An effective negotiation isn't about winning and losing. It's about coming to an agreement that all parties can support.
But far too often a win-at-all-costs mentality ends up with both parties in a stalemate, and missed opportunity for everyone. Too many buyers and sellers fail to connect because they can't agree on how to address minor differences.
There is a better way. By opening the lines of communication, seeking first to understand, throwing in a little sugar, and sprinkling in a little conversation, we create the conditions for a win-win agreement.
Our 4 fundamentals for effective negotiation:
Open the lines of communication: The more we communicate with the other party, and encourage communication in return, the more likely we'll be able to strike a deal that works for both parties.
Seek first to understand: As Stephen R. Covey once said, “Seek first to understand, then to be understood.” When the other party feels listened to and understood, we create an atmosphere of respect and a foundation for agreement.
Throw in a little sugar: In other words, advocate without being adversarial. The other party will be more willing to negotiate with a kind and helpful person than one who communicates infrequently and plays the role of "tough negotiator".
Pick up the phone and call: There is no substitute for a conversation, and very often it's the phone call that ends up being the key to an agreement. Yet far too often we see agents rely on texts and emails as their only tools for communication.
The bottom line
In a high-stakes market like ours you want to partner with an agent who has the soft skills that are needed to effectively negotiate on your behalf. After all, your agent's negotiation skills could end up being the deciding factor that either makes or breaks your offer. We encourage you to do your homework before you select your agent, and take all the time you need to get this right.
