Are you negotiating as effectively as you can be? Are you doing anything to sabotage negotiations? Read our top six tips and find out.
 
The one who is willing to walk away has the power. It’s true, whether haggling at markets for an overpriced item or negotiating real estate deals – if the other side will just not meet your demand, don’t give in if it’s not worth it. Your client will pay more for a home and the seller gets what they want; your client will probably not be happy.
 
Don’t hurry the process. If you are flexible about time, you have the advantage. Patience itself is a great negotiating tool – the other party starts to believe that you are not under pressure to conclude the deal. Usually when this happens, they offer concessions as a means of providing you with an incentive to close the deal.
 
Encourage the other agent to talk – then listen. The other negotiator will tell you everything you need to know – all you have to do is listen. Ask lots of open-ended questions to find out what the other party is thinking and feeling.
 
Focus on the pressure on the other side, not yours. When you focus on your own limitations, you miss the big picture. Good negotiators ask, “What is the pressure on the other side in this negotiation?” Be a detective; find out what their worries or concerns are, then exploit them to achieve a better result for yourself.
 
Don’t give anything away without getting something in return. That’s the whole point of negotiating! You’ll do this for them if the other party does that for you. When you give something away without anything in return, they will feel entitled to your concession, and push negotiating to see how much more you’re willing to give up with nothing in return.
 
Set expectations. Make sure your clients know what the realistic expectations are for any negotiation. They need to prepare for what could happen, and what the other party may or may not be willing to do for the deal.