Why Great Agents Fire Bad Clients — And How to Do It Right

Today’s real estate professionals are working harder, spending more, and facing tougher competition than ever before. According to Luxury Presence’s 2024 State of Real Estate Marketing Report, the median real estate agent clocks in 48 hours a week, with many pushing far past 60. Nearly half expressed dissatisfaction with their 2024 performance, underscoring the increasing intensity of the industry. As agents invest in better marketing, smarter tech, and deeper client relationships, they also face a hard truth: Not every client is worth the hustle.

This article isn’t about giving up. It’s about knowing when walking away is the most strategic, professional, and mentally sound decision. Because sometimes, the path to high performance isn’t through working more, but by working smarter. And that starts with knowing when to fire a client.

Why this matters now

In a shifting regulatory landscape, especially post–NAR settlement, agents are recalibrating their value and reprioritizing their time. With nearly 40% of professionals citing lead generation as their top challenge for 2025, and 16.3% struggling to stand out in a crowded market, strategic client management is more than just best practice — it’s survival.

Luxury Presence data shows top agents are doubling down on efficiency and personal branding. Many are leaning into video content, AI tools, and outsourcing to preserve bandwidth. If you’re building a premium brand or scaling a business, the wrong client can undo more than your schedule—it can threaten your reputation and your results.

Five signs it’s time to walk away

Even the most experienced agents know that not every client relationship is meant to last. When mutual respect, shared goals, or professional boundaries are compromised, staying the course can cost more than it’s worth. Here are five signs it may be time to let go.

1. Disrespect and boundary violations

If a client consistently disregards your professional boundaries, it’s a red flag. Missed calls at midnight, combative messages, or undermining your expertise all signal a lack of respect. You’re not just a service provider; you’re a strategic advisor. When a client treats you like a commodity, it devalues the high-touch work that top-tier agents are known for.

2. Misalignment of values or expectations

Are they chasing a fantasy price? Ignoring market data? Blaming you for market realities? If you’ve done the education and set expectations, and they still refuse to budge, this may be a misfit. As one agent shared in our research, “Clients need to understand our added value. If they don’t, they’ll never be satisfied.”

Industry icon, Jade Mills, shared a recent example of exactly this: She was asked to list a property well above what she believed was its fair value. “I just had someone, and I gave them a price. They listed it for $3 million more than I gave them… ‘I can’t get you $3 million more than your house is worth.’” Even then, the client insisted: “They said, ‘We have all the faith in the world in you. We want you to try it.’ What do you say to that?”

Despite her reservations, she agreed to the listing and delivered a substantial offer. “I got a $10 million offer, and they said, ‘We’re not doing that. We want full price.’” At that point, she was clear: “I will have to say, I can’t do this for you, and you’re gonna have to go elsewhere.”

3. Unethical demands

A client who asks you to bend or break rules, like misrepresenting a property or withholding disclosure, puts your license at risk. Especially as transparency becomes a focal point post-CCP debates, agents must prioritize ethical standards over short-term gain.

4. Emotional volatility and manipulation

Buying and selling property is emotional, but when a client’s behavior becomes abusive or manipulative — threatening to leave, demanding freebies, or creating chaos to feel in control — it’s no longer a healthy relationship. You owe it to your business and team to protect your energy.

5. Negative ROI on time and resources

With Luxury Presence agents averaging nearly 25 transactions annually and generating nearly 500,000 leads in 2024 alone, top performers know how to optimize their pipeline. If you’re spending 10x the time on one client with diminishing returns, it’s not strategic, it’s self-sabotage.

How to exit with professionalism

Firing a client doesn’t mean burning bridges. It means choosing alignment over accommodation. Here’s how to do it right:

• Be clear and direct. Use neutral language and cite specific behaviors that signal misalignment. “Based on our conversations, I don’t believe I’m the right fit to represent you moving forward.”
• Refer when possible. If appropriate, refer them to another agent whose style or niche may better suit their needs. This shows professionalism and preserves your brand integrity.
• Document everything. Protect yourself with thorough records, including emails, signed disclosures, and any written termination agreements.
• Stay calm. Emotional clients may lash out. Keep your response measured and courteous; future referrals (or reputational damage) could hinge on how you handle the break.

The cost of staying too long

According to Luxury Presence’s data, agents who use five or more marketing platforms earn double compared to those who use fewer. That kind of scale requires focus, clarity, and discernment. If a single client is draining your time, costing you sleep, or distracting you from higher-value opportunities, the true cost of keeping them is compounding daily.

As agents shift from a transactional model to a brand-driven one, how you show up — and who you work with — defines your future. Your brand isn’t just what you build online; it’s also what you tolerate in private.

Ready to elevate your real estate business?

At Luxury Presence, we help elite agents scale sustainably by providing tools that attract the right clients, from high-converting websites and lead-gen platforms to expert content strategies. With over 60,000 real estate professionals and 127 of the country’s top performers using our solutions, we know what it takes to thrive.