Building Rapport and Negotiating with Sellers for a Great Deal

Your agent has gone through this process many times, so it’s wise to consult them about it. Your agent should also have a fair sense of what the seller might be willing to do to complete the sale. There is no checklist or series of questions to cover when building rapport; it involves a natural flow of conversation. I could title this section “be a good person and listen to others,” but that might be above my pay grade. Break the ice, ask questions about family, and find common interests and hobbies. Maybe you grew up in the same town, perhaps their grandson is the same age as your daughter, or they may follow the same football team that you do.

Explore top real estate agent bios, expert tips & templates to craft a standout bio that showcases your brand, builds trust & wins clients. Andrew Wan is a staff writer for The Close and Fit Small Business, specializing in Small Business Finance. He has over a decade of experience in mortgage lending, having held roles as a loan officer, processor, and underwriter. He is experienced with various types of mortgage loans, including Federal Housing Administration government mortgages as a Direct Endorsement (DE) underwriter. Keeping detailed notes on their preferences, communication style, and responsiveness gives you a leg up the next time you’re across the table from them. A few notes in your CRM can save you time, reduce friction, and help you negotiate more effectively.

• To learn resilience in the face of rejection, there are two basic strategies—getting to no and getting to yes.
• Research local market trends and comparable properties to ensure your repair request meets fair market standards.
• But the fact is that deals often lead to negotiation even if they’re well-constructed, and negotiation is an essential part of the sales process.
• Prioritize the repairs based on their urgency and impact on the property’s overall condition.

You can learn a lot about the seller’s motivation by starting with a low-ball offer. Their reaction can be an indicator of how ready they are to sell and put you in a great position in terms of leverage. However, this is also a risk since it may insult the seller, and they may decide they do not want to sell to you. Consider how much you want the home before taking this route and consult with your agent.

As a seller, one of the best negotiation tactics you can use is working with a real estate agent. They know the market, aren’t emotionally attached to the home, and know how to negotiate the best deal for you. If you want to lower the price, you’ll need to know how much repairs will cost. Using the results of the inspection report, you can call contractors and request bids to do the work. However, this is a slow and manual process that will take you a lot of time. Historically low-interest rates caused by the pandemic, on top of a host of other factors, have led to a red-hot real estate market.

How Much Money Should I Request For Needed Repairs?

“During negotiations, one of the most effective strategies I use is a combination of managing expectations and practicing discretion. For my buyers, I like to run through scenarios to anticipate the seller’s moves, staying one step ahead in the negotiation. I keep details about the buyer and seller to a minimum to avoid tipping our hand or becoming biased about the property.

Compromise is often the best method for negotiations after inspections. With home inspection negotiating, both parties will have peace of mind when negotiations end amicably. Most sellers expect at least some back-and-forth following a home inspection. While the seller isn’t obligated to make the repairs, neither is the buyer — so it’s usually best for both parties to come to some form of agreement. Just make sure you’re making reasonable requests to the home seller. Most real estate agents charge 2.5% or 3% of the home’s sale price.

If you want to create unnecessary tension in a real estate transaction, this is the perfect way. How you handle the negotiations that follow, though, can make a big difference in how much you give on your end and the level of stress you experience from the process. No home is perfect, and an honest house inspector will likely find some issues with your home. Unfortunately, however, it is an inevitable part of our job when the buyer has a home inspection contingency in their offer.

You’ve started to get an idea on typical repairs, paying a contractor to walk through hunt bargains some sample properties and taking notes furiously. To sharpen your skills, you have scoured through a hundred properties in the area and found good high and low comps for properties you are targeting. Traditional, full-service agents from top brokerages rarely lower their commissions. When they do, it’s usually a small discount (maybe 0.5%) and more probable for high-value homes, repeat clients, or properties that are likely to sell quickly. This approach also offers added convenience since one agent gains a complete understanding of your preferences and needs, streamlining both transactions. It’s a win-win that can lead to smoother experiences and better deals for both parties.

#9. Don’t Be Afraid to Reject the Offer

Other agents advise using the inspection report to subtly tilt the home negotiation process in your favor. But even if your contract leaves cosmetic fixes on the table, there are reasonable limits to the seller’s responsibility. If you could have identified the repair when you first walked through the home, it’s not a good idea to request the seller fix it after the home inspection.

How to Negotiate When Buying a House — An In-Depth Guide

The home inspection will review the major issues that are typically highlighted. When you do this, you don’t need to know how to negotiate after a home inspection, as the issues will be minimal. Trust me, most buyers will have a home inspection checklist to ensure they have covered their basis.

If you’re selling a higher-priced home or one in a highly desirable location, you might have even more room to negotiate. However, if the home needs major repairs, you might want the seller to perform fixes just to make the home livable before you move in. Some sellers only want to fix things local laws require them to fix, such as code violations, — especially if other buyers won’t see it as an issue.

We’re currently in a crazy seller’s market, so it can be hard to renegotiate unless there is a considerable concern. You are the ambassador for your brand, and everyone wants to work with a genuine professional. The guy who asks you about your kids and remembers details from the last conversation will stand out. I remember when someone texted me a week after I mentioned my son’s surgery to see how recovery was. Make sure you and your agent clearly discuss what will happen if the seller doesn’t cover the full fee — including whether you’ll pay the difference out of pocket or adjust your offer terms. For example, maybe you expect the agent to handle open houses and staging recommendations.