Thursday, November 28, 2024
Handling Price Objections Like a Pro
Every remodeling contractor has faced it: a potential client looks at your proposal and says, “Your price is too high.” The frustration is real. You’ve done your homework, given an accurate estimate, and yet you’re being compared to contractors who likely cut corners.
So, how do you respond? Do you panic, lower your price, or risk losing the client altogether?
The truth is, when homeowners object to price, it’s rarely about the price itself. It’s about their lack of understanding. And that’s your opportunity to step in—not with discounts, but with clarity and professionalism.
In this post, we’ll explore why price objections happen and give you the tools to handle them like a pro. By the end, you’ll see how to turn “your price is too high” into a win-win situation for both you and your clients.
Why Homeowners Struggle With Remodeling Prices
Let’s start with some numbers:
79% of homeowners set a budget for their remodeling projects.
70% of those projects exceed the budget.
Why the disconnect? Most homeowners have no idea what a remodeling project should cost. Their expectations are shaped by HGTV, online influencers, and that one cousin who supposedly “redid their kitchen for $10,000.”
When reality hits in the form of your well-researched estimate, they experience sticker shock. And their first instinct? Find a cheaper contractor.
Here’s the danger: cheaper contractors achieve lower prices by sacrificing quality—whether it’s using subpar materials, rushing the job, or cutting corners in craftsmanship. These shortcuts lead to dissatisfaction, costly fixes, and wasted money for the homeowner.
Reframing the Sticker Shock
When a client reacts to your price, the problem isn’t you—it’s their unrealistic expectations. Your job as a professional remodeler is to reframe their perspective.
Here’s how:
Acknowledge Their Feelings:
“I completely understand why this price feels surprising. Remodeling can be complex, and it’s not always easy to anticipate everything involved.”
Help Them See the Bigger Picture:
“If a contractor offers a price that seems too good to be true, it’s worth asking what they’re leaving out to make that price possible.”
This shifts the focus from price to value—an essential mindset for any successful sales conversation.
How to Handle Price Objections Like a Pro
Let’s break down a simple, four-step framework for responding to price objections:
Step 1: Acknowledge the Concern
When a client says, “Your price is too high,” resist the urge to get defensive. Instead, validate their feelings.
“That’s a great question, and I understand why you’d want to make sure you’re getting the best value for your investment. Can I share some insight into how remodeling prices work?”
This response keeps the conversation collaborative instead of confrontational.
Step 2: Ask Thought-Provoking Questions
Instead of diving into explanations, guide the homeowner’s thinking with questions:
“When you look at a remodeling estimate, what do you think goes into it? Is it mostly materials, labor, or something else?”
“Have you noticed how two similar-looking products—like cabinets—can have very different prices? What do you think causes that difference?”
“If you had to choose between the lowest price and the most reliable outcome, which would give you the most peace of mind?”
These questions encourage homeowners to think critically about quality, reliability, and the long-term value of their investment.
Step 3: Reframe the Pricing Concern
Now it’s time to paint a clearer picture:
“Remodeling prices are like custom-built puzzles. Each piece—materials, time, expertise, and care—fits together in a unique way based on your specific needs. That’s why you might get different estimates. It’s not because one contractor is overpriced or underpriced—it’s because we’re all building a different version of the same puzzle.”
This analogy helps the homeowner understand that price differences are natural and tied to the scope and quality of the project—not an indication of greed.
Step 4: Provide Reassurance
End the conversation by emphasizing transparency and value:
“My goal isn’t just to give you a number. It’s to understand your vision and provide a result you’ll love and trust. Would it be helpful if I walked you through exactly what goes into my pricing so you feel confident moving forward?”
When you walk clients through the details—highlighting materials, craftsmanship, and care—you build trust. And trust is the key to closing the deal.
The Homeowner’s Choice: Adjust the Budget or Scope
At the end of the day, homeowners face two choices:
Adjust Their Budget: They can realign their expectations to match the true cost of their vision.
Adjust Their Scope: They can scale back the project to fit their original budget.
Your role is to guide them through this decision-making process with empathy and expertise.
The goal isn’t to compromise quality—it’s to help them make informed, confident decisions.
Educate to Elevate: Shifting the Focus From Price to Value
Your job as a remodeler isn’t just to build homes—it’s to build trust. Most homeowners don’t realize:
The importance of precise measurements and planning.
The difference between cheap and premium materials.
The risks of hiring a contractor who cuts corners.
When you educate homeowners about these nuances, you establish yourself as an expert. And when they see you as an expert, the conversation moves away from price and toward value.
The Takeaway: Don’t Blame the Price—Build the Process
Handling price objections isn’t about defending your numbers. It’s about educating your clients, reframing their perspective, and guiding them toward value-based decisions.
If you’re ready to master these skills and transform your remodeling business, check out The Remodeling Academy Affiliate Program. It’s the only program designed to guarantee your business is one of the successful ones.
Visit TheRemodelingAcademy.com to learn more.
Next time you hear, “Your price is too high,” you’ll know exactly how to respond—with confidence, clarity, and professionalism.
Ready to elevate your sales process? Let’s get to work.