Buying a home can be stressful.
Here are some tips to increase the odds of getting your offer accepted:
1. Know What the Seller Wants and Needs
How well do you understand the seller’s situation? A well-trained negotiator will always start with the self-interests of both parties rather than just their own. A buyer’s offer must at least adequately satisfy the seller’s needs and interests. There are many valuable elements in a real estate transaction, so take the time to accumulate information, and understand what it will take to satisfy the seller.
2. Improve Your Appeal
Homes are listed to be sold, not to be for sale. Show the seller that you have what it takes to close on a house; show them that you know the path of how to get there. If you anticipate any issues, show the other side how you can help them overcome them when the time comes.
3. Build Trust with the Listing Agent
Trust is the currency of sustainable negotiations. Take the time to build a rapport with the other agent by showing yourself to be someone who is professional and collaborative, interested in a “Win-Win” type of transaction. Trust opens communication channels, allowing you to learn more about the other side’s needs.
4. Look for Connections
It is unlikely that you will be able to put a deal together with someone who doesn’t like you or want to do business with you. Connections, compliments, and cooperation are all factors that make you more likeable to the other side. Look for clues and signs of what is essential to the other side, and see if you can point out those connections. Do not downplay the value of connections – we recently heard that a seller picked an offer over others once he learned that the buyer was also a fan of Golden Retrievers!
Perhaps the biggest mistake buyer’s agents make is to fail to communicate sufficiently with the other side. Have you ever seen an offer come in on a property without so much as a phone call? Think about it – how can that agent communicate any of the principles we point out above? Always be accessible and professional with your communications. Create opportunities to interact with the other side to build Trust and get more information.
6. You Go First
Most negotiations include “give and take,” or what is often referred to as reciprocation or concession.
The buyer’s agent might say to the listing agent, “My buyer will agree to your seller’s closing date if, in return, your seller will agree to a slightly lower price.”
Take these tips into consideration when making an offer.
Happy house hunting!