5 Negotiating Tactics That Might Kill Your Next Real Estate Deal

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5 Negotiating Tactics That Might Kill Your Next Real Estate Deal


Piggy Bank


Negotiation is a subtle art in real estate, but skilled negotiators can usually find some common ground that satisfies all the parties involved in a transaction. On the other hand, using the wrong negotiation tactics can sink a deal pretty quickly.

Here are some negotiation tactics buyers (and real estate professionals) should avoid: 

  1. Lowball offers: Going too far below the market value (or the seller's asking price) when you make an offer to purchase damages your credibility as a buyer and can be insulting to the seller. The seller has a range already in mind that they are willing to accept, and if you’re not even approaching the low end of that range, they won’t even consider the offer.
  2. Incremental negotiations: Don’t continue to go back to the seller with small incremental increases in your offer ($1,000 or less). The constant back-and-forth can grow tiresome and lead the seller into considering other opportunities or outright rejecting your offer.
  3. “Take it or leave it”: Try not to draw a line in the sand with your initial offer. The seller can get defensive and consider other offers if you immediately show that you’re unwilling to budge or negotiate. Even if it’s true, don’t make a show of it.
  4. Nitpicking after inspection: Obviously if a home inspection reveals a major issue, it should be factored into the final sale price. But insisting on a lower price for every minor repair can put negotiations into a stalemate.
  5. Asking for more, more, and more: Some buyers will request that the sellers throw in add-ons like furniture or appliances or home warranty, etc., that weren’t included in the listing. Try to avoid giving the seller a reason to build up resentment and think that you are just being greedy.



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Comments (11)

Evelina Tsigelnitskaya
SIB Realty - Sunny Isles Beach, FL
www.SIBRealty.org 305-931-6931

What a great list!

I agree 100%. 

1. Low-ball offer will turn off the seller and won't get nowhere. 

 2. Last my deal was exactly "small incremental increases". Took 2 weeks to get signed contract by both parties...

Jul 21, 2018 06:07 AM
Diana Dahlberg

Patience is Golden with #2 on your example list.  Been there and done that a few times.  Thanks for your comments Evelina Tsigelnitskaya 

Jul 21, 2018 10:22 AM
Lisa Von Domek
Lisa Von Domek Team - Dallas, TX
....Experience Isn't Expensive.... It's Priceless!

Hello Diana Dahlberg great points, all...unbelievably, there are agents (and their clients) that would disagree with your list

Jul 25, 2018 06:39 PM
Diana Dahlberg

And that's what makes our world go round, and round, and round.  Right?  Thanks for your comments Lisa Von Domek 

Aug 19, 2018 09:08 AM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

There are a lot of nitpickers out of there, I know this very well. These are all good examples.

Aug 04, 2018 11:32 PM
Diana Dahlberg

Thanks for sharing your comment Laura Cerrano ... I really appreciate it.  As Realtors we do have our share of nitpickers!

Aug 04, 2018 11:34 PM
Nicholas Crane
Woodland Companies - Cadott, WI
Managing & Appraising Forest Land

Diana Dahlberg thanks for sharing this great list.  Most homes are not perfect, but nitpickers cant seem to understand it. 

Aug 18, 2018 12:06 PM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

Again, I’m just revisiting some stuff that’s in my browser. Thank you again for posting!

Aug 21, 2018 09:15 PM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

this has a lot of evergreen content going on :) I’ve enjoyed coming back to these.

Aug 30, 2018 11:51 PM
Nick Vandekar, 610-203-4543
Long & Foster Real Estate Inc 610-225-7400 - Devon, PA
Tredyffrin Easttown Realtor, Philly Main Line

This is a good post, lots of useful never go out of style information. Congratulations on it.

Feb 14, 2019 11:47 AM
Candice A. Donofrio
Next Wave RE Investments LLC Bullhead City AZ Commercial RE Broker - Fort Mohave, AZ
928-201-4BHC (4242) call/text

3. boom! Even if you know your bottom line, there's a perceptual 'annoyance factor' with 'take it or leave it' that may get it left even if the other party might have taken it! No one likes feeling bullied. Lots of folks don't get that! And many are agents! LOL

Jul 29, 2019 11:41 AM
Patricia Feager, MBA, CRS, GRI,MRP
Selling Homes Changing Lives

Diana Dahlberg - This is a fine list and good rules to adhere to. You did a great job with this blog post. The agent's challenge is convincing their buyers or at least making them realize the truth. That's why a blog post like yours is so valuable. If a consumer hears it from a professional like yourself, a writer/blogger on ActiveRain, the consumer may be more willing to listen.

Aug 07, 2019 06:23 AM
Diana Dahlberg

What a surprise that you read a blog of mine from a year ago. How does that happen?  I so appreciate your response -- always well thought out!

Aug 07, 2019 07:05 AM
Patricia Feager, MBA, CRS, GRI,MRP

Diana Dahlberg - I just dug a little further through the archives to write something new on your blog.  I'm glad you were surprised! 

Aug 07, 2019 07:31 AM

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Sep 26, 2019 06:40 PM

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