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Negotiating Price
At Team GGLUXRE we take our negotiating skills very seriously! We have spent the majority of our lifetimes fine-tuning and homing into these skills.
Here are a few quick tips that we believe are very important in the art of negotiating:
- Negotiating a deal is an essential part of doing business and relies just as much on personality and soft skills as it does on quantitative analysis and valuation.
- The very first step before sitting at the negotiating table is to prepare. Learn about who you'll be dealing with, do your due diligence, and prepare psychologically.
- When negotiations begin, optimize your strategy based on how the deal will be done: in person; over the phone; or through email.
- Don't accept a bad deal. If your negotiations fail, keep calm and walk away, being careful not to burn any bridges.
Help is at hand from Team GGLUXRE!
So after we’ve listed your home, marketed your home, and shown your home; now we finally have some offers, and if you're like most sellers, the most difficult part of selling your home has just begun. Thankfully Team GGLUXRE is here to help! We will meticulously explain every detail of each of your offers so that you can then make the best- and well-informed decision on how to proceed forward. We will work hard to negotiate the absolute best terms for your needs and so that you can accept the best possible offer that the market can provide!
Setting Clear Expectations
We should have been able to set clear enough expectations to the buyers’ agents who submitted their clients’ offers so that they hit all your needs and wants with their initial offer, if not then we will need to negotiate with each to get you better terms.
Negotiations Take the Form of Counteroffers
In real estate, negotiations take the form of counteroffers. The way the buyers tell you they're interested in your property is the offer. The way you tell them their offer is unacceptable, but you're willing to negotiate, is with counteroffers. We will always have several discussions with you so that we know exactly what you want. And in the event that you cannot get it, we must also create a tentative fallback position — the minimum you will accept.
The Right Way to Receive an Offer
When we present your offers to you, we will do our best to explain all the details of each offer and we will compare and contrast them so that you can understand the strengths and weaknesses of each. Here's a list of important details that we will need to pay close attention to.
How much and who has it? (Is it a serious offer, as evidenced by a sufficient deposit?)
What exactly are the buyers offering?
Cash, and if not, why not?
Loan type?
How soon will you have to move out?
Is there anything that could weaken the deal, also how can we negotiate to make the contingencies terms more favorable to you?
We Will Clarify the Offers for You
As we go through these questions, we will be sure that you understand which offers are stronger and why so that you can make the best and most well-informed decision that you can on which to accept.
Understanding Contingency Clauses
A contingency clause is an additional condition with a specified timeframe. Contingency clauses are ways for the buyers (and sometimes the sellers) to get out of the deal. Our goal is to let as few of the buyers' contingency clauses as possible into the agreement and to limit by time and performance those that are included. We must be very careful of contingency clauses. Below is a list of some common contingencies.
The buyers will purchase contingent on their selling their present home. This is a very weak offer, because it means the sale of your house depends on the sale of another house with another set of sellers and buyers.
The buyers will purchase contingent on their getting new financing — if they're already fully preapproved, there may be little to worry about.
The purchase is contingent on the buyers' being able to move into the house within a set period of time.
The buyers will purchase only if they approve your disclosures and their professional inspection. Typically they will ask for a set period of time for this, usually a couple of weeks. We probably can't sell without this contingency.
