When it comes to selling or buying a Charlotte, NC home, it’s important to negotiate. However, the question many ask is how do you get the upper hand in a real estate transaction?
You can gain power in real estate negotiations by using the power of effort. Acting unexcited - and being ready to walk away - will help too. Likewise, a BATNA - and realtor assistance - will help you get a favorable deal.
Read on to learn more about tips like these straight from Charlotte, NC master negotiators.
Harness the Power of Effort
Most people are swayed by guilt, pity, or obligation. While it may sound alarming, you can use these emotions to gain the upper hand in the negotiation.
Also known as the power of effort, it’s doing a positive or significant thing for the opposition.
It’s as simple as showing initiative so that you get to demonstrate your capabilities.
In other words, it’s doing something that will make the other party feel a little guilty. Because of this, they feel compelled to reward your effort.
In essence, you have a higher chance of getting your attempts rewarded when you throw in some effort.
Take this example:
You saw a neighbor’s dog lost in the neighborhood. You pick it up and drive it back to their home.
You could have called them to inform them about the dog’s whereabouts. But no, you went up and beyond to bring the dog back to them.
Because of your efforts, the neighbor feels indebted (or obligated.) In their mind, they need to return this.
Yes, this guilt trip technique often works. However, you have to acknowledge that some terms are non-negotiable.
Even if you’re feeling indebted to the other person, you should continue to seek the best deal possible.
...And Don’t Be Afraid to Put in Some More
Yes, the power of effort is effective - and so is exerting more effort than needed. Doing so shows that you are interested in that piece of Charlotte, NC real estate.
As John has mentioned in his article, “Good deals don’t just fall on our laps.”
To get the best deal possible, you need to put in time and effort. More importantly, you need to try and overcome all the barriers in front of you.
Putting in some extra effort makes everything worth it. A little research, some active listening - even asking questions - will help you out.
Knowledge is power, so they say. If you know the market, then you know what price to expect for the Charlotte, NC home you’ve been eyeing.
If you don’t do your research, you’d likely be stuck with a bad deal. Imagine all the money you could have saved if you asked around.
Don’t Seem So Excited
It's easy to feel giddy once you find the luxury Charlotte, NC home you have always wanted. But if you’re hoping to gain power for this transaction, you have to act like your feelings about the property are fairly neutral.
You may find it hard not to voice your excitement. You have been looking for this property for so long. Without the help of a Charlotte NC realtor like Nancy Braun, you might never have noticed this home at all.
That said, less talk is always more.
When you’re silent, the other party will be fooled into thinking that they’ll lose your business. Show your best poker face. Make it seem like you’re not convinced that it’s the best home for you (although it is.)
Keep this charade, and you're sure to gain the upper hand in the negotiation.
Have a BATNA
You're neck in neck with the negotiation. You've given every ounce of effort but to no avail. You and the other party weren't able to reach a compromise.
No Best Alternative to a Negotiating Agreement (BATNA)? You’ll both walk off empty-handed - literally.
This is why the Showcase Realty team recommends creating a BATNA beforehand. This can help protect you - and the other party - from having to accept unfavorable terms.
Without this, you’re forced to go with the concessions that could be very unpleasant. You’re here to make money - not lose some!
When it comes to creating a BATNA, it’s best to seek the help of a real estate agent. They can help create a document that:
Don’t Be Afraid to Walk Away
Like keeping your excitement under wraps, walking away may help you seal the deal.
The thought is the same: the other party is afraid of losing the deal. They’ll do anything to keep your business.
When you try to walk away, they’ll be more likely to give in to your requests.
This is why you need to do your research in the first place. You'll learn more about the other party's circumstances. You know whether or not they can go lower than intended.
Say you're asking for a 10% discount. If not, you're out the door. They give you 8%, but you still wouldn't relent.
You’re one foot out the door, and voila - they decide to give in to your request. Now, you’ll be able to get your dream Charlotte, NC home for 10% off the listing price.
While this works most of the time, be prepared for the fact that it might not be in your favor. They may have other better offers. So if you walk away without getting the deal, chalk it up to experience.
Speaking of experience, there's a time when you need to leave the negotiating to the experts. I'll discuss more of this below.
Showcase realtors have an in-depth understanding of the right price and the power of negotiation. #NancyBraun #ShowcaseRealty #TopRealtorsInMyersParkCharlotteNChttps://t.co/NFfrnBO0XJ pic.twitter.com/OIzw6sj58A— Showcase Realty (@ShowcaseRealty) June 16, 2021
Seek the Help of the Top Charlotte, NC Real Estate Agent
Let’s face it - not everybody is a born negotiator. Unless you are a Charlotte, NC real estate agent yourself, it’s unlikely you’ll be able to get the price you want.
Nancy Braun and her team, however, are masters of negotiation. As a lawyer with 24 years of experience, she’s an expert in real estate negotiations.
Whether you want to sell your Charlotte, NC home - or buy a new one - she’s the best agent to help you out. She can help you with any real estate transaction - no matter how big or small it might be.
As for you, all you need to do is sit back, relax, and wait for your investment property!
To gain power in real estate negotiations, you need to take advantage of the power of effort (and put in some more.)
Don’t seem too excited, and always have a BATNA ready. If all else fails, be prepared to walk away.
More importantly, seek the help of the best real estate agent in Charlotte, NC. They can negotiate for you - and get you the price you deserve!