Having a game plan to negotiate a real estate transaction is important. Negotiating a sale is not only a one time event, but a series of events that lead to a successful closing. Here are five ways you can improve your negotiation skills.
1. Anticipate issues and plan a solution. Include an estimate for repairs on the Seller’s net sheet upfront during the listing presentation.
2. When presented with a repair request, react in a shocked manner and tell the cooperating broker “Yikes! I’m not sure how my Seller will react to that, is it possible your client can do better? I want to be able to present my seller with something that they can work with.” This gives the other agent an opportunity to sit down with their Buyer and really flush out what is important to them. By sending it back to the buyer before you go to the seller, they can counter their own offer. Of course, you must tighten up the contingencies of the contract before the deadline, so make sure there is time to negotiate the home inspection items.
3.Offer money for repairs instead of making the repairs.
4. Just say “No.” This is very dependent on market conditions. Ask yourself if are you in a Buyers’ market or a Sellers’ market, what is most important to your client, how do you feel about the buyer, and whether you think the Buyers are likely to move forward whether or not the repairs are completed? It’s always good to give a little something to keep all parties moving toward the end zone, but it’s okay to use “No” when appropriate.
5. Negotiate a referral from your client. The end of the transaction is a great time to ask your clients for a referral or testimonial. You are a professional and your clients are appreciative of your guidance and knowledge. Use referrals from satisfied clients to build your business to new heights.
Good luck with the negotiations! If you have any questions or I can help you in any way, give me a shout.