Buyer’s in the market today have been conditioned to be very sensitive to price. It is important to be prepared to address this issue.
The following should be considered.
- Identify why the buyer is unwilling to negotiate. Don’t be afraid to ask why price is so important.
- Show the trend of continued appreciation.
- Show the buyer what properties were selling for last year.
- Show the buyer what they are closing for now.
- Determine the appreciation in the buyer’s actual neighborhood and project that percentage for the coming year.
- Ask the buyer if he would like to receive the benefit of the appreciation, or if he would be comfortable giving the additional amount to a seller in the future.
- Use the additional amount to justify paying a little bit more to get what they want because the price will be justified within a few short months.
- Change the focus from price to the emotional benefit by asking the buyer what it would mean to him if he were to buy the house today.
- Reconfirm what the buyer liked about the home.
- Reconfirm what the buyer liked about the neighborhood.
- Show the savings in monthly mortgage payments by taking advantage of todays low interest rates.
- Revisit other options or properties to prove they aren’t as desirable.
- Show the buyer the consequences of not waiting by paying more for a less desirable home.
- Finally, use a Ben Franklin approach of showing all the benefits of purchasing on one side of a piece of paper compared to the drawbacks of waiting. Be sure to only help the buyer list the benefits, he is on his own with the drawbacks.