{"id":5228,"date":"2017-03-10T22:33:53","date_gmt":"2017-03-10T11:33:53","guid":{"rendered":"http:\/\/www.trc-gorod.ru\/?p=5228"},"modified":"2020-05-25T11:15:10","modified_gmt":"2020-05-25T01:15:10","slug":"how-to-negotiate-a-discount","status":"publish","type":"post","link":"https:\/\/trc-gorod.ru\/how-to-negotiate-a-discount\/","title":{"rendered":"How To Negotiate A Discount"},"content":{"rendered":"

[et_pb_section bb_built=”1″ admin_label=”Section_2_Text Left:” fullwidth=”off” specialty=”off” transparent_background=”off” background_color=”#f7f7f7″ allow_player_pause=”off” inner_shadow=”off” parallax=”off” parallax_method=”off” padding_mobile=”off” make_fullwidth=”off” use_custom_width=”off” width_unit=”on” make_equal=”off” use_custom_gutter=”off”][et_pb_row admin_label=”Row” make_fullwidth=”off” use_custom_width=”on” width_unit=”on” use_custom_gutter=”off” padding_mobile=”on” allow_player_pause=”off” parallax=”off” parallax_method=”off” make_equal=”off” parallax_1=”off” parallax_method_1=”off” parallax_2=”off” parallax_method_2=”off” column_padding_mobile=”off” custom_width_px=”768px” custom_padding_last_edited=”on|phone” background_color=”#ffffff” custom_padding=”60px|60px|60px|60px” custom_padding_phone=”40px|20px|40px|20px”][et_pb_column type=”4_4″][et_pb_post_title admin_label=”How To Negotiate A Discount” title=”on” meta=”on” author=”on” date=”on” categories=”off” comments=”off” featured_image=”on” featured_placement=”below” parallax_effect=”on” parallax_method=”on” text_orientation=”left” text_color=”dark” text_background=”off” text_bg_color=”rgba(255,255,255,0.9)” module_bg_color=”rgba(255,255,255,0)” use_border_color=”off” border_color=”#ffffff” border_style=”solid” disabled_on=”off|off|off” disabled=”off” custom_margin=”||40px|” title_font_size=”36px” title_font_size_phone=”28px” title_font_size_last_edited=”on|phone” title_text_color=”#00afff” meta_text_color=”#95989a”] [\/et_pb_post_title][et_pb_text admin_label=”Text_B:” background_layout=”light” text_orientation=”left” use_border_color=”off” border_color=”#ffffff” border_style=”solid”]<\/p>\n

Have you ever noticed how some people are able to get great discounts on their investment property while others pay the asking price?<\/span><\/p>\n

What\u2019s their secret?<\/span><\/p>\n

There\u2019s really no secret – they\u2019ve just learned how to negotiate well. <\/span><\/p>\n

Of course the market will dictate how much of a discount you can expect – if the market cycle is at the bottom then you\u2019ve got a great chance of getting a discount – more so than when it\u2019s strong.<\/span><\/p>\n

So let\u2019s say you\u2019ve found an investment property which could deliver a great return if the price is right and the vendor is really motivated. <\/span><\/p>\n

One way to negotiate a discount is through the property\u2019s condition. Using a checklist, deliver your offer to the agent categorising the repairs or issues with the investment property and attach a cost to each item deducting them from the asking price.<\/span><\/p>\n

Be sure to include a buffer for each item to cover any price errors.<\/span><\/p>\n

Use the following checklist for reference when creating your own. To streamline your negotiating efforts create a template which is generic enough to use on every deal, which you can tweak as needed:<\/span><\/p>\n

