May
30


4 Guidelines for Successful Negotiations

Wednesday, May 30, 2012

1. Start by listening
Don't reveal what you want right away. Let the other side go first, so you know what you're dealing with. If they're hesitant, be firm. Explain that you can't give them what they want without knowing what they need.
2. Stick to the process
Experts tell us there's a 3-step process to successful negotiations:
Collect the opening positions
Probe for more information
Arrive at a compromise
Look for common ground in the step where you're asking for more info. Suppose you're buying a used piano. After the seller and you share opening positions, ask what's included -- the piano bench, a piano light, maybe some sheet music the seller no longer needs. These can be things on which you and the seller can compromise.
If the conversation stalls, but more could be done; talk about what each of you would be willing to give up for you to be able to move ahead. If you're really deadlocked in an important negotiation, you may have to bite the bullet and bring in a professional mediator.
3. Be ready with, "Under what circumstance...?"
This is the magic phrase that reveals what the other side feels they need. "Under what circumstance would you provide this financing for my business?" "Under what circumstance can you deliver this by the end of the month?" Until you know this, you can't reach a compromise.
4. Avoid round numbers
One office cleaning service quotes $40 a week, another says $38. Which one would you negotiate with? Always come to the negotiating table with an exact number, but don't use zeros. Not using a round number makes it look like you've done the math, which can intimidate the opposition. Make concessions the same way. If you have to come down, lead with an odd number amount.
Follow these guidelines and you should come out of every negotiation not necessarily with everything you want, but always with everything you need

1. Start by listening

Don't reveal what you want right away. Let the other side go first, so you know what you're dealing with. If they're hesitant, be firm. Explain that you can't give them what they want without knowing what they need. 

2. Stick to the process

Experts tell us there's a 3-step process to successful negotiations:

* Collect the opening positions

* Probe for more information

* Arrive at a compromise

Look for common ground in the step where you're asking for more info. Suppose you're buying a used piano. After the seller and you share opening positions, ask what's included -- the piano bench, a piano light, maybe some sheet music the seller no longer needs. These can be things on which you and the seller can compromise.

If the conversation stalls, but more could be done; talk about what each of you would be willing to give up for you to be able to move ahead. If you're really deadlocked in an important negotiation, you may have to bite the bullet and bring in a professional mediator. 

3. Be ready with, "Under what circumstance...?"

This is the magic phrase that reveals what the other side feels they need. "Under what circumstance would you provide this financing for my business?" "Under what circumstance can you deliver this by the end of the month?" Until you know this, you can't reach a compromise.

4. Avoid round numbers

One office cleaning service quotes $40 a week, another says $38. Which one would you negotiate with? Always come to the negotiating table with an exact number, but don't use zeros. Not using a round number makes it look like you've done the math, which can intimidate the opposition. Make concessions the same way. If you have to come down, lead with an odd number amount.

Follow these guidelines and you should come out of every negotiation not necessarily with everything you want, but always with everything you need.






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Estella said
"That is a beautiful shot with very good lighting ." about Women Consider Owning a Home to be a Vital Component of the American Dream
on Sunday, May 12, 2013 @ 9:57 AM

Chris White - Team Leader said
"Unfortunately you are not alone. It's more than an outcry. The powers that be really need to come down harder on Bofa than they already are. Working on these short sale for over 2 years now I've uncovered down right fraud happening on the lenders parts. If they cared more about moving this country forward than protecting their own wallets then they would cut the red tape and approve these short sales in a timely manner. Our team made the wise decision to get BofA loans which were FHA or Freddie Mac backed, approved prior to listing on the market. Then we can list the home as "Price Approved" and close in 30 days. In this instance BofA does a full appraisal, rather than an incompetent "Broker Price Opinion" (nothing against agents but they have no idea how to make adjustments on comparable homes) and then the bank issues an "Approval To Participate" letter which dictates what price we can go on the market and take anything north of 88%. I really do hope your situation improves. " about Congressional Bill to Speed Up Short Sales
on Tuesday, August 30, 2011 @ 9:15 AM

Lisa Zeiner said
"We made an offer 4 months ago to BofA, and have heard nothing. It was a cash offer which is better than the zero money they are collecting now. And since the people don't care they are trashing the place, by the time BofA gets around to it our offer will be gone as the place is a mess!! Septic issues now, garbage being dumnped. All of this could have been avoided if BofA really wanted to correct their cash flow problem and sell these properties in a timely manner. They cry about cash but then do nothing intelligent to fix the problem" about Congressional Bill to Speed Up Short Sales
on Tuesday, August 30, 2011 @ 9:06 AM

Jones Ramirez said
"Thank you for the work you have done into this post, it helps clear up a few questions I had." about How do appraiser’s determine a homes value?
on Tuesday, April 19, 2011 @ 10:07 PM

HollyRobsonf said
"Hey - I am certainly happy to find this. great job!" about Bank of America to Offer Principal Reduction to Underwater Borrowers
on Wednesday, April 13, 2011 @ 6:45 PM