Script of telephone negotiation with seller today (Advice wanted)
One of the many calls that I had today. I am using Michael Quarles advice about getting the seller to give me their minimum. I have had success and failure with this. Here is the part of a phone call that I had today where I failed and, the point where I failed with this one is where I fail on the other ones and end up offering.
Me: Taking into consideration that I could basically close on the day of your choice how much would you accept as the minimum price for your building
Seller: Well listen I had it sold for 520000 last year so how much would that be minus the 4 percent commission...500000
Me: So the minimum price that you would be willing to take is 500000
Seller: There you go that is what it would be, if you are going to tell me that you will propose me something than it is up to me to accept it or refuse it.
Me: Well you just told me that your minimum is 500000 so it would be pointless for me to offer anything less than that because that is the minimum you would accept.
Seller: Listen, you have not seen it yet, you don't know where it is. If you are serious and the funds are there then make me an offer.
Me: How much is the mortgage on the property?
Seller: There is no mortgage it has been years since I had a mortgage.
Seller: blahblahblahblah
Me: I am getting the impression you are more negotiable than 500000, how much are you willing to take as a minimum.
Seller: lol listen William go see the building, if you are interested I think you know the address
Me: I have all of the information for your building but, before I take the time to make an appt to go see a property I have to know that the owner is within my range.
Seller: What is your range
Me: I have to know what your true minimum price is and then I can tell you if it is in my range.
Seller: Ah damn, what is my minimum...if I tell you my minimum is half a million you are going to say well I am not interested.
Me: That's right
Seller: What is your maximum?
Me: Well I mean (sigh) I have a maximum and I understand that you want to know it.
Seller: Tell me your maximum and I will tell you whether we can come to an agreement or not.
Me: (Giving up the battle) Alright well uh I will just pull up my calculations to give you a precise number
Seller: Sure
Me: Okay so my maximum will be below 400
Seller: Below what!
Me: Below 400
Seller: No forget about it I didn't say that I was willing to give it away.
Me: I understand
Seller: Listen this is not costing me anything and it brings me in 10000 clean each year.
Me: I understand, thanks for the call and give me a call if you are interested in selling fast with no hassle. For the time being I have absolutely no interest in buying it for the price that you are asking.
Seller: No problem take care
Me: Byebye
My first thoughts on this interaction is that it was very weak on my part to give in and give him my maximum rather than he give me his minimum.
What does BP think about this?