Jim Valentine on Real Estate
One of the most important parts of a real estate agent’s professional duties is the ability to negotiate. From the taking of a listing to the presentation of an offer they are negotiating with at least one party, and often more than one at the same time. It is critical for their success to understand that negotiating isn’t arguing. It isn’t who gets the loudest, insults better, or gets the last snide comment in during communication with other agents.
It never ceases to amaze us when an agent uses such tactics to represent their clients’ cause. They aren’t currying any favor with the other agent and most of the time when the other agent’s client learns of such interactions they are repulsed by it. For the most part they aren’t used to conflict and don’t like to be around it. We’ve had customers stop the transaction because of the behavior of the other agent. That is sad for they set their customer back time-wise and possibly financially just by their behavior.
If the parties aren’t agreeing on one or more components of the proposed transaction what can be done to bring them together? Ranting or snideness doesn’t serve that purpose well. If the parties don’t agree and aren’t willing to give way or modify things to work toward a resolution then there is a chance that the transaction will not come to fruition. That is OK because it takes an agreement from both parties to make a deal work. Some “chips” are given willingly while others may be stumbling blocks.
When negotiating it is important to determine what makes the other side tick. What do they really want and what is a smokescreen. Sometimes items get inserted in a transaction as bargaining chips that can be tossed later. The art is to determine what is real, as in really important, and what is a throw away. When you get to that level you can make some decisions that will help you recognize if the transaction has a chance of surviving.
If you respect the other side and negotiate professionally you may find yourself getting help from them if things go awry in the transaction, as they can do. If you begin the transaction with a “gotcha” attitude then you might just find yourself “gotten” when things turn about. Confidence in the other party is built with negotiating integrity. Confidence in your “opponent” can lead to someone doing something they didn’t think they would do because they feel more comfortable with their counterpart. Keep everyone happy and moving towards the common goals of a meeting of the minds and the close of escrow and you are being a professional.
When things get tight and appear to be stalled, think of other options that could loosen things up. Try to not get down to one item, but keep a few “balls in the air” as you move forward. If it is just price remaining to agree on, and you are in agreement on all terms but price, you might be in a pickle. If you think of other terms that can offset the price issue you may find yourself with a meeting of the minds. Add or subtract time from elements of the agreement. Add something to the transaction that wasn’t in play, i.e.- the riding mower.
Negotiate with respect for the other party as they work toward their objective. It shouldn’t be a clash of agents’ egos as it can sometimes get to, rather it is professionals working to satisfy their clients’ wants and needs. What is the best way to achieve that goal? Professional negotiating, not a rumble in the conference room. Sometimes agents feel they need to grandstand for their client to earn their fee. Earn their respect and they will be happy to pay your fee. Earn their respect by negotiating in their best interest, not yours.
Negotiating occurs in many places in our daily lives, from garage sales to the car lot. Homes cost more, but the basic premise is the same. Everyone is working in their own best interest toward a common goal, the consummation of the transaction. Remember that and don’t compromise your integrity or your client’s position by acting out.
When it comes to choosing professionals to assist you with your Real Estate needs… Experience is Priceless! Jim Valentine, RE/MAX Gold Carson Valley, 775-781-3704. dpwtigers@hotmail.com.