7 Tips On How to Negotiate For Property Like A Pro

businessman with a burlap money bagWhat is the best technique for negotiating a home purchase? This is something you should know because you’re haggling for a home, not a vacuum cleaner or a toaster or a television set! The good thing is, anything that can be bought with money can be negotiated. You just need to know how.

Buying a property can be a challenging prospect, but like any smart home buyer, you’ve done your research, visited sites and called in for prices. Now, you are ready to purchase that one house you’ve been dreaming of. The question now is: how can you win in the property negotiation?

Here are my fool-proof tips to help you negotiate for property you want:

1. Acknowledge that to negotiate for property is a two-way street.negotiate for property

Negotiation is a process that involves two parties – the buyer and the seller – who both need to gain something from the transaction and feel happy with the outcome. As such, there will be some pushing and pulling, so it’s best to expect some give and take. You need to bring in a lot of patience, too.

2. Put yourself in the seller’s shoes.

Think about why the seller would want to dispose of this property. Is the market price for the property decreasing? Are there major defects in the house that could be problematic? Have they already purchased another home and really need to sell the old one quickly?

By putting yourself in the seller’s shoes, you can get ideas on how to best play your hand to negotiate for property. Once you’ve figured out their reason, you can frame your offer around it.

market prices3. Research on market prices.

You’ve decided you are willing to pay for the property at x amount, but that is only one part of a bigger picture in property pricing.

Sale and auction prices are driven by the property demand, and by how much buyers are willing to pay. Do your research online and in person to make sure the price information that you have is updated before putting in an offer or bidding at auction.

4. Think and act positively.

You have done your research and you have the money to buy the property. That’s already past the halfway mark in buying properties. The next step now is to think and act confidently, as if you’re sure that you will get the property. Sellers are more likely to prefer a happy and positive buyer than a negative one.

5. Don’t get too attached to a property.attachment to a property

It’s never good to make big decisions when you’re feeling emotional, and this especially applies to times you negotiate for property deals.

We know you love that property and are willing to pay to get it, but it’s best to set a limit to this “love.” Set an upper purchase limit and stick to it. Don’t let yourself be swayed by emotion at sales or at auctions, or you may be paying more than you bargained for.

6. Don’t be too cheap with your offer.

I recommend people to come with an offer that is more or less close to what they are willing to shell out. This will cut the back-and-forth to a minimum, rather than giving an extremely low offer and haggling until the seller loses patience.

If you really like the property, it’s best to offer close to your expectations. The seller will either be interested or reject your offer right away. This saves everyone time and heartache if property negotiations don’t go your way.

get a buyers agent7. Consider getting a buyers agent.

More often than not, the seller will be using a real estate agent. So it’s best to have a professional on your side as well. A buyers agent has an intimate knowledge of the local market and years of years of experience negotiating homes and bidding at auctions. He or she also has the ability to not be emotionally attached during negotiations, and that can help you get the best deal possible.

 

Negotiations are the most exciting part of any real estate transaction, stay positive and stick to your guns. It’s best to come with an informed offer and a lot of guts, and soon enough, that dream house can be yours.