The Art

Just recently I have talked a client out of offering more for a home so they didn’t overpay and talked another client into offering asking price instead of low-balling so they wouldn’t lose the house.  There are finer details but that is the gist.

It worked out for both.  The first client was afraid of missing out when there were other offers.   Experience helped me asses the situation.  The client’s fear almost cost them thousands of dollars. It would have been simple to just to offer my client’s maximum offer and be done.  That would be science or at least math.

I had a client tell me over and over and over that they would not lower the price.  An offer came in, under list price.  While pulling out a blank counter-offer the client said, “I saw them looking at the house.  They looked like a nice couple.  We’ll take the offer.”  As simple as that the buyers got a deal maybe no one else would have gotten.

In a weird situation I had a seller tell me to just bring them an offer.  They were flexible.  The offer came in $10,000 off and the seller countered $1,000 off list price.  The buyers didn’t buy and had a few choice words that I didn’t pass along.  Not very flexible.

I have had sellers moved by a letter from the buyer about how much they loved the home and others scoff at the idea that a letter would influence them beyond the dollars at close.  I have seen the sellers and buyers talk through an issue and resolve it smoothly while in other cases, not so amicable.

It’s an art because it isn’t always about money or seemingly selfish motives.  Early in my career I learned regardless of how strongly a client say they will or won’t move, it can happen.  Everyone once in a while I have someone call me and ask if my clients are flexible on price, or their offer, and I usually say the same thing,

I have had past clients tell me they will or won’t budge but then later change their mind.  If you catch them on the right day, you might get lucky.  Bring us your best offer.

Sometimes agents get in the way of a deal.  Some feel the need to fight for something that the buyer didn’t necessarily ask for.  One agent called and came up with some silly extras for the contract. While mulling it over my clients found a better house.  Another agent felt “she just wasn’t doing enough for her clients” even though the buyer and seller had agreed to a change on their own.  A stir was caused and then they fixed it again.

Recently I told an agent that my clients weren’t going to do anything beyond what was in an addendum.  Many days later the other side came back asking for more.  My clients sent a termination.  The agent called and said, “Well if it’s that important my client doesn’t need to have it.” We had told them, they didn’t listen, and now they could find another buyer.  Principle has often gotten in they way.  I think the agent is the one who suggested asking for more.  My clients didn’t like the way it was being handled, felt they were being straightforward while the other side wasn’t.

You might be surprised to hear how often hurt feelings kill deals. The best way to keep a deal going, or at least not feel bad if it falls apart, is to act fairly.  The smoothest deals are where people try to understand the other side while asking for what would be fair in their mind.

Negotiating is an art like tight rope walking. You try to get a feel for what is going on, check the wind, and adjust when things get shaky.  And there is no guarantee you won’t fall which can make it exhilarating.