For some of us, negotiating a property deal comes easy. For others, it can feel awkward, unnatural or even scummy. When it comes to this aspect of real estate investing, even the most extroverted and forward personalities can struggle.
The good news is this: Negotiating doesn’t have to feel this way – AT ALL. In fact, if it does feel this way, you’re probably doing something wrong.
Hey Moguls, Steven Howell here, and in this video lesson, I want to share with you 3 tips for getting over the “used car salesman” feeling, so you can approach your investing business with confidence and a clear conscience.
Let’s dive right in...
The most essential takeaway that I want you to remember from this lesson is: As an investor, you are presenting a possible solution to a seller.
Maybe they will choose to do business with you and maybe they won’t –it’s not the end of the world if it doesn’t work out.
Your goal is NOT to twist their arm or to take advantage of them; you are simply offering a resolution that could be mutually beneficial. And that’s all there is to it!
If you adopt this mindset, you’ll find that the awkwardness of negotiation fades away quickly.
Which negotiating challenges have you faced?
Tell us about them in the comments section below.
Listen, listen and listen some more. In your convos with sellers, focus on the deal from their point of view. Build rapport, understand the seller’s pain points and dig deep by asking insightful questions to learn more about their situation.
Answer the questions they have in mind but are too afraid to ask. Internally, an inexperienced seller is probably wondering if you’re going to treat them fairly or if you’ll take advantage of their situation. Respond to these potential fears verbally – to put the seller’s mind at ease.
Paint a vivid picture of the next steps. The seller often has a fear of the unknown, especially if they have never worked with an investor before. Be crystal clear and honest about your process, and communicate with them regularly until the deal is done.
JP Moses
is a real estate investor in Memphis, TN, with experience ranging from land lording to note buying, rehabbing, and wholesaling. However, wholesaling is the area that he enjoys most and where he bring the most experience and expertise to his students.