The Art of Negotiation
14 Steps to a Successful Property Negotiation
An experienced Real Estate negotiate can save you tens of thousands of dollars, if not more, providing you a competitive edge over the competition.
1. Build a good rapport with the selling agent and keep in very close contact with them. You might need them on your side if there is multi buyers
2. Avoid participating in silent auctions where there is absolutely no transparency and where your relying on the selling agents ethics to be honest about other alleged offers
3. Find out as much as possible about the vendor and their motives for selling
4. Establish if the vendor would prefer a long or short settlement and use it to your advantage
5. Establish the true market value of the property with recent comparable sales. Get a free online property report, which will give you the complete sales & rental history of the property and how long it’s been on the market
6. Ask the selling agent to give you the comparable sales they gave to the vendor to establish their price indication
7. Don’t tell the selling agent you love the property. Point out a few negatives, which they will probably tell the vendor
8. Don’t make low ball offers an upset the agent and vendor, it doesn’t help and just makes them resent you
9. Always make your offer subject to the building & pest and re-negotiate the price or get the vendor to rectify any problems
10. Never get emotional about a property, there will always been another
11. Have a back up property and make sure the agent knows if you don’t get the property at your estimated price you will buy the other property
12. Don’t tell the agent this is your last or best offer if it’s not, because they might go and sell it to another buyer without giving you the opportunity to increase yours
13. Sometimes is not always about price and if it’s a once in a life opportunity, do what it takes to get it
14. If your offer is accepted, race to exchange contracts before another buyer offers a higher price. The property is on the market until it is exchanged
