Negotiation Tactics for Real Estate Deals

Most sellers misuse discounts. They drop them too late. Talk to the wrong person. Add pressure. Miss their number. I’ve taught 1,000s of reps how to do it right. Here are 7 ways to use incentives without looking desperate: I’m not anti-incentives. I’m anti-commission breath. And that’s exactly what shows up when sellers drop a 30% discount on the 29th of the month…only to find out their champion still needs two more approvals and a legal review. It doesn’t close the deal. It just creates pressure. On you and your buyer. Here’s a better way. 1. Incentives are not discounts Don’t pitch 30% off like a used car dealer. Offer something valuable with a story behind it: → A month free → Preferred pricing → Bonus feature access It has to be legit—and tied to a reason (like quarter-end, new logo program, etc). 2. Talk to the decision maker If your buyer can’t actually sign, an incentive won’t help. You need someone who can say yes—or who can push it through. 3. Ask about their process first “What’s your timeline for getting this done?” If it’s next quarter, ask if an incentive would help them pull it forward. If they say yes, you might have a deal to accelerate. 4. Don’t offer anything if the timing isn’t natural You’re not trying to force urgency. So say: “I don’t want to show you this if it’s not something that’s realistic for you.” Let them opt in. 5. Always qualify timing “If we were able to offer something strong, do you think you’d be able to move forward this month?” You want buy-in before they see price. Not after. 6. Map the path to signature Lay out the mutual action plan: - Who needs to review the proposal? - When does legal need it? - How long does procurement take? If it’s not doable, don’t offer it yet. 7. Bring it up early in the month Waiting until the end will kill the deal. Even motivated buyers run out of time. So if you’re going to offer an incentive—do it with 2–3 weeks to spare. Not 2–3 days. TAKEAWAY Discounts don’t create urgency. Timing does. Know their process. Earn the yes. Stay out of panic mode. Close without pressure. Sell with trust.

Ever heard of a seller bonus? It's a tactic I will sometimes use in a multiple offer situation. Here’s how it works: We write the offer so that the purchase price increases—by a meaningful amount—if the seller accepts by a specific time. It’s not a tactic I use all the time. In fact, it's relatively rare. But when it's a hot house with no offer deadline set (yes, some listing agents skip that and I don't understand it all!), it can make a big difference. The idea? Get ahead of the competition before even more offers roll in. It’s one of many levers I can pull to help buyers stand out. Because while multiple offers aren’t happening everywhere right now, the standout homes are still drawing serious attention. If you're aiming for one of those, you need more than a pre-approval letter—you need a plan. And that’s where working with a strategic agent and lender truly matters. It's often the difference between winning or losing your dream home.

