Negotiating Deals As A Real Estate

Investor

By: Curt Cloyd – Director Personal Wealth Academy, LLC

Negotiating Deals As A Real Estate InvestorBy: Curt Cloyd – Director

Personal Wealth Academy, LLC

Success in real estate is all about closing deals successfully the way you wanted them to. It's about planning beforehand and closing your deals at a price that you had in mind prior to closing the deal. In order to successfully close deals with the terms you have in mind, it's important that you master the art of negotiation.

There are four vital keys to be successful in negotiating deals as a real estate investor. If you learn and apply these four keys in all of your transactions, you'll always close most of the deals just the way you wanted them to.

Here are the four keys to negotiating deals successfully as a real estate investor...

1. Know your first offer will not be accepted

One of the biggest realizations I had as a real estate investor when I tried to close multiple deals is that the first offer that I make never gets accepted. It's the case with almost every single real estate transaction.

The seller will always turn down the very first offer you make. That's when you'll have to revise the offer after studying the seller more closely and doing more research on the property. Don't feel like a failure when your offer is turned down the next time.

The first offer you make never gets accepted just about anywhere. The sooner you embrace this fact, the easier it'll be to negotiate and close real estate deals.

2. Study the seller closely

Your main task is to study the seller closely and identify why he's so motivated to sell of his property. If you're looking to purchase properties at the best bargains possible, you must consider working with distressed sellers.

Distressed sellers are super motivated to get rid of their properties at the earliest. So... if you make an offer that seems to address their needs well, they'll be happy to sell the property to you (even at a lower price than they quoted initially).

Distressed sellers are often people going through situations like divorce, foreclosure, transfer or death (in the family).

As a real estate investor, it's your job to study the seller closely and choose only distressed sellers to work with. With distressed sellers, you can actually have the deals closed the way you wanted them to close in a couple of days.

But it's not possible to do so with a normal seller (who isn't so motivated to get rid of his property at a lower price).

3. Make an offer based on his needs

Once you've made your first offer and have gotten it rejected by the seller, it's time to revise the offer. The subsequent offers you make needs to be based on the research that you've done about the seller.

Let's say that the seller is going through a foreclosure and requires $60,000 for the property. But he has quoted his asking price as $75,000 and your first offer has been turned down.

Based on your research, you come up with a second offer at a price range of anywhere from $60,000 - $70,000 with a promise that you'll get the deal closed as quickly as possible.

Most sellers would accept such an offer especially when you say that you are ready to close FAST.

4. Keep persisting

In the event that the seller turns down your subsequent offer as well, revise your offer a bit more and persist. Don't let your emotions get in the way. Consider the worth of the property and see how much you can really afford. Keep making subsequent offers while promising that you’ll close deals fast.

You'll get your deal closed if you persist for long enough. There's actually an interesting article that I read on InvestmentPropertyMadeEasy.com that actually talks about persistence in negotiating real estate deals. I recommend that you check it out.

By applying these four vital keys in all of your transactions, you are guaranteed to close your real estate deals exactly the way you wanted them to.

Pay Close Attention Here:

Now if you're really looking to get the best bargains on various deals, you need to be willing to CLOSE fast (usually within a couple of days). If you don't have the funding to close deals that fast, it's nearly impossible for you to purchase properties at a bargain.

At Personal Wealth Academy, we teach real estate investors on how to build a successful cash flow business which you can rely on for funding to close your various deals in the

shortest amount of time possible. If you'd like to learn more about these cash flow business models, click here ( http://taxsalephd.com/page1.php )