I have been writing about negotiations with a focus on finer points but let’s start at the beginning.
The most basic question to ask yourself when you begin a real estate negotiation is “What am I trying to accomplish?” Many times the actual purchase is secondary to the real reason you are entering into a contract. Sometimes the purpose is to secure a location above all else. What I mean is that the actual property is secondary to the location for whatever reason. That might be schools, work proximity or neighborhood focus. Of course, you don’t want to buy a bad property but tradeoffs for the real reason is logical.
In the heat of a negotiation it is easy to lose focus and chase other reasons. I have a 6-foot great white shark picture in my office to remind me to stay focused on the real reason I am doing something. I have been known to put up pictures of the goal in front of the shark on my wall to remind me that I need to be the great white. Focused! If you are buying something or selling something having an honest and real conversation with your partner about what they really want out of the deal might reveal diametrically opposed purposes. This conundrum is better discovered at the start of a negotiation than in the middle or worst case at the closing table. You should ask your partner the following questions:
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If you could get anything you wanted out of this transaction, what would it be?
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What is most important to you to get out of this transition looking backwards 12 months from now?
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Prior to today, I feel that you have been concerned about my desires in this process which I really appreciate but what scares you the most about this transition?
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I want you to confirm if I have heard you correctly. Let me articulate what you want out of this process
Albert R. Hartley