Real Estate Negotiation Tips on How to Close Any Deal
Walking into a meeting with a seller can be stressful. Being prepared can help ease any apprehensions you have and will help you build a confidence in yourself and your services. This will shine through to the seller as you present and negotiate a real estate deal.
How to Win at Real Estate Negotiations
I am sure you have been in a situation where you needed to sign a contract. Maybe you were buying a new car, or signing up for new life insurance. Regardless of the reason, I’m sure you wanted the person or company you were working with was trustworthy before singing anything. The same is true for your real estate deals. You cannot expect everyone to sign on the dotted line without ensuring you and your business are credible.
- Appearance – You should have a professional appearance. Does this mean you need to wear a business suit to your appointments? No. But you should appear neat and well groomed.
- Exude Professionalism – You should conduct yourself professionally at all levels of a negotiation from the first phone call, appointment and beyond.
- Credibility Tools – Having a professional business card and access to a business website will help build trust. Members of my Diamond Partnership get access to a branded website for foreclosures, short sales, and more.
Some additional activities that can help build credibility are to make sure you are always consistent in your follow-up. You can also join the Better Business Bureau to help establish more credibility.
Understand the Steps of Negotiation
Learning exactly how to walk through a negotiation before you walk into your first appointment can make all the difference. As discussed above, you should first build credibility and good rapport.
Best Practices for Real Estate Negotiation
- Presentation – Once you have built credibility and started your presentation, you will need to help the seller understand why they will benefit from your services. You need to walk them through the benefits of working with you as opposed to a realtor.
- Education – In the previous step, you should have gone through the costs that the sellers would incur by working with a realtor. You can go further and tell them the costs they’ll incur selling on their own. Once they are receptive to the numbers, you can give the seller the numbers talk. I suggest using a Net Equity Worksheet that is provided in Foreclosure Investing Mastery to lay out the numbers.
- Negotiation – Once you have built credibility, educated the seller through your presentation and discussed the numbers, it is time to get the signature. If the groundwork has been laid properly, this should be easy! Remind the seller of the points you have discussed and bring out a Purchase & Sale Agreement to fill out and complete.
These are just the basics of a negotiation, and there is an abundance of information that I can’t get into in a short article. However, I have one last tip, and that is to not come off as being too motivated. I like to say “the harder you chase the seller, the faster they will run away!”
To really master the art of negotiation, I highly recommend coming to an in-person training where you will get access to my proven strategies that I do not share in any of my other courses. If you haven’t worked with me before, you can start off by downloading my free Unlimited Funding Kit.