The ability to negotiate successfully enhances an agent’s reputation, fosters client satisfaction and contributes to long-term success in the competitive real estate world.
Let’s explore five must-use techniques to improve your negotiation skills and facilitate better deals, getting you more “yeses” at the closing table.
Keep communication on the phone or in person
Although digital forms of communication (e.g. texts, emails) are quick and convenient, according to Harvard Law’s Program on Negotiation, relying solely on them may cause you to miss out on vital visual or auditory cues (e.g. facial expressions, body language, gestures, voice tone, etc.)
These cues are crucial for getting to know the party you’re negotiating with while allowing you to alter your communication style to produce the best outcome.
Additionally, communicating on the phone or in person leaves less room for the other party to second-guess your proposition, allowing you to leverage the research you performed leading up to the conversation.
Be strategic with language and tone
Ever heard the saying, “You can catch more flies with honey than vinegar?” There is some truth to this sentiment, especially when it comes to winning over the other party in a negotiation.
Pay careful attention to your language and tone to ensure you sound respectful yet assertive. One language hack is using affirming language to make the other party think your idea originated from them.
Example: “Your idea to have my client replace the roof was a fair and valid request. However, since they need to be out of the property soon, what if we adjusted the price instead? That way, your client can be more hands-on with choosing the roofing materials.”
Maintain control over your emotions
In real estate, everyone’s emotions are heightened.
The homeowner selling the property and the hopeful buyer are dealing with one of the most significant transactions of their lives. Simultaneously, the agents representing them hope for a successful deal and repeat business.
While tensions can be high, always maintain your composure, as your clients will watch how you handle difficult situations and use that insight to form an opinion about you — impacting future opportunities.
Always have a backup plan ready
Your desired deal may not go through even after implementing the previous suggestions. Part of having strong negotiation skills is knowing when to walk away or pursue a backup option.
A backup plan ensures you’re always one step ahead and able to satisfy clients, increasing the odds of more referrals and repeat business.
Use data to guide your negotiation efforts
Having data to back up your negotiation efforts makes you the expert. PropStream takes the hassle out of performing market research, running comps and downloading detailed reports—acting as your go-to negotiation preparation resource!
PropStream is also a premier lead generation tool, offering nationwide data (sourced from public records and local MLSs) for 155+ million properties, advanced filtering capabilities and built-in marketing tools.
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