1. Know What the Seller Wants and Needs

How well do you understand the seller’s situation? A well-trained negotiator will always start with the self-interests of both parties rather than just their own. A buyer’s offer must at least adequately satisfy the seller’s needs and interests. There are many value elements in a real estate transaction, so take the time to accumulate information, and understand what it will take to satisfy the seller.

‍

2. Improve Your Appeal

Homes are listed to be sold, not to be for sale. Show the seller that you have what it takes to close on a house; show them that you know the path of how to get there. If you are anticipating any issues, show the other side how you can help them overcome them when the time comes.

‍

3. Build Trust with the Listing Agent

Trust is the currency of sustainable negotiations. Take the time to build a rapport with the other agent by showing yourself to be someone who is professional and collaborative; interested in a “Win-Win” type of a transaction. Trust opens communication channels, which in turn allows you to learn more about the other side’s needs.

‍

4. Look for Connections

It is unlikely that you will be able to put a deal together with someone who doesn’t like you or want to do business with you. Connections, compliments, and cooperation are all factors that make you more likeable to the other side. Look for clues and signs of what is important to the other side, and see if you can point out those connections. Do not downplay the value of connections – we recently heard that a seller picked an offer over others once he learned that the buyer was also a fan of Golden Retrievers!

‍

5. Over-communicate

Perhaps the biggest mistake buyer’s agents make is to fail to communicate sufficiently with the other side. Have you ever seen an offer come in on a property without so much as a phone call? Think about it – how is that agent able to communicate any of the principles we point out above? Always be accessible and professional with your communications. Create opportunities to interact with the other side to build trust and get more information.

‍

6. You Go First

Most negotiations include give and take or what is often referred to as reciprocation or concession.

The buyer’s agent might say to the listing agent “My buyer will agree to your seller’s closing date if in return your seller will agree to a slightly lower price.”