Home Buyer Negotiating Mistakes - Part 2

Exhibiting Urgency. Few things sap negotiating poweragent negotiates a better deal for you, that is money
like exhibiting urgency. Agents smell urgency and willout of their pocket. This doesn't mean that no agent
encourage the seller to drag their feet until you can'twill negotiate for you. There are some excellent
stand it anymore and make a full-price offer.buyer's agents out there that will aggressively protect
Remember, a real estate agent representing a seller isthe buyer's money. I highly recommend using a real
legally obligated to get the most money possible forestate buyer's agent for a variety of reasons. Just
the seller. If you have to be out of your house in 45make sure you have one of the good, experienced
days because the buyer is closing and takingones and not one that is protecting their money.
occupancy, keep it to yourself. If the seller or agentOffering Too Much Initially for a House. In negotiation,
senses this, kiss your chances of negotiating anythingalways offer lower than you expect to get. Offering
goodbye. Remember, always play the reluctant buyer.too high doesn't leave you sufficient room to arrive at
You are looking at several attractive options and youyour goals. People have an overwhelming tendency to
are perfectly comfortable staying in your currentend up in the middle of the range between asking price
house for the next year. Many times, if you are aand offer price. That means you have some control in
serious buyer, the real estate agent or the seller will trydetermining where the middle is. A friend of mine was
to drag an offer, even a lower offer, out of you. Thenrecently negotiating a new home. The asking price
you know you are shifting the momentum in yourwas $349,000. My friend offered $275,000. The actual
favor.sales price: $310,000. What chance do you think my
Trusting a Real Estate Agent to Negotiate for You.friend would have had in obtaining a sales price of
Don't. Do. IT! As I said, real estate agents have little$310,000 had he started out at $305,000? Zero.
required training in negotiation to get a license.Remember, sellers price their homes high expecting to
Furthermore, most real estate agents, even buyer'sbe negotiated down. Your first offer, and the manner in
agents, are still paid based on a percentage of thewhich you increase your offer, have significant
sales price of the house. And they are paid by theinfluence on what you eventually pay for your home.
seller. Just think about the conflict of interest thisWhen you decide to buy your home, make sure you
creates. Consider that the seller is representing his oradequately prepare and avoid these costly mistakes.
her best interests. The seller's real estate agent isUnderstand that you must be the person looking after
representing the seller's best interests. The buyer'syour best interests and that you may very likely be the
agent (your agent) is getting paid based on what theonly one. Gathering sufficient information and learning a
house sells for so they are representing their own bestfew brown-bag negotiating skills can save you tens of
interests. Who is looking out for you? You are. Ensurethousands of dollars when you buy your home.
you know how to protect yourself. Because if your