Become A Master Of Commercial Real Estate Negotiations
3 tips that will help you get the deal done.
2.5 min read
As a commercial real estate agent, negotiation during the transaction process is a common occurrence. It is often rare that two parties find a middle ground right off the bat, so it is vital to handle the negotiation process effectively. For some, this may seem like an intimidating feat. However, developing an effective and creative negotiation strategy is more straightforward than one may think.
Suppose you lack on the negotiation front, not to fret. We're sharing three essential tips that will help you master the art of negotiation, so you can get the deal done.
Be Proactive, Not Reactive
If not done correctly, negotiations in commercial real estate can take a turn for the worse. To avoid this occurrence, it is essential to remain proactive rather than reactive. Staying positive and encouraging direct communication will allow the negotiation process to unfold much more smoothly. This, however, does not mean that you withdraw your position of power. Stay firm in your and your client's belief, but be open to alternative perspectives from the other party.
Don't Be Afraid To Ask Questions
During the negotiation process, communication is key! More often than not, the process tends to be quite lengthy, giving more opportunities for miscommunication to arise. To ensure that you and your client come out of the negotiation satisfied, it is best to leave no stone left unturned. Encourage a direct line of communication between you and the other party by asking detailed questions and being open to receive and answer the same in return.
Find Common Ground
The purpose of a negotiation is to find common ground between both parties. To ensure that everyone walks away from the deal satisfied and with no ill will:
Address the commonalities of the agreement that you can both agree upon.
Provide alternative solutions to other concerns to propose a resolution.
Be receptive to the other parties' needs, and work to form a compromise.
When both parties leave a transaction satisfied, that is the most telling sign of a successful negotiation. Mastering the art of negotiation starts with an effective strategy. Once you have that, nothing can get in your way.
Reference
Real Estate Express. (2020, December 23). How to Master Real Estate Negotiations [Web log post]. Retrieved November 4, 2021, from https://www.realestateexpress.com/career-hub/grow-your-real-estate-career/how-to-master-real-estate-negotiations/
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