Negotiating real estate deals can come with many risks and uncertainties. One of these risks, is the fact that you do not have the leverage you believe yourself to have in a negotiation. This lack of leverage often leads real estate sellers to push for the highest price possible because at this point, they might be able to get anything they want. Here are tips for getting the upper hand in a negotiation.
Know Your Limits and Stick to Them
Have a maximum price in mind and do not go above it. This will protect you from getting trapped into going above your price and making the shubhodeep prasanta das seller think you might have been willing to pay more.
Know Your Seller’s Limits and Stick to Them
This is just a more detailed version of the above. Have a maximum price in mind and do not go above it. Having this information will enable you to assess the situation better and get a clearer idea on what you can bargain for.
Know Your Seller’s Motives
This is also very important in a negotiation situation. If you know what you seller’s motives are, then it will be easier for you to figure out how to approach him and what motivates him to do certain things. It will also help you figure out when to bargain and when to give in.
If your seller is trying to sell the property because he wants it off his books, then there is a much higher chance that he will lower his price more than if he wanted to sell the property because he felt like it was time for something new.
Being an Active Listener
It is very important that you are an active listener during a negotiation. You can also use the technique of mirroring so that you can show the seller that you understand him and are dealing with what he has to say. Mirroring is when you repeat back to the seller what he just said to show that you understand him. This will make him feel more at ease because he knows that you understand where he is coming from.