 <\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Checklist<\/span><\/td>\nItem(s)<\/span><\/td>\nCost<\/span><\/td>\n<\/tr>\n
1.<\/span><\/td>\nExternal – strip and\/or paint walls, repair brickworks<\/span><\/td>\n<\/td>\n<\/tr>\n
2.<\/span><\/td>\nInterior – walls and ceiling repair, paint, etc.<\/span><\/td>\n<\/td>\n<\/tr>\n
3.<\/span><\/td>\nWindows and doors – repair and\/or replace (fly screens, broken glass, locks and catches), paint, etc.<\/span><\/td>\n<\/td>\n<\/tr>\n
4.<\/span><\/td>\nRepair and\/or replace flooring and window fixtures and coverings.<\/span><\/td>\n<\/td>\n<\/tr>\n
5.<\/span><\/td>\nRepair and\/or replace kitchen appliances, light fixtures, cupboards, exhaust fans, range hood, etc.<\/span><\/td>\n<\/td>\n<\/tr>\n
6.<\/span><\/td>\nBathroom – repair and\/or replace tiles, shower, toilet, taps, cupboard, mirror, vanity, etc.<\/span><\/td>\n<\/td>\n<\/tr>\n
7.<\/span><\/td>\nWill you need to add a bathroom or bedroom to be competitive in the market? <\/span><\/td>\n<\/td>\n<\/tr>\n
8.<\/span><\/td>\nBuilt in wardrobes, air conditioning, ensuite, fans, etc.<\/span><\/td>\n<\/td>\n<\/tr>\n
9.<\/span><\/td>\nGuttering and downpipe need replacing?<\/span><\/td>\n<\/td>\n<\/tr>\n
10.<\/span><\/td>\nElectrical and plumbing in good shape?<\/span><\/td>\n<\/td>\n<\/tr>\n
11.<\/span><\/td>\nHot water system in good shape? <\/span><\/td>\n<\/td>\n<\/tr>\n
12.<\/span><\/td>\nRoof need replacing?<\/span><\/td>\n<\/td>\n<\/tr>\n
13.<\/span><\/td>\nLandscaping, letterbox in good repair?<\/span><\/td>\n<\/td>\n<\/tr>\n
14.<\/span><\/td>\nExterior buildings in good shape? (e.g. granny flat)<\/span><\/td>\n<\/td>\n<\/tr>\n
15.<\/span><\/td>\nSteps and handrails, balcony railings<\/span><\/td>\n<\/td>\n<\/tr>\n
16.<\/span><\/td>\nFencing, access, driveway, retaining walls in good condition?<\/span><\/td>\n<\/td>\n<\/tr>\n
17.<\/span><\/td>\nPest issues, structural repairs needed, stumps need removed?<\/span><\/td>\n<\/td>\n<\/tr>\n
18.<\/span><\/td>\nOther<\/span><\/td>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

[\/et_pb_text][et_pb_image admin_label=”Image_384px” src=”https:\/\/www.trc-gorod.ru\/wp-content\/uploads\/2017\/03\/shutterstock_562940446.jpg” show_in_lightbox=”off” url_new_window=”off” use_overlay=”off” animation=”left” sticky=”off” align=”left” force_fullwidth=”off” always_center_on_mobile=”on” use_border_color=”off” border_color=”#ffffff” border_style=”solid” custom_css_main_element=”max-width: 384px;” alt=”knowledge is key”] [\/et_pb_image][et_pb_text admin_label=”Text_H3: ” background_layout=”light” text_orientation=”left” use_border_color=”off” border_color=”#ffffff” border_style=”solid” header_font=”Open Sans||||” saved_tabs=”all”]<\/p>\n

Knowledge is key<\/b><\/h3>\n

[\/et_pb_text][et_pb_text admin_label=”Text_B:” background_layout=”light” text_orientation=”left” use_border_color=”off” border_color=”#ffffff” border_style=”solid”]<\/p>\n

Strong due diligence efforts are a key component of a successful negotiation strategy. You should know the market – and the property – inside and out before submitting your offer. <\/span><\/p>\n

As part of your due diligence strategy contact other local agents in the area and discuss the investment property you\u2019re considering. For example, you can call up Agent A and tell him, \u201cI\u2019ve put in an expression of interest with Agent B on the house at 125 Proffitt Street. Can you tell me anything about it or the area?\u201d<\/span><\/p>\n

It\u2019s simply human nature. Chances are you\u2019ll hear all of the \u201cdirty secrets\u201d about it, such as it\u2019s always flooding, has termites or high crime. Depending upon what you hear you can then use this information as leverage when negotiating a discount with the vendor.<\/span><\/p>\n

This strategy works much better than simply asking for a discount \u201cbecause\u201d. After all, if you saw these problems chances are good that another potential buyer would too, giving the vendor a legitimate reason for dropping his price.<\/span><\/p>\n

Even if your conversation with Agent A doesn\u2019t provide anything you can use for negotiation, that doesn\u2019t mean you\u2019ve wasted your time. It\u2019s very possible that Agent A will discover, upon questioning you on the type of property you need, that he has similar – or even better – properties available