If you’re selling through offer and negotiation, negotiation skills are very important. Your agent will conduct the negotiations for you but in the end it’s you that will have to make the final decision.
If you’re selling by auction or tender, it is hopefully a case of sitting back and waiting for the buyers to place their bid or tender. However, even then you may be involved in negotiation if your home is passed in at auction, or if you don’t receive an acceptable tender.
Here are some things that may help make the negotiating process easier:
Buyers usually expect to negotiate
In negotiations, most buyers will not make their best offer straightaway. So if their initial offer is lower than you would like, don’t be afraid to make a counter-offer.
Take your time
Don’t feel pressured by the agent. It’s in their interest to conclude the deal as quickly as possible, but it may not be in yours. If you’re not sure, tell the agent you need time to think. Most people act more rationally when they’ve had a chance to reflect.
Do your homework
Establish for yourself a realistic view of how the market may view your property (see our Setting your price section for help). The more information you have, the better bargaining position you will be in. Also, the clearer you can be about the price range you expect, the firmer the agent can be with prospective buyers.
Be clear on your priorities
If price is more important you may be able to hold out until you get it. Make sure your price range is realistic though – if you are asking much more than the market is willing to pay, both you, your agent and prospective buyers will become frustrated.
You can negotiate on conditions too
Remember, as well as the price, any conditions the buyer may make in their offer are also up for negotiation. For example, if you can’t agree on the price you may be willing to accept their offer if they make it unconditional. Or, they may increase their price if you include some additional chattels – for example, if you leave the dishwasher.
Escape clauses
Increasingly, sellers are adding ‘escape’ clauses which allow you to accept another offer if a better one comes along before the current offer goes unconditional.
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