Lessons in Negotiation

Whether you’re already investing in Real Estate or considering your first investment, you’ll need to negotiate something sooner or later and my advice is to go through this process with a great Real Estate Advisor. Here are the basics to successful win-win personal negotiation using a principled approach from Daniel Burnstein, an associate of the Harvard negotiation program and president of Beacon Expert Systems in Brookline, MA.

1. Before the negotiation begins:

  • Prepare a list of your alternatives to the deal on the table
  • List your interests. Do not be trapped by your rigid positions.

2. As the negotiation starts:

  • Listen to what is and what is not said while you explore the interests and concerns of the other party.

4. As the negotiation proceeds:

  • Brainstorm creative options that satisfy each party’s interests. Consider new ways to meet needs, including ways to expand or extend opportunities.
  • Do not judge or dismiss the new options that are generated; they may spur additional creative thinking.
  • Highlight objective facts to bolster your case while questioning the shortcomings or significance of the other party’s data. For example: “Is my product really the most expensive, considering the value of the superior warranty, higher resale value and lower frequency of repair?”
  • Let the other party know you have alternatives.

5. At the end of the negotiation:

  • Have a win-win solution. If you have been successful, your interests have been satisfied well and the other party’s interests have been satisfied at least in an acceptable way.
  • Clarify everyone’s responsibilities.
  • Document the agreements and obtain sign-offs by decision makers.
  • And, finally, don’t take anything personally!

And our addition to the list: Bring in a skilled negotiator who has no personal involvement in the transaction.  Even better if that person was brought up in a negotiating culture, as our Home Expo Gallery experts are.  It’s in our DNA.  So let us help you negotiate your next Real Estate transaction!

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