part 3 unit 24; offers, negotiations and counteroffers

Question 1

what is a comment

Answer 1

could be a one-time expression of a passing thought

Question 2

what is an objection

Answer 2

more serious and often ends with the other agent handling things back over to you and your clients to figure out.

Question 3

handle objections by

Answer 3

-listen carefully
-acknowledge the objection
-suggest a solution

Question 4

what is the first step in negotiation process

Answer 4

making an offer

Question 5

purchase contracts are often called

Answer 5

offer tp purchase because technically it is not a contract until both parties accept and sign.

Question 6

when buyer makes an offer, the seller has 3 options.

Answer 6

• accept the offer as it is
  -reject the offer
  -counter the offer by changing price

Question 7

counteroffers

Answer 7

offers that happen after the initial one is created.

Question 8

advantages of expiry dates

Answer 8

-creates a sense of immediacy
-may be considered before other offers
-removes need to withdraw offers

Question 9

no expiry date advantage

Answer 9

-allows the other party time to consider the offer.

Question 10

revocation of offers

Answer 10

party can revoke an offer, or counteroffer which is in fact a new offer at any time before the other party accepts it.

Question 11

true copies

Answer 11

• original document or exact duplicate
  -copy all parties agree is final version of the contract

Question 12

t/f is a deposit is not delivered on time the seller can terminate the contract

Answer 12

true

Question 13

win-win

Answer 13

both parties objectives are met

Question 14

win-lose

Answer 14

one party objectives are met while other party makes compromises

Question 15

lose-lose

Answer 15

neither party objectives are met

Question 16

no outcome

Answer 16

party change their minds about entering into the trans

Question 17

techniques that can assist the negotiation process

Answer 17

-be silent and wait for your client to volunteer
-direct method
-assumptive method

Question 18

concede and trade

Answer 18

-give up without asking anything in return
-give up in return for something of value.

Question 19

advantages of multiple offers for sellers

Answer 19

-higher price is received
-lower responsibility
-less likely to encounter renegotiation

Question 20

disadvantages of multiple offers for sellers

Answer 20

-stress and feeling overwhelmed
-rushed and uniformed decision

Question 21

disadavatages of multiple offers for buyers

Answer 21

-paying more for the property
-may involve to many compromises
-loss of power
-rushed decisions

Question 22

completion

Answer 22

informing clients of potential closing costs and ensuring final copies of the accepted contract are delivered.

Question 23

next step with buyer clients

Answer 23

-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