part 3 unit 24; offers, negotiations and counteroffers Flashcards
what is a comment
could be a one-time expression of a passing thought
what is an objection
more serious and often ends with the other agent handling things back over to you and your clients to figure out.
handle objections by
-listen carefully
-acknowledge the objection
-suggest a solution
what is the first step in negotiation process
making an offer
purchase contracts are often called
offer tp purchase because technically it is not a contract until both parties accept and sign.
when buyer makes an offer, the seller has 3 options.
- accept the offer as it is
-reject the offer
-counter the offer by changing price
counteroffers
offers that happen after the initial one is created.
advantages of expiry dates
-creates a sense of immediacy
-may be considered before other offers
-removes need to withdraw offers
no expiry date advantage
-allows the other party time to consider the offer.
revocation of offers
party can revoke an offer, or counteroffer which is in fact a new offer at any time before the other party accepts it.
true copies
- original document or exact duplicate
-copy all parties agree is final version of the contract
t/f is a deposit is not delivered on time the seller can terminate the contract
true
win-win
both parties objectives are met
win-lose
one party objectives are met while other party makes compromises
lose-lose
neither party objectives are met
no outcome
party change their minds about entering into the trans
techniques that can assist the negotiation process
-be silent and wait for your client to volunteer
-direct method
-assumptive method
concede and trade
-give up without asking anything in return
-give up in return for something of value.
advantages of multiple offers for sellers
-higher price is received
-lower responsibility
-less likely to encounter renegotiation
disadvantages of multiple offers for sellers
-stress and feeling overwhelmed
-rushed and uniformed decision
disadavatages of multiple offers for buyers
-paying more for the property
-may involve to many compromises
-loss of power
-rushed decisions
completion
informing clients of potential closing costs and ensuring final copies of the accepted contract are delivered.
next step with buyer clients
-make sure you have communicated to their mortgage specialist that the deal has become unconditional
-make sure brokerage has all necessary paperwork
-send all trans paperwork to your clients lawyer
