5 tips to negotiating a win-win offer

1. What is the motivation driving either party?

Is the end goal to save money, do renovations, buying this for an investment or buying as a personal main residence?  The more we know, the better position we can be in trying to understand where the other side is coming from and where the can direct the negotiations.

2. Define the hot key points to focus and direct the negotiations.

Key points helps us stay on track. Any areas where the 2 parties can come to agreement can help us guide the conversation to focus on where further discussion is needed.  Knowing where the key hot points for either parties lie help move the process moving forward and sooner they can be discussed, sooner they can come to terms on agreeance or disagreeance.

3. Responding in a timely manner.

Negotiating an offer on your home is stressful! There is no way around it, we are dealing with a lot of emotions and money on the table where both parties want their voices heard.  Unless a time to respond by is stated in the offer, the offer is open for negotiations until both party can come together or apart.  Timely manner specifics a reasonable time after you have had a chance to review your options and provide a response you are willing to commit to.  I believe we should set reasonable expectations of the outcome you want to achieve at the beginning and then doing everything we can to efficiently come together.  Why efficiently? It is my experience 90% of deals we do don't come together after negotiations stretch on over 3 days. Both party will look at time it takes to respond as a show of good faith. Reasonable response time shows  seriousness and respect for the selling opportunity. Delays often raises questions about the seriousness of either party and willingness to come to terms over the proposed offer.
 

4. Don't just focus on Price.

Price is a small part of the total picture. Consider how possession dates will affect your life responsibilities, terms outline tasks you have complete for possession date as well are there any contractual responsibilities such as RPR you have to obtain. Quick possession might sound ideal but you would want a reasonable amount of time to deal with the closing process.  What if you haven't found a home yet? Do you need more time to find your new home and work out obtaining bridge financing for your move? We recommend addressing the total picture early on in your negotiations so that there are no surprises once we have fought tooth and nail to get the parties together.
 

5. Take the emotion out of the deal

Emotions and rush decisions have very little place in offer negotiations.  We often get initial offers that are highly unreasonable and unjustified.  Just remember the buyers have the right to start where they want and you as the owner can choose how you want to respond.  By being the party that shows reason and restraint, we often challenge the other party to see reason and help bring them up to our level.  When we get an offer that we feel is somewhat unreasonable, we often ask the buyer's agent to help us show where they got their justification of their price from.  This well help us better understand their motivation behind the offer and what their comparisons are so that we can see if their comparisons make sense.

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JAKIE NG, REALTOR® | Your Edmonton Downtown Condo Specialist

Mobile: (780) 224-5566

Phone: (780) 224-5566

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RE/MAX River City

#100, 10328 81 Ave NW  Edmonton,  AB  T6E 1X2 

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