Negotiation is an imperative part of real estate and following these tips will help you increase your skills within it.
In real estate, much like in any business, negotiation is a key aspect in closing a deal and working with clients. One must have a strong skill set in the art of negotiation and know how to apply it properly. So much of real estate is negotiating with others – prices, listings, contracts, etc. It is crucial to know how to use this talent in a suitable manner.
1. Relay bad news in a positive way.
Being the “bearer of bad news” comes with the territory of working in real estate. Sometimes a house is listed at an unreasonably high price and you’ll have to bring the seller back to reason. Or sometimes an indecisive buyer will be in danger of losing a contract to someone willing to pay more. If this news is spoken in a positive demeanor, the client will be more likely to listen to you. Being too assertive with difficult information can be off-putting to a client.
2. Show respect but keep the power in your hands.
It needs to be clear that you are the professional and you know what you are talking about. However, respect goes a long way in any profession. If a client is arguing with a proposed solution, it is important to put yourself in their shoes and let them know that you understand their distress. If you come from a place of respect and understanding, it is probable that your client will follow your directions.
3. Don’t allow too much flexibility on the other end – but avoid aggression at all costs.
This may seem to go against what you learned in training. The ability to remain flexible is a strong attribute to have, but allowing for too much shows a lack of authority. Keep options open but don’t let your client run wild with malleable contracts or pricing options. Maintain a strong influence on what you expect from your client, but don’t let yourself become too pushy if changes need to be made.