The Book on Negotiating Real Estate
Description
Perfect for fans of Never Split the Difference and all types of real estate investors. Learn how to close more real estate deals. . . and make more money in the process!
From expert real estate investors and best-selling authors J Scott, Mark Ferguson, and Carol Scott, this is the only book you'll need to ensure you'll get the most deals-and the best deals-on all of your investment property! With over 1,000 successful real estate deals between them, the authors combine the science of negotiation with real world experience to dive into all aspects of the real estate negotiation process-from the first interaction with a buyer or seller, to renegotiating the contract after unexpected issues arise, to last-minute concessions at closing.
Not only does this book cover all aspects of negotiating real estate deals, but it also contains dozens of true-life stories that highlight how strong negotiation can result in more and better deals. Real dialogue examples will teach you what to say and how to say it, which will strengthen your ability to close profitable transactions. Whether you're a real estate investor, agent, beginner, or expert, you can use these expert strategies to create optimal agreements and dynamic end results!
Inside, you will learn:
- The principles behind successful negotiation
- The psychology of building relationships to gain negotiating leverage
- How to uncover and use information to tip negotiating outcomes in your favor
- Strategies for defining optimal offers and counter-offers
- Tactics for in-the-trenches negotiating and overcoming objections
- Strategies for using concessions to get your deal to the finish line
- Tips for overcoming tactics employed by those on the other side
- How to overcome the challenges of making/receiving offers through agents
- Tactics to renegotiate issues that arise from contract contingencies
- Strategies to get the best of it when buying properties from banks and HUD
- And much more!
More details
Persons
Content
Preface
Introduction
Planning, Preparation & Research
Building Rapport & Determining Motivation
Making an Initial Offer
Bargaining
Renegotiating
Settlement
Chapter 1: Introduction to Negotiation
What We Mean By "Negotiation"
A Simple Example
Negotiation Outcomes
Negotiation Strategies
How Real Estate Negotiation Is Different
Negotiate Everything!
Win-Win Isn't Always Possible
Chapter 2: Principles of Negotiation
Negotiating Mechanics
Concessions: The Currency of Negotiation
Leverage: The Power of Circumstance
Power: A Balancing Act
Momentum: Negotiations in Motion
Price & Terms
Successful Negotiation = Solving Problems
Chapter 3: The Power of Information
Information about the Market
Information about the Property
Information about the Buyer/Seller
Chapter 4: Psychology of Rapport
Business Is Personal
Face to Face
Name Recognition
Mirroring
Talk About Them
Make an Upfront Concession
And Brag About It
When You Cannot Get Face-to-Face
Leave Your Ego at Home
Leverage Their Ego
Keep Building Rapport Throughout
Chapter 5: Seller Motivation & Leverage
The Information We're Looking For
Getting Information Directly from the Seller
Getting Information from Seller Sources
Chapter 6: Opening Bid Considerations
Define Your Target Point and MAO
Write It Down!
Target & MAO Example
Who Offers First?
Avoid Round Numbers
Offer Low…But Not Too Low
Hold Back Some Concessions
The Real Estate Contract
The 6 Major Components of an Offer
Chapter 7: Your Opening Bid Price
Opening Bid Price When Working with Sellers
Opening Bid Price When Agents Are Involved
Chapter 8: Terms & Contingencies
Earnest Money
Closing Date
Financing
Contingencies
Other Terms
Chapter 9: Delivering Your Offer
Make Most Offers in Writing
Use State or Attorney Approved Contracts
Keep Offers as Simple as Possible
Best Practices When Dealing with the Seller
Best Practices When Offering Through Agents
Best Practices When You're the Agent
Timing of Offers on Listed Properties
Chapter 10: Negotiating Tactics
Plan Your Strategy Upfront
Focus on Things Both Sides Agree On
Friction Is Your Friend
Use Documentation
Use Experts
Don't Lie
Keep Your Mouth Shut
Don't Interrupt
Appeal to a Higher Authority
Bluffing / Take It or Leave It
Dealing With Stalls
The Most Important Tip of All
Chapter 11: Concessions Strategies
Rules of Concessions
Always Ask for a Final Concession
Implement a Penalty for Concessions
Taking Concessions Off the Table
It Never Hurts to Ask
Negotiate Concessions in Chunks
Bundle Concessions to Reduce Complexity
You'll Have to Do Better Than That
Chapter 12: Defense & Counter Tactics
First Things First
Defending Against Lowball Offers
Defending Against the Nibble
Defending Against a Trial Balloon
Defending Against Higher Authority
Defending Against Take It or Leave It
Defending Against Silence
Defending Against Lies
Defending Against Interruptions
Defending Against "Tactical Criticism"
Defending Against Threats of Competition
Defending Against a Rejected Offer
Chapter 13: Renegotiation Principles
What Is Renegotiation
Risk of Over-Using Contingencies
Common Renegotiation Resolutions
Renegotiate to Make the Parties "Whole"
Determining Who Should Pay
When To Ask for More
Chapter 14: Renegotiation Scenarios
Inspection Contingency Renegotiations
Financing Contingency Renegotiations
Chapter 15: Negotiating the Sale
Agent vs FSBO
Setting Your List Price
Price and Terms
Important Terms for Your Sales Contracts
Multiple Offers Situations
Escalation Clauses
Chapter 16: Buying from Institutions
REO Properties
HUD Foreclosures
Final Thoughts
