Determining the value of a property is one thing. It is quite another to negotiate the desired price with the potential buyer. Is it better to quote a price that is too high in order to have a good basis for negotiation or should you rather start small and hope that the prospective buyers will outbid each other?
Before you start price negotiations, it is important that you yourself know exactly how much your inherited property is worth. You should have the value estimated by an expert in order to be able to defend it confidently in a negotiation. However, you do not necessarily have to use this value as a basis for negotiation, but can consider a suitable price strategy. Real estate heirs often make the mistake of setting the price too high in order to have a great deal of negotiating leeway. This tactic is problematic, however, because a price that is too high makes the offer appear dubious and deters interested parties. Currently, demand on the real estate market is very high. Therefore, it is much more advisable to choose a sales value that is lower than the real value and thus get various prospective buyers to bid. Alternatively, you can also opt for the strategy of a moderate price. This is only slightly above the real value and is thus perceived as fair. This strategy leads to a short negotiation period and a sales price with which both parties are satisfied in the end.
As in any negotiation, it is important to appear confident when negotiating the price of a property. Often clients specifically pick up on the shortcomings of your property and hope to achieve a reduction in the price. Therefore, you should know all possible weak points and deal with them openly from the beginning. This way it will be clear that you have already taken these deficiencies into account in your price calculation. For someone who has little negotiating experience and is also not particularly familiar with the real estate market, it can sometimes be difficult to always bring up the right arguments and not let the persistent enquiries of prospective buyers throw you off your game.
Therefore, it usually makes sense to leave the price negotiations to a professional marketer who knows exactly how to deal with buyers and is well informed about the market. In addition, thorough preparation for the negotiation meeting is necessary, for which most sellers have little time in their daily lives.
Are you still unsure about the best negotiation strategy for your property and would prefer to hire a professional? Contact us now without obligation. We will be happy to advise you.
Photo: © Andrew_Rybalko
