If you missed the Nov. 23rd webinar with John Wenner of the Real Estate Negotiation Institute, you’re in luck! I took notes of some of the key ideas and strategies. Plus, you can watch the webinar and download John’s Negotiation Power template too.
- Never react to an offer without gathering all the pertinent information
- “Power” in a negotiation doesn’t have to be manipulative. Each side has power and it can be used cooperatively towards a win/win agreement.
- Getting loud or abrasive naturally triggers resistance in the other person. This weakens the relationship and typically ends the negotiation without an agreement. Good negotiators are aware of this and won’t let their emotions get in the way of a deal
- Establish trust before negotiating. This means meeting face-to-face and confirming commonalities
- When applicable, compliment your adversary and be positive
- Tip for home builders: Don’t allow real estate agents to fax or email you an offer. Always meet them face-to-face to present the offer and ask that their clients attend too (most will decline their clients attend but insist they pass the invitation on). Meeting face-to-face will build trust prior to the negotiation and allow you to gather needed information for the best counter offer.
and most importantly…Have a written negotiation plan (this is John’s Negotiation Power Analysis form)
With a written plan you analyze the 12 elements of each negotiation and don’t let emotions dictate your strategy. Understanding how these 12 elements work together is the key to leveling the field and neutralizing your buyer’s market power (their advantage when supply is greater than demand).