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Whether you’re selling a home or buying one, negotiation will play a part in the process.
When it comes to selling your home, especially in today’s market, it’s important to negotiate hard to get the price you want and the terms you need from the buyer.
Use these five tips when negotiating with buyers to help get what you want out of the sale of your house.
1. Know Yourself
Know what you’re going to do before meeting with a buyer. Do you have to move out of state and can’t wait six months for a closing?
You may be able to negotiate a “time is of essence” clause into your contract. Know where you want to go and what you want in terms of timing, price, terms, and conditions.
Don’t go into negotiations unprepared. Be clear on what it is that YOU want. Even if that means writing it down ahead of time.
2. Be Prepared
When you’re prepared, it’s easier to negotiate. Some things to consider include fully understanding what you want out of your next real estate transaction, having a professional photographer take high-quality photos of each room in your house, and knowing exactly how much money you need to get out of that transaction.
Also, be flexible. There’s no point in being too rigid during negotiations if it means not getting what you need.
Be willing to compromise on certain aspects by getting more flexibility or money in other areas. And be realistic. Know upfront exactly what price range buyers are looking at so that neither party is wasting time with unrealistic expectations.
3. Have Backup Offers
Many buyers begin by offering a lower price than they plan to pay. However, they know that negotiations can get heated, so they have another one in mind if their initial offer doesn’t work out.
Don’t let a buyer test you like that. Get backup offers upfront—ideally in writing. If a potential buyer requests multiple offers, ask them to prioritize or rank their choices and make sure it’s clear you’re asking only because you want to make an informed decision.
That way, if they start low-balling or try some of those other common negotiation tactics below, you’ll already be prepared.
4. Stick to the Stated Terms
One of the most common mistakes people make when going into a negotiation is to stray from the stated terms of a deal.
If you’re having difficulty understanding exactly what is being negotiated, it’s critical that you ask questions and fully understand all aspects of an agreement before moving forward.
Making sure to clarify every aspect of negotiation will help ensure that all parties involved know exactly what they’re agreeing to and make things easier when it comes time to close on a deal.
5. Pay Attention to Timeframes
In any deal, both parties need to remain flexible. For example, you might not be able to sell your house right away or at a particular price, but these details can be worked out if both parties are willing to work together.
If a buyer isn’t willing to wait and negotiate with you, you may want to find another buyer.
Homeowners often feel overwhelmed by real estate agents, who seem to know more about selling a house than they do. If you’re feeling vulnerable in negotiations, you can visit this website to learn how to sell your home without a realtor in San Diego.