5 Negotiation Tactics that Kill a Sale

5 Negotiation Tactics that Kill a Sale

5 NEGOTIATING TACTICS THAT KILL A SALE

NEGOTIATING TACTICS THAT KILL A SALE

Negotiation is a subtle art in real estate, but skilled negotiators can usually find some common ground that satisfies all parties. On the other hand, using the wrong negotiation tactics can sink a deal pretty quickly. Here are some negotiation tactics that kill a sale (and real estate professionals) and should avoided:

  1. Lowball offers: Going far below market value when you make an offer damages your credibility as a buyer and can be insulting to the seller. The seller has a range in mind that they’ll accept, and if you’re not even approaching the low end of that range, they won’t even consider the offer.
  2. Incremental negotiations: Don’t continue to go back to the seller with small increases in your offer ($1,000 or less). The constant back-and-forth can grow tiresome and lead the seller to consider other opportunities.
  3. “Take it or leave it”: Try not to draw a line in the sand with your initial offer. The seller can get defensive and consider other offers if you immediately show that you’re unwilling to budge. Even if it’s true, don’t make a show of it.
  4. Nitpicking after inspection: Obviously if inspection reveals a major issue, it should be factored into the final sale price. But insisting on a lower price for every minor repair can put negotiations in a stalemate.
  5. Asking for more, more, more: Some buyers will request that the sellers throw in add-ons like furniture or appliances that weren’t included in the listing. Try to avoid giving the seller a reason to build up resentment and think that you’re being greedy.

Tactics that may kill the deal by asking/doing the wrong thing. Knowing these 5 negotiation tactics that kill a sale will benefit you and is a necessary step to becoming a skilled negotiator.

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Gary Drew

An extensive and successful career in 1’s and zeros has served Gary Drew very well in the alternative universe of Real Estate. His previous senior level engineering and management experience has been an invaluable asset to his clients when negotiating pricing, leveraging comparable analytics, and playing to win on behalf of buyers and sellers fortunate enough to be represented by this dynamic and confi dent professional. Gary was born in the San Francisco. He grew up in Woodside, California and was a good student who also played football, basketball and baseball. “I played against Barry Bonds and like to think that helped his career” laughs Gary. He carried that competitive enthusiasm to play hard and win to both his past engineering sales role and to his current Real Estate career. He loves to visit St. Thomas in the Virgin Islands and fi sh on the Kenai River in Alaska while growing up. These are places he returns to often as an adult, “to recharge my batteries”. But the competitive spirit is never completely abandoned, and he holds the certifi cates for catching a trophy Silver Salmon (21.5 LBS) and a King Salmon (73 LBS). Gary attended DeVry University and graduated with an engineering degree in 1984. He moved back to California and started his fi rst career in Silicon Valley. He became a very successful executive, working for several engineering fi rms including Bytex, Cayman Systems, DQ Technology and others. Gary served as a Field Engineer and Sales Manager building businesses for companies in the US, Asia, Europe and South America. “It was an exciting time in my life” says Gary. “It was a great time to be in the tech fi eld.” A job transfer to Phoenix in 2001 included a marriage, a home, kids, and a desire for a career with less travel and more home-time. Family infl uence is powerful, and in 2004, Gary was introduced to the Real Estate profession by his Mother, a successful Realtor in the valley. He became licensed and subsequently became the Designated Broker of one of the top Real Estate companies in Anthem AZ. Connecting the dots between high tech and real estate, it’s easy to see how Gary’s analytical background, his experience and passion for negotiation and contracts plus love of numbers converge to create a powerful ally when representing a buyer or a seller. Add to that, years of people management experience and an overriding desire to win now you’ve got the reason why Gary Drew lands in the top 3% of his profession year after year. Today, Gary is an Associate Broker and Sales Manager for a Berkshire Hathaway HomeServices in Anthem AZ. He is a single Father raising a teenage daughter and to those who have experienced that he says "hanging on to my ego for dear life.” He still enjoys traveling, sports and plays golf whenever work and home allow.” I’m so lucky to be doing what I love. Life is good.”