Boston Condos for Sale and Apartments for Rent
The art of compromising a Boston condo for sale
Before entering into a negotiation for a Boston condo for sale, it’s helpful to know in advance what you’re willing to give up, what alternatives you may have to offer and which factors you’re not willing to budge on. The art of effective compromise means bending without breaking, so identify your breaking point, items you will not give up on when negotiating a Boston condo for sale.
Why should you compromise on Boston condos for sale?
Because other people are compromising in order to actually buy something – it’s what happens once you realize that you’re probably not going to find a perfect condominium.
Why compromise? Because it shortens your timeline, and makes the process more manageable.
In the twenty plus years I’ve been a broker, I have learned many traits of a good negotiator and skills to help my clients reach their goals while still being open to compromising.
Here are 8 tactics that will help lead to a successful outcome:
- Knowing what motivates each party. Find out what is important to the parties involved. If one party is trying to close by the end of the year for tax reasons, or close quickly to purchase another property that is available, timing may be more important to them than the price. Knowing what motivates each party will help you craft a solution that makes both parties happy with the outcome.
- Create a win-win situation. It is not always about both parties agreeing on each issue. If you are able to give one party the terms that are most important to them, they are more likely to concede on issues that are less important to them. By negotiating multiple areas of a deal at one time, each party can feel they got what they needed to move forward. Consider a landlord that wants their building occupied at market rent. If that is their motivation, they may be willing to offer concessions to a tenant who wants the space built out to their needs and do not want to pay rent until they are ready to open for business. As long as the Landlord has a tenant paying full rent at some point in the future, they may be willing to concede on the short-term expenses to get the space ready for occupancy. By giving each party what they want you can create a win-win situation.
- Leave room to negotiate. Don’t start with your final offer and hold firm. People like to feel they are being listened to and showing movement from your initial terms demonstrates you are hearing the other party’s needs. The initial offer should be less than you are willing to offer so there is room to compromise. Most people like to reciprocate, so when you concede on one term, the other party is more likely to concede on another term.
- Have alternatives. In order to be successful in the negotiations, you must be willing to walk away from a deal. The best way to do this is to have other options. There may be something you really want, but there is a price that is too dear, and another property you will be happy with if the price were different. Keep the alternative in mind, so you do not concede to terms that are not beneficial.
- Be firm. A Harvard study showed that being warm and caring was appreciated by others but tended to lag in the economic outcomes. A firm communication style achieved more favorable counter-offers. By stating “If you’re willing to do this…. we have a deal” ended up 8% closer to their offer price than the group that said, “I would really love it if you would be willing to do this.”
- Work with an experienced broker. People are more likely to say yes to experts with authority and knowledge in their field. By knowing the market, your broker can craft the terms within an acceptable range that are most advantageous to your situation.
