Need Help on Negotiating as a Agent ?!?

Question

Hello BP Community .I'm a Brand new employed agent Really trying to improve my skills on negotiating. As in Concessions and how to use it as leverage. or anything of value. Thank you all in advance BP

Nathan McBride · Answer

@Brandon Vukelich I second that! That $11 eBook netted me six figures in equity on the very next deal I did.

Brandon Vukelich · Answer

Read "Never Split the Difference" by Chris Voss, follow his stuff.  You will learn over time by experience but from what I've seen in 13+ years as a licensed broker is that nearly all agents/their clients like to "meet in the middle" when negotiating.  I was guilty of that for years as well.  After taking some negotiating courses and reading books like that one, it really helped me when negotiating terms for offers, inspections and due diligence items.  Asking a lot of questions to gain the best understanding of the situation at hand is vital.  I typically try to limit emotions (you can rarely eliminate buyer/seller emotions 100%) and have logic prevail at every opportunity.  Best wishes on your real estate journey!

Nick Cabreira · Answer

Hey Johnny, I am also at the start of my journey as an agent, but from my experience and learning to this point in time, I for sure recommend you to check out some of the BiggerPockets Show podcasts with David Greene & Rob Abasolo, especially ones featuring agents. Usually they share their story and a lot of good tips on top of that as part of their experience.

Another thing is definitely checking out the book series by David Greene: SOLD, SKILL, and SCALE. I am sure you will take away a lot of gems from these readings, save a lot of time and struggle, and grow your business as an agent much faster with the head start knowledge. Then of course, take some real good notes and apply in real life.

Hope this helps and wish you all the success, let's get it!

Justin Moy · Answer

One unique part about the real estate negotiation process is how stark our supply/demand imbalances can be. Lots of books don't have tips for negotiating when you're 1 of 8 offers with comparable buyer profiles.

Once you're in escrow lots of the negotiating leverage is really how much the seller doesn't want to put the property back on market and how bad your buyers want the house.

This isn't like the luxury listing shows where there's 2 brokers fighting in a restaurant. Both brokers want to get the deal done on acceptable terms for their clients. I'd also think about your reputation in the market. If people start to know you constantly say the same things in every escrow, they'll eventually know that's just your playbook and won't take your word seriously. Treat each situation differently and know when to stand up for your clients and know when to bend so you don't break

Scott E. · Answer

Others have offered good advice. But if I were a new agent I would go to the 3 top performing agents in my brokerage and pick their brains. They are going to understand the dynamics of your exact market better than anybody else out there.

And I'm not talking some fancy formal mentorship here either. Have a coffee with them. BS with them for 5 mins at the water cooler. Sit in with them on a closing. Whatever makes sense. Make a point not to inconvenience them, but try to extract as much value as you can from them in passing.

Brandon Allenczy · Answer

Honestly, the best experience you can get is just from doing deals. Quality is in the quantity. You'll learn a lot of interesting things from these books, but things just aren't as linear in the real world as these books make them seem. Over time, you'll learn what kind of leverage you have throughout different points of the transaction and how to utilize it.

Caveat: this advice is coming from a newer agent as well. I've been in the game 9 months and have closed 4 deals so not exactly a veteran, but I've just found a bit of a disconnect between advice from these books and what actually happens in a transaction.

Hamp Lee III · Answer

Check out any training from your brokerage, real estate agent books in the BP Bookstore, and YouTube videos from agents like Kyle Handy.

Need Help on Negotiating as a Agent ?!?

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