Real estate negotiation tactics for buyers.
Now I'm going to share one super simple tactic with you guys
today, but it's super effective.
Okay.
And I'm going to follow it with a real-life situation that you
guys may relate to.
And the reason why you might relate to is because this is happening in hotter
markets. So if you're in Toronto, Vancouver,
or even here in Calgary sometimes what you hear are from the other
side.
It's b*******.
Here is my tactic.
Be assertive. Okay. And that can mean a few different things.
Be assertive as in don't take no for an answer. Ask questions...well, just
ask questions and challenge some of the things that you are
hearing from the other side, because sometimes...it might be b******.
So here's the situation:
I had a buyer and they were going to write an offer on
a property worth over $750,000 in a predominantly
white collared neighborhood. Okay.
And knowing that this was a hot listing,
we want to have a very short window for negotiations.
And so our expired time for the offer had to be shorter. It was 7:30 at night.
Okay. And I wanted to get this done by 10:30.
So I called the listing realtor, which by the way,
your realtor should always be calling the listing realtor and asking them
questions because they can use some of that information to formulate an offer
strategy or to use it in negotiations. And you get to understand, you know,
who you're dealing with on the other side. Well, as a realtor, right? So, 7:30,
called Mr. Listing Realtor.
And you know, I kind of went through my questions,
get to feel the situation out.
And he came back and said, please leave your offer open for 24 hours.
And I was like, why is that? And said, "Oh,
it's just because of the working schedules and things like that." Well,
going back to what I said earlier,
there's a predominantly whites called our neighborhood. And I mean,
there's a chance that, even white collar workers could,
could be in the health industry and work night shifts.
Micah feeling told me that it wasn't true.
So I asked him about that. And long story short,
I basically said this "Look, Mr. Listing Realtor.
We're not interested in keeping our offer open for 24 hours.
We're interested in negotiating the deal and getting it done by 10:30 tonight.
Okay. If we don't,
we are going to move on to the next property that we in mind." "If
I gave you an offer within the next 30 minutes,
can we negotiate this deal and finalize it in two and a half hours?".
"Yes.".
"Perfect. You'll have the offer in your inbox within 30 minutes." Boom.
So, when he
initially said that you know, it was because of work schedule,
all that kind of stuff. I knew it's not true.
What he was trying to do was he was going to call all the realtors that has
showed the property or from earlier that day.
Cause it went live hit the market you know, in the afternoon.
And he was going to try and get multiple offers by saying,
"Hey Mr. Showing Realtor, I got an offer.
Would your clients like to write?" It adds pressure to other buyers,
and then they will write, and then we're going to end up competing,
which is not good for buyers because it bids up the price.
So I know what's going on.
And so that's why I was very assertive in making
sure that we do not have a 24
hour open offer and got him to verbally agree
that we can get this done in two and a half hours.
So long story short you know,
we ended up going through the deal and, you know,
throughout keeping in touch with this realtor,
he ended up telling me that they had a backup offer and there was like three or
four other offers that were just waiting for our deal to just basically
fall through.
So the lesson is this: be assertive. Super simple.
And as
for your realtor, you want to make sure that you know,
you, you challenge what they're saying in a nice way.
You don't have to be a jerk about it. You can be tactful about it.
And just understanding the whole situation as a whole and going with,
going with your gut. You might hear this a lot, oh,
please leave offers open for 24 hours. Well, as a buyer on hot property,
you don't want that because, you know,
they're just going to call everyone that showed the property,
asking them if they want to make another offer.
Now, if you guys liked this type of content,
we are starting we're thinking about starting a newsletter where we kind of dive
deeper into these types of situations, because to be honest,
these types of
this type of content is not something we normally post on YouTube,
but it was so relevant to what's going on that I
wanted to share with you guys.
And if you want to get more of this content we're thinking we'll start a
newsletter that we'll kind of have a lot of this stuff out here,
and it's going to help you with your real estate journey.
And if you're a Realtor and you want to know the strategies, my thought process
and my gut feeling on why, you know,
I could call him out on something like that.
We're going to be starting a second YouTube channel just for realtors so that
you guys can also learn the tips,
strategies and tactics on things like negotiations
and a whole whack of other things.
So feel free to reach out to us.
I'm going to leave our contact information below,
just shoot us a quick email and just say, Hey, listen,
we would love to be part of your newsletter.
And depending on the interest we may go ahead with
those two things.
Well, the second real estate,
the second YouTube channel for realtors is going to be happening for sure.
So let us know if you're interested and we'll put you on the list so that you
get updated on the first newsletter that would come out.
Okay. My name is Felix Chan, Calgary Realtor,
and Mortgage broker with the LiveInnerCity real estate team.
Thanks for watching. And we'll see you next time.