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.
Most deals don’t get done with out negotiations. Solid deals where both parties are mutually bound by a common denominator, are usually successful ones. Often, I see deals fall apart, all for the lack of negotiations.
Today’s market requires strong negotiating power because people want to feel like they are getting a deal in real estate. 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 before negotiations begin.
Some agents are less willing to handle a large spread in price for fear of negotiations. If both parties are willing to negotiate then deals will most likely work out in the end. Every deal is a deal. It is just a matter of making deals work and knowing how to do it 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, through negotiations. If not, you are leaving money on the table. All deals are capable of working. however, both parties need to know how to reach a result that becomes a winning situation for both parties.
Negotiating is an art. It is taught. It is natural. It cannot be forced. It is the art of every deal. In the end, successful negotiating skills end with done deals.
June 11, 2011:
WWW.BLOGTALKRADIO.COM/EVERYTHINGREALESTATE we will talk about NEGOTIATIONS in a real estate deal and how it works for you.
John Daugherty Realtors