Real Estate Negotiation Tips: How "Playing Dumb" Can Work to Your Advantage
Many individuals looking to buy real estate are unaware of the first rule of negotiating the price of real estate, which is do not tell all that you know. Playing dumb during real estate negotiations can work to your advantage, allowing you to obtain the best deal and pay the least amount of money for the property. It is important to retain that delicate balance between holding back on telling what you know and acting like an idiot, but by following a few simple tips you can maximize your negotiation position.
Ask Basic Questions
The first tip is to hide the amount of knowledge you have about the real estate industry. Sellers are afraid of being taken advantage of and will closely inspect any statement made by someone who looks like they know what they are doing. You can catch the seller off guard by asking questions, asking someone to explain a point further, and talking slowly. These actions put the seller more at ease and they will be willing to give you the information that you are requesting.
Limited Authority
Some individuals do well using the "limited authority" tactic. In this tactic, any point that you do not wish to agree to should be met with "I'll have to check with my spouse (partner, father, mother...)" The idea is to give the appearance that you are thinking about a concession that you have no intention of making. It is easier for the seller to accept that you can't do something because of someone else rather than you will just refuse to do it.
Unusual Requests
Ask for odd things and then accept when they say no. for example, if your offer is pretty low in your opinion, request repairs on something that does not really matter. Another little gambit is to make your price offer an odd number, such as $142,350. Letting the seller win concessions that you don't really care about increases the chances that the seller will give you the price that you want. Show reluctance to give up any concession that you give to the seller, and they will be more inclined to give you concessions in return.
Positive Tone
the biggest tip for getting the best deal in a real estate transaction is be sure to keep the negotiations on a happy tone. Flatter the seller and be friendly towards them. Individuals like doing business with someone that they can see as a friend and are much less likely to hold out for the items they want through stubbornness.
Pass over any problem areas and agree to all of the points that you were planning on agreeing to anyway. This will make it much harder for the seller to back out of the deal or put up much of a fuss about the items that you really want to change. by following these tips, you can ensure that the real estate negotiations go in your favor and every one walks away happy.
This information was written by Longmont real estate agents from Automated Homefinder.
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Linda Zimmerman, GRI, e-PRO, SRES |
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