This article is intended to help North Seattle home buyers distinguish the different negotiating styles and adapt the style best suited for the most positive outcome.
A. The Defeat
The first negotiating style is one which indicates the need to defeat the other party. When you or others have a tendency to want to defeat the other participant, you are dealing in an environment which is high on substance and extremely low on relationship. If a person is committed to defeating you, then that person is not too concerned whether or not you will like him/her at the conclusion of the process. Rather than being concerned about your feelings, that person will want to get everything from you that you are even remotely willing to give up. Buyers with defeating style usually have a price in mind based on the list price of the home and not so much what the home is worth. The defeat style will usually give you a great deal if you find a desperate seller or if you are looking for Bargain Properties. Usually this style puts the other party up against a wall and they will have a tough time dealing with the person on the other end. It may make the home seller withdraw from negotiating completely.
The second style is one which stresses the benefits of reaching a collaborative outcome in all negotiations. This is the goal which you should strive in your negotiations. By striving to collaborate, your will find yourself searching for items of common interest to all parties. You will also find that you will begin to develop a problem solving mentality which will improve the results of your negotiations. It has often been proven that a better overall outcome is achieved when your try to collaborate than when you attempt to defeat the other party. The collaborate style will usually result in a home buyer that gets what they want and a home seller getting what they want.
The third negotiating style, which some people have a tendency to use, is the one by which both the home buyer and seller want to accommodate everyone in the process. This style produces the highest level of relationship, but unfortunately the lowest level of substance.
The fourth negotiating style, which is withdrawing, occurs when a participant becomes overwhelmed by the process and decides to withdraw from what is happening. This will result in a very low level of substance and relationship. People who adopt this negotiating style often suffer a high level of remorse after the transaction is completed.
The fifth and final negotiating style is called the compromise style. Many people feel that compromising is the most non-productive form of negotiations because a common result is that neither the home buyer or seller gets the result they desire.
- Stay focused on the end result
- Have all the required facts available for reference
- Know what outcome you want and how you plan to arrive at it. Think ahead
- Have answers ready for anticipated questions.
- Always leave the door open for future discussions
- Know the type of person you are dealing with
- Know the needs of the person you are dealing with
- Break the tension. Put seller or buyer at ease before beginning.
- Cover areas you can agree on first
- Be a good listener
- Let the other party express feelings
- Show interest and concern
- Interject your thinking slowly
- Don’t reveal your entire hand
- Don’t ridicule the other person's position