Written by Helen Collier-Kogtevs, bestselling author, educator, speaker and property investor
As property buyers, there are plenty of strategies you can use to gain the upper hand when you’re negotiating the deal.
Remember, property negotiations aren’t always about price, as some vendors have other priorities they’re more focused on – and you can use this to your advantage.
That’s why I suggest you ask the selling agent a bunch of questions before you make an offer, so you can negotiation from a position of knowledge and power.
1. Why is the vendor selling?
If the vendor is selling due to a deceased estate or divorce, or they’re already committed elsewhere, you may be able to negotiate a better price in exchange for a fast, hassle-free settlement.
2. When does the vendor need to move out?
If the owner is in a hurry, or they need to stay in the property for a certain amount of time, they may be more flexible when it comes to price negotiations.
3. How long has the property been on the market?
If it’s been a long stretch of time, it could mean that the vendor has priced it unrealistically, or perhaps the property has some flaws that other buyers deem to be too risky.
4. Is the vendor negotiable on the price?
When you ask the agent this question, they may tell you what offers have been passed over so far, which gives you an understanding of where the vendor’s expectations are.
5. What else do you have at this price?
By enquiring about other properties on the market in the same price bracket, it shows the real estate agent that you’re not emotionally committed to this property.
6. What inclusions come with the deal?
Certain things like carpet will obviously be included, but for curtains, light fittings and whitegoods, it’s a good idea to clarify upfront what is and isn’t included – and then use these as negotiation points.
7. What are the big issues with this property?
Just come right out and ask; what’s the harm? If the real estate agent knows an issue exists, it’s in their best interests to be upfront about it, because you’re likely to discover the problem when you organise your building and pest inspections anyway.
Helen Collier-Kogtevs is a bestselling author, educator, speaker and property investor. Her passion for wanting to make a positive difference to people’s lives, inspired her to create mentoring programs that teach people how to retire on $100k plus with 10 properties in 10 years or less.Helen started her investing career in 2000 with virtually nothing except a good job and a good husband and today has amassed a substantial, successful property portfolio,
Helen has written and published bestselling books on the subject of property investing and has appeared on television and regularly writes articles for leading Property Magazines, Australian Property Investor, Your Investment property, Your Mortgage, Property Observer, and Smart Property Investor. She topped SPI magazines 2012 best performing suburb predictions list.