This 3 part series on the secrets to winning every real estate negotiation is sadly almost over. But on the bright side you have been introduced to valuable information that can aid you to becoming a top sales negotiator. This next entire section focuses on the “Ending Sales” process for negotiation.
The ending tactic prepares you to get the buyer’s final commitment in a negotiation. So, let’s give you all you need to close your real estate sales by getting what you want, while also making the opposer feel victorious.
Pattern of Concessions
The way you make concessions is very important as it creates a pattern of expectation in the buyer’s mind.
There are 4 errors you must avoid when making concessions:
Error # 1 Equal Sized Concessions
Here, the buyers will constantly be pushing you to your limits, if you keep agreeing with their offers. If you lower the price of the home for $2000 the first time they push, and again the second time as well, what do you think would be stopping them from pushing you again?
Error # 2 Giving It All Away Upfront
In many cases, buyers may try to get you to reveal your entire negotiating range by asking up from “What is your last and final bid?” or “We do not like to negotiate”. This is a trap and this is a negotiating method as well. he/she is simply trying to make you say all your concessions before the sales process even begins.
Error # 3 Testing the Waters
It’s a beautiful day for the beach, 30 degrees celsius and you are getting a nice tan. you walk over to the ocean, dip your feet in and boom, it’s freezing. Well, now you clearly are not going to go in UNLESS the weather heats up a little more.
The same goes with this next real estate negotiation technique. If you make a small opening concession and it is rejected,
What do you do?
The most effective thing to do when the negotiation process begins is to start with a modest concession, then start to decrease the increments with each concession. The reason for this is, it creates a decreased expectation which looks good in your buyer’s eyes.
Error # 4 Withdrawing the Offer
When faced with a situation where the buyer is continuously badgering you for a lower price, you can sway the negotiation back to your advantage. By calling the buyer’s bluff and withdrawing your offer from the table, by backing off from your previous price concession, this gamble is only worth it for the extreme cases.
Bring Value To The Table
By this point, as a professional real estate agent, you must understand there are more important things with money. Luckily for you, many other agents can’t comprehend this, which means you can leverage this as another real estate negotiation technique.
You must give customers a reason for spending more, by convincing them that they cannot find a better deal than what you are offering.
There are clearly going to be many other things that are more important to the buyers than the price, which is why they’re sitting with you at the table. They are interested in the home, its features, amenities surrounding, the backyard, etc. Remind them of the quality of what you are offering.
This concludes my first 3 part series blog. With emphasis on negotiation secrets, this series has the ability to make you become a top persuader during your real estate negotiations.
Implementation is crucial for each and every one of you, it is not enough to just read valuable information. Be inspired and implement it to your everyday lives. You are being given insightful tactics to make you a top negotiator, now it’s time for you to push forward.