Tips for real estate negotiation on the buyer's side (part 1)
We will be particularly interested in buyers. In this first part, we will give you a definition of negotiation. We will focus on properly evaluating the real estate market. We will study its consequences on negotiation. Finally, we will ask ourselves the question: when does the negotiation start?
Real estate negotiation definition
When buying real estate, it is customary to negotiate the price. Focus on this crucial moment in the process of buying an apartment or a house. We will try to give you some keys to a successful negotiation. Negotiation is a power struggle. The more finely you have the ability to assess how strong or weak you are, the better you will manage it. It is not about winning or losing but about getting the best possible conditions.
How to assess the real estate market?
There are two main types of situations:
- the market favorable to sellers: a lot of buyers, few quality properties for sale, fast transactions, rising prices
- the market favorable to buyers: few buyers, many properties on the market that are not selling, slow transactions, falling prices
In the first case, buyers will have a low margin for negotiation. Sometimes it will even suck. In this type of market, it is common for a buyer to miss out on a property he wants because he does not decide quickly enough or seeks to obtain too much negotiation margin. To be effective, the purchaser must be very reactive and not greedy in his negotiation margins. In the second type of market, buyers have the upper hand. It is becoming important in order to succeed in negotiations to take your time, to seek greater price reductions, to drag out the negotiations.
When does the negotiation start?
Before making an offer to buy. Indeed, as soon as you like an apartment, during a visit, you must immediately put yourself in a position to prepare for future negotiations. Don't get too excited. Remain neutral. If not, you clearly indicate to the real estate agent or seller that they will be able to sell at the most expensive price. Try to get information about the seller, the reasons that push him to sell. Is he in a hurry to sell or not? How many visits have already taken place?
If the apartment is presented to you by a real estate agent, do not hesitate to ask him what margin of negotiation is possible. It's up to you to feel whether the information provided by the agent is valuable or not. Remember that for the real estate agent, the goal is to complete the transaction. Whether the apartment sells a little more or a little cheaper will only slightly change his fees.
After several months of research (in a very targeted neighborhood), I decided to call on Parlez moi de Paris to get out of this spiral of visits that were not successful. An investment that proved to be very effective since I made an offer at the end of the 5th visit.
Great experience with Parlez moi de Paris. Patrick is a professional who accompanies his clients very well in the search for their future place to live. Very attentive, he creates a favourable environment that encourages exchanges with the various stakeholders.
We have established a partnership with Parlez moi de Paris for all the acquisition searches in Paris of our clients that we cannot support. I guarantee the seriousness, the sympathy and the expertise of Patrick and his teams. The research mission is carried out with efficiency and kindness. I recommend.
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