Negotiations, Part III - 15 Tips | Creating Wealth Through Real Estate

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As promissed, here are your tips to negotiating:

1. Find out what the other party wants and help them get it.

2. Don't get defensive. Stay positive and confident.

3. You will have better negotiations if the other party knows you have other options and with those other options, they will lose the deal.

4. Blame Someone Else. If you do not want to give a concession, blame your spouse, partner, attorney, etc. etc. This way, it appears that you want to give the concession, but can not due to the other blamed party.

5. Perception - Make it appear that you do not want the deal, or that you don't need them as much as they need you.

6. Refer to a third party or bring in an expert to back up your position.

7. Work ONLY on issues that can be resolved. If you are stuck on an item, then move on to something else and come back to it.

8. Question the other party's statements with your research. Example: Question their appraisal with a statement of, "based on my reasearch," then show them actual comps.

9. Challenge the written word. If you do not like what you see in a contract, then cross it out. Just because it is written, does not mean you have to agree to it. Everything is negotiable.

10. Give positive verbal and non-verbal feedback.

11. Ask permission to take notes. If there is ever a discrepancy down the road, you can refer back to your notes and show them.

12. Never respond to hostility with hostility.

13. Only issue an ultimatum when you are willing to force their hand and if need be, walk from the deal.

14. Never leave the offer open ended. Be sure there is a deadline which creates urgency on their part.

15. Always come out the winner. The other party may "think" they got what they wanted, but you know who won! Use the negotiating tips and techniques given in this blog series and you will come out the winner more often than not.

William Barnard is Managing Partner of Nationwide Property Investments, LLC and President of Barnard Enterprises, Inc. Will participates in millions of dollars in real estate transactions each year and has experience in nearly every aspect of real estate investing, including REO rehab flips. Join his next "Make Me An Investor" program by going to and start your journey to creating wealth through real estate!

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Comments

Justin Bird
about 1 month ago

Great tips Will. Thank you!
Lafi S.
about 1 month ago

Great advice Will. I especially like number 4...always blame someone else hehe
Shane M
about 1 month ago

Lol, you have just condensed most negotiation books into one page, good work!
Will Barnard
about 1 month ago

Thank you all for your comments and kind words.
I was looking at my blog yesterday to see how many members have read it and it was under 50 which was dissappointing. I thought I was getting to help more people than that!
Please spread the word and let people know they should sign up for my blog feed so that they get notified when I make a new post.

Happy investing to ALL!
Jon Klaus
about 1 month ago
Jon Klaus
about 1 month ago

Will, excellent list. Why not take us through a negotiation process that you've completed, blow by blow. With all the twists and turns that needed special attention and wisdom.
Joshua Dorkin
about 1 month ago

I'm with Jon . . . I'd be very interested in hearing about all the details as well.
Ted Harris
about 1 month ago

Great suggestion Jon!
James Enright
about 1 month ago

Well said! That about covers everything!
Keep up the good work!