Negotiations result in more than a handshake.
Donald Trump may be the only person who speaks as often about negotiations. Having worked for years in an environment where negotiations were ingrained in every deal, I was automatically trained from some of the best deal-makers on Wall Street. Thankfully, this is why negotiating is so much a part of each deal I encounter. Now, being involved in a market where negotiations are necessary, I naturally make negotiating a part of each transaction. There is no other way in getting deals to work in today’s unique market.
Deals don’t get done with out negotiations. Solid deals where both parties are mutually bound by a common denominator, are usually successful ones. I had 3 conversations this past week with individuals who described transactions that fell apart, all for the lack of negotiations.
Today’s market requires strong negotiating power because no one is going to pay full price for homes. Also, buyers feel it is a buyers market and sellers feel they are entitled to their price. It is not unusual for deals to be thousands of dollars apart in the beginning.
Some agents are afraid of the large difference in price because they are not accustomed to negotiating. This automatically puts the party who is receiving, in a negative situation because negotiating is necessary for the deal to work. Every deal is a deal. It is just a matter of making deals work and knowing how to do this artfully.
If you receive multiple contracts, negotiations are even more important. If you are the seller, you should end up very close to a price that works for you. If not, you are leaving money on the table. This is why I stress the importance of negotiations. All deals can work, but the agents are going to need to understand how to negotiate. If one party understands negotiations, and the other does not, the deal will lean in favor of the party who know how to negotiate.
Negotiating is an art. It is taught. It is natural. It cannot be forced. It is a beautiful part of every deal. In the end, negotiating results in a done deal.
February 10, 2011:
WWW.BLOGTALKRADIO.COM/EVERYTHINGREALESTATE we will talk about NEGOTIATIONS in a real estate deal and how it works for you.
Beth Wolff Realtors