If you want to buy or sell a home, it’s important to remember that YOU need to be committed to the process AND be willing to negotiate.
Doing your “homework” is part of the preparation you need to embark on to get the home that you want.
The first thing you need to do is get familiar with current market conditions.
If you are a seller, being savvy will give you an advantage when you need to negotiate, especially if you are in a sellers’ market where there are more buyers than homes for sale.
If you are a buyer you will definitely have an edge, particularly if you are in a buyers’ market where there are more homes for sale than buyers.
In either of these situations, there will be less room for negotiation and you’ll need to have a well-thought-out strategy.
Other things can also play a role:
- Seasonality – many people don’t want to move in the middle of a school year or in the middle of winter
- Lack or over-abundance of homes in a certain neighborhood or area
- Negative events that get featured in the news
- Reluctance of lenders to issue a mortgage on a certain home
- AND – MANY OTHERS!
With these and other variables in play in any specific buying/selling scenario, it’s impossible to determine how any negotiation will go in advance. Be prepared by knowing the difference between “MUST haves” and “WANT to haves,” and know when you need to walk away from a deal that won’t work for you.
Walking away or pausing isn’t the worst thing that you can do – it’s infinitely better to NOT close your eyes to costs, lack of things that are necessary for you and your family to live well and circumstances that may not be “fixable.”
If you are TRULY committed to moving forward, YOU will need to learn key negotiation strategies ahead of time to prepare yourself for success.
By doing so, you’ll put yourself in a position to more smoothly navigate any real estate transaction in the future, no matter what type of buyer or seller you’re up against.
Here are some tips for all parties – buyers OR sellers -when negotiating:
- Avoid Negativity – don’t be critical – always keep everything you do or say positive. Don’t say bad things about the property or the parties. Be nice, be sincere – even be flattering.
- Don’t be high maintenance – Everyone would prefer to work with someone who is going to be easy to deal with and avoid drama.
- Keep focused on what’s important – Know what matters– remember to consider the sensibilities and personalities of the other party – you can structure offers and counteroffers appropriately. It’s not always about the price.
- Make it tough to say “No!” – The closer you get, the harder it is to say no.
Above all, always keep your eye on the prize – getting the results YOU want is all that counts!