's cat-o'-nine-tails.

Reply by MaggieMae_CA on 6/3/05 4:36pm
Msg #42150

Lt.

You spell it potatoe... I spell it potato

WHIP!

Reply by SarahBeth_CA on 6/3/05 4:38pm
Msg #42152

Re: Lt.

and I spell it spud.

Reply by Lee/AR on 6/3/05 2:34pm
Msg #42124

If anyone ever figures it out, PLEASE POST! There doesn't seem to be any logic behind some of this things I've encountered. Last week, with 'ABC", X$ was fine. This week, they want me to go twice as far for less money. Go figure. I sure can't~~ Which is why both Bob & Janet make a good point: ALWAYS negotiate...or, at the very least, let them make the 1st offer.

Reply by Charm_AL on 6/3/05 2:42pm
Msg #42126

different lenders?

I've asked and been told that "This particular lender doesn't pay as much as the last one did".
It seems to me that some lenders set the fees that they will pay to the SS. whom in turn keeps a percentage indicative of what service(s) they provide.

Does that make sense or am I way off?

Reply by SarahBeth_CA on 6/3/05 3:49pm
Msg #42132

Re: different lenders?

I think it may be that the ss has a different contract with each TC or Lender offering a discount in order to land an account with a large volume of loans. They then in turn take out thier servicing portion and what is left over is what they offer to the notary. Therefore they aren't eating any of the cost of thier own discounted sales strategy.

Reply by Art_MD on 6/3/05 7:51pm
Msg #42186

Re: different lenders?

As a numbers person, I break it down...

If a SS has a deal to do a large volume at $200/closing say 200 a month and...
a smaller account at $250/closing and 50 per month, he will naturally try and keep his margin at say 50%. He will at least try and get the volume ones done for $100, and the smaller one at $125.
BUT....

If you don't give a discount to the SS (he doesn't give enough business on a regular basis), then you shouldn't have to give a break so he can maintain a profit margin. The SS should know that he is going to make less per closing (but more per month) by having the big customer and be willing to accept 37.5% on his volume customer. Not that they think that way!!
Tell them you'll charge $125 for the first xx in a month, and $100 for every one after that....
(work your own numbers here)


Art

Reply by Lee/AR on 6/3/05 4:25pm
Msg #42141

That's a good excuse--uh--reason, yeah, 'reason' (nm)

Reply by Nd_WA on 6/3/05 3:15pm
Msg #42129

All SS I work with pay a max fee of $75 for overnight and between $100-125 for edocs. The difference when I work directly with lenders/TC is $50-75 more. I normally negotiate with an SS the first couple times then I request to have my fee put into their database if they like my work. The gives and takes all depends on an SS bottom line (from other post) which you can sometimes see from the HUD.