How to Stay Tough and Soft When Negotiating
The Right Approach When Purchasing Real Estate
Entering into an agreement to purchase a piece of real estate is an exercise in contract negotiation. Because of the large financial figures at stake, real estate deals represent a critical moment in your current and future finances. When bringing your demands to the bargaining table, it is important to be, at the appropriate times, both tough and soft. Going with one approach can always open you up to some critical negotiating mistakes.
The tough and soft aspects of a negotiation take place at various times, and it is important to understand when to use either tactic. While of course you should work with your real estate agent to develop a plan of action, make sure that your desires are heard as it is your real estate agent’s duty to execute the contract to your own satisfaction. If you think it is time to get tough, say so and your real estate agent will work with you to develop a plan to fit those needs.
Tough On The Issues
The time to get tough is most commonly the time when issues about the home are being discussed. This is a large financial investment that you and your family may be making, so be sure to get just what you want out of the process to ensure that you are happy as the months and years roll by in your new property. If an inspection raises issues with the property that might affect that future happiness, don’t be afraid to get tough on the sellers and make some demands about how and when components of the property get tended to.
Your real estate agent no doubt has a lot of experience in negotiating these types of deals, but by making it clear that you are not afraid of losing the home if some of your tougher demands aren’t met, you open up a whole new level of negotiating for your real estate agent. Agents are sometimes wary of going after particular problems too vigorously, should they lose the house and anger their purchasing client. Freeing up that reservation can net you some big gains, but you do have to be sincere in your openness to leaving the transaction if certain points aren’t met.
Soft With The Sellers
The time to get soft is when you are dealing directly with the people involved in selling you the real estate. While it is fine to get tough when issues on the home are called into play, it is absolutely not fine to get tough on the seller or start yelling at their agent. That kind of behavior will not net you any extra benefits when it comes time to sign the contract and making sure that everything remains professional and cordial among the people involved will net you a much better result.
Unfortunately, it is the tendency for some people to make the home and the seller the same thing, taking out anger on the state of the roof on the seller instead. Don’t let that be your tactic or the tactic of your real estate agent. While you will rarely have to get into these types of specifics, making it clear that you are all working towards the same common goal if you should ever meet the other agent or seller will help you immensely when it comes time to get into the meat of the issues at hand.
There is a time to be tough and a time to be soft in many phases of life and a real estate transaction is no different. Work with your realtor to develop a strategy for negotiating the best possible deal you can on the home you’ve worked so diligently to find. Make it clear that you are ready to get tough on the issues while staying soft on the people to get the best possible outcome for you and your family.