How to Negotiate Like a Patel: An 8-Step Guide I grew up watching my uncles negotiate for everything — TVs, toasters, hotel furniture. It wasn’t a tactic. It was a lifestyle. It’s in the DNA. Here’s how it works: 1. Start low. Really low. I’d send 50 real estate offers a week at 50% of asking. Most ignored me. The few who responded, I’d close 25–30% under. I’d offer all cash, 10-day close, no contingencies. If the seller pushed back? I could always add terms — financing, longer close — if we had to bump up the price. 2. Build a case for your number. You can’t just throw out a low number and walk away. Show your math — why it’s not worth full price, what work’s needed, what you can actually pay. People might not agree, but they’ll respect honesty. 3. Anchor high with a reasoned ask. There’s leverage in what you ask for. Once, when I renegotiated my apartment lease, I came in with a detailed list: outdated appliances, worn carpet, paint that needed refreshing — even common area upgrades. And I didn’t stop there — I asked for all the repairs, the same rent, and a free month. They came back with: “We’ll do some of the repairs, keep the rent the same, but no free rent.” Perfect. That’s exactly where I wanted to land. If you only ask for what you want, you’ll probably end up with less. Ask for more (with a reason), and you’ll land where you actually wanted. 4. Be empathetic. People don’t want to negotiate with robots. If someone’s showing you property in 90° heat: “Man, you’ve gotta be dying out here — appreciate you doing this.” Little stuff like that builds trust faster than any spreadsheet. 5. Give yourself leverage. Options = power. I renovated my condo once, and I sourced all the materials myself. Found vendors with the best rep. Got quotes online. Then had the top vendor price match the lowest offer. Saved thousands just by putting in the effort. 6. Leverage in zero. Sometimes your biggest leverage is having nothing — and working your way up. “Hey, I know you want $100 for this, but I only have $50.” When that’s real — and you can explain why — it shifts the dynamic. It’s not pretending to be broke. It’s showing that this deal matters enough for you to stretch nothing to make it happen. 7. You can negotiate almost anything…. One time, just to prove a point, I asked for a discount at Starbucks. The cashier knocked off 10%. No coupon. No trick. Just asked. Negotiation isn’t a move — it’s a mindset. Ask. Worst case, they say no. Best case? You get the deal. 8. BUT, know when NOT to negotiate. Don’t be cheap with people. I once lowballed a painter. Got the worst job of my life. Had to redo it myself. Now? I pay good people well. It builds trust — and I get better results. You walk away with a Porsche and 75% of the furniture. (Yes — true story. More on that later.) What’s your best negotiation tactic? #Negotiation #BuyerLed #FounderLife #DealMaking

This takes guts. Prospects often keep concerns to themselves. Why? There’s no trust. They’re afraid their concerns could be used against them or lead to manipulation. People are conditioned to be polite and avoid conflict. This can make it hard for prospects to openly express negative thoughts or skepticism. It can be uncomfortable to express doubts. The result? Stalled deals or ghosting. The way out? Call it out. By calling out what seems off, you encourage prospects to share what’s really on their mind, giving you the chance to address their concerns directly. Here are a few examples: “It seems like timing is off.” “It feels like you have some concerns.” “I’m sensing price might be a sticking point.” “You’re not sure this will work for you.” “Won’t there be internal pushback from your CFO?” “It seems like this might not be a priority for you right now.” “It feels like you might be concerned about implementation.” If you guess wrong, that’s okay. People like to correct, but they don’t like being corrected. Just because you don’t call out the elephants in the room doesn’t mean they’re not there. Unlocking truth is a good skill to learn and master. No truth, no trust. No trust, no transaction.

Perfectly rational people make irrational decisions during real estate transactions! Don't tell me you haven't noticed that! After years of helping Bay Area clients navigate this market... I've learned one crucial truth: → Home buying and selling is as much about psychology as it is about property. 𝗧𝗵𝗲 𝗦𝗲𝗹𝗹𝗲𝗿'𝘀 𝗠𝗶𝗻𝗱𝘀𝗲𝘁: ↳ They're not just selling a house - they're entrusting their memories to strangers ↳ Price matters, but so does knowing their home will be appreciated ↳ Criticism of their property often feels like personal criticism ↳ The "perfect offer" addresses their timeline concerns, not just their financial goals 𝗧𝗵𝗲 𝗕𝘂𝘆𝗲𝗿'𝘀 𝗠𝗶𝗻𝗱𝘀𝗲𝘁: ↳ They're balancing excitement with the fear of making a massive mistake ↳ Minor inspection issues can trigger outsized anxiety about what else might be wrong ↳ They're not just purchasing property - they're buying their future life vision ↳ The need for certainty often competes with the fear of missing out → When these psychological needs align, magic happens. I've seen sellers accept lower offers from buyers whose vision for the home resonated with them. I've watched buyers overcome renovation concerns when they understood the seller's authentic reasons for moving. The most powerful moments in real estate happen when both sides feel truly seen and understood. Behind every counteroffer, inspection request, and closing timeline is a human need waiting to be addressed. What's been your experience with the emotional side of real estate? #realestate #psychology #bayarea #housing

I've analyzed 10,000+ sales calls and discovered something shocking… Elite closers NEVER discount when asked, "Can I get a better price?" While most reps panic and immediately cave, the top 1% have a completely different playbook 👇 Instead, they have a systematic approach that PRESERVES margins while CLOSING more deals. When you're quick to discount, you communicate TWO things that DESTROY trust: 1️⃣ "YOU CAN'T TRUST ME". They'll think: "Why didn't they give me the best price initially?" This makes them suspicious of everything else you've said. 2️⃣ "MY PRODUCT ISN'T WORTH IT". You're telling them you don't believe in your own value. If YOU don't believe it, why should THEY? Before using any strategy, run the objection through my H.E.A.R.T. framework: - H-ear them: "Cari, I appreciate the ask." - E-laborate: "Help me understand why you're asking?" - A-side: “Aside from the pricing, is anything else giving you pause?" - R-eclarify value: "What did you like most about our solution?" - T-ransition: Now use one of these 5 strategies... ➡️STRATEGY #1. THE REDUCTION CLOSE "Let's review everything in your package and remove what's 'nice-to-have' versus 'must-have.' Then we'll recalculate." You're NOT giving a discount. You're reducing what they're buying. Most prospects realize they want everything and end up paying full price anyway. ➡️STRATEGY #2. THE SUBSTITUTE CLOSE "I know we discussed Option X. Another option is Y, it does things 1, 2, and 3 but doesn't have 4, 5, or 6. However, it's $XXX less." Again, NO discount. Just a lower-priced alternative that creates value comparison. When they see what they lose, they often stick with the premium solution. ➡️STRATEGY #3. THE UPSELL VALUE GIVE "I can't discount, but I CAN include Premium Support for 30 days. Normally reserved for our highest tier and costs 30% more." The magic? They often upgrade after experiencing the premium feature! This is my personal favorite with the highest conversion. ➡️STRATEGY #4. THE 3 OPTION CLOSE Present good/better/best options BEFORE the price objection happens. When they ask for a discount, guide them to the lower option. This makes THEM decide between features vs. price. Instead of YOU deciding between discount or no deal. ➡️STRATEGY #5. FLEXIBLE PAYMENT TERMS Instead of cutting price, adjust WHEN and HOW they pay: → Half now, half in 30 days → Payments over 3 months → Net-30 instead of Net-15 One Fortune 500 client increased close rates 32% with this approach alone. ➡️THE LAST RESORT: GIVE TO GET If you absolutely MUST discount, NEVER give without getting something in return: "I can do 10% off if we add 5 more licenses." OR "I can do 10% off if you introduce me to 5 other business owners who could use our solution." You're conditioning how you do business AND maximizing value. — Hey sales pros, want to handle objections better? Go here: https://lnkd.in/g-uJ7ECX

Avoid Negotiating in Writing I often come across experts suggesting that successful negotiation hinges on redlining. Each time I read this, my stomach churns with discomfort. Negotiating through redlining is a strategy I vehemently oppose. It goes against the core principles I advocate for as a negotiation advisor. Whenever possible, choose personal negotiations over written ones. While a written summary of the terms of your finished deal will prove to be extremely valuable, a written negotiation is to be avoided. Negotiating by email is usually difficult. You lose oral communication and can neither reinforce nor clarify your message. You cannot see and gauge the reaction of the other party, and the written word is easily and often misinterpreted. Written words can easily be misunderstood and cannot be clarified through body language. You’ll miss the signals sent by the other party while they are listening to you, and you can’t clarify and correct misunderstandings quickly. What is written cannot be changed. The other party reads and re-reads, analyzes and tries to understand, but you are not on hand to explain and answer questions. If you cannot meet face-to-face, use the telephone as a fallback position. There are some situations when negotiating in writing may be effective. Negotiations in writing will work if used correctly, when prior to a negotiation you need supplementary information, or if you are negotiating in parallel with several parties. Written negotiations can save time and money and may mean that the other party is better prepared when he arrives at the negotiating table. If you are the supplier, you are often forced to submit your offer in writing in advance, but you should not send out quotations randomly. An offer should be well-anchored and established in a dialogue with the buyer before it is sent. The best strategy is to make the quotation function as a summary of previous agreements. Often this is difficult, but you can and should always insist on meeting with the buyer before adding your signature to the offer. The buyer may demand written explanations and supplementary comments from you prior to a meeting. In this way, he collects valuable information and can use it to pit competing suppliers against each other. The supplier may try to solve the problem by insisting on a personal meeting, something that the buyer can refuse or prevent by supplying incomplete answers. #negotiations World Commerce & Contracting #negotiationskills Tine Anneberg Gražvydas Jukna Jason Myrowitz BMI Executive Institute UCLouvain I BMI Executive Institute #procurement

