It seems like people have forgotten how to negotiate. Homeowner has home listed. Buyer makes offer for less than asking price, seller rejects it without negotiating. Homeowner has home listed, buyer makes offer that is less than asking price, seller decides to counter at the asking price. Buyer goes up a little higher, seller stops negotiating and moves on but also reduces the list price.
There are so many opportunities to negotiate when buying or selling real estate. Successful negotiations require some give and take. I have noticed that the slower negotiations are and the longer it takes each party to respond the less likely it is that parties will reach an agreement.
Low offers can be negotiated up and high asking prices can be negotiated down but it takes some effort. It is part of the home buying and selling process. I guess what I am saying is expect to negotiate and maybe even learn a little about how to negotiate. Here are some simple tips from LifeHacker. I particularly like tip number 5 about broadening the pie. Negotiations don’t have to be just about one thing like money. They can be about other terms like closing dates and who gets the swing set.
Often one party assumes if they offer X the other party will offer Y. Sometimes people behave as predicted but not always. It is important to keep an open mind, and to listen to what the other party really wants and keep going back and forth.
Even after one party says no, there is still room for negotiation, yet some people just don’t negotiate, which is a shame and a missed opportunity.
That low offer could end up being a higher offer and it could save the expense of holding a property for an extra six months only to get a similar offer on it.