1. Be informed. The person who has the most information and uses it wisely typically prevails in negotiation. It's the one tool that's imperative. Information leads to the right price for a property, puts details in perspective, lessens tension and keeps emotions in check. One should know the average days on market, list to sell-price ratios, home amenities and all the other basics. It also helps to know, for example, a buyer's motivations; are they moving with a job, do they like the school district, etc.
2. Don't allow agents to lower their commissions. This is a key point, because in a buyer's market, many REALTORS® automatically put their commissions on the auctioning block. But if they lower your commission to get a seller's business, what does that really say to the seller? That agent is easily willing to come down on price - not what a seller wants. An agent may be asking for a higher commission, but the price the garner for the seller's home more than makes up for it.
3. Handle offers with care. Never flat out reject an offer. Sure, you'll get offers that you simply will not accept (and that you might even find insulting), but be careful and tactful with how you respond to those offers. You've done your homework to arrive at the asking price, so explain that to those who make offers instead of a flat rejection.
4. Maintain a positive attitude. Focus on solutions and persist without exception. There truly is a solution to every problem. Effective negotiation requires focus, concentration and skill. Done right, everyone walks away a winner! Call Mary Schile @ 206-601-4377!