Most buyers don’t trust you. Prove them wrong. The odds are stacked against loan officers. People hear “mortgage” and think: hidden fees, slick talk, maybe a trap. Trust is at rock bottom. Buyers want proof, not promises. How do you get through? By refusing to be forgettable. By doing what others won’t. Here’s what stands out in a world full of doubt: 1. Personalized video messages—no canned scripts. Show your face, say their name, share a real story. Make it memorable. 2. Share a client’s journey, warts and all. people need to see not every deal is smooth. But honesty beats perfection every time. 3. Open up the black box. No surprises. No “gotchas.” Walk buyers through every fee and step. 4. Host a Q&A—live, unfiltered. Let them ask the tough stuff. Answer with facts, not fluff. 5. Keep checking in, months before and after close. Not to sell, but to support when there’s nothing to gain. 6. Admit mistakes if you make them. Fix it, fast. Trust grows when you own your mess. Money talks. But trust shouts. Most buyers want to believe there’s a loan officer out there who actually listens, explains, and delivers. But how will they find such a person? Hope is not a strategy. You must be visible before you are liked, known, and trusted. Prove that buyers can trust you. Be consistent and persistent. If you’re a buyer—what would make you trust a loan officer? If you’re an LO—how are you building trust today?

Understanding motivation is super important in commercial real estate. Especially among sellers. For merchant developers, it’s part of their business plan. They buy, develop (or redevelop), stabilize and sell (hopefully for a profit). But understanding other types of investors and their motivations to sell is critical, especially when determining whether you are spending your time wisely. Look for these four “D’s: - Death - of a spouse or partner - Divorce - often triggers a liquidation - Dissolution - think partner dissolution. One or multiple partners want out, so they sell. - Debt - a pending loan maturity is coming up, and refinance options don’t look attractive. When someone is merely “testing” the market or will sell if they receive an offer they can’t refuse, in most cases you’re wasting your time as an investment sales broker. Understand motivations. They’re important.

I had a brain fart a few weeks back and, in my haste to get a deal closed by the end of October, tried to manufacture some artificial urgency. Some nonsense like "If we do XYZ, will you sign by the end of October?" Kudos to the prospect who called me out on it. This is a cut and paste from their email back to me: "We will move fast with our decisions, but, please, let's not create any time pressure here. The important thing is to agree on something that excites both of us." When you're right, you're right. Manufactured urgency is bullshit, and people see right through it. Genuine urgency is the only variety of urgency that works. So - how do you create it? - Start by uncovering deadlines or events already on the buyer's calendar. Connect your solution to what they need to achieve. - Collaboratively build a timeline working backwards from their goals. Get their input to estimate reasonable timeframes. - Equip your champion to clearly communicate the “why” behind the project. Make sure everyone understands the vision. - Set regular check-ins to review progress and troubleshoot delays. Hold each other accountable to the joint plan. When you focus on understanding the buyer’s real needs, urgency happens naturally. No manufactured pressure tactics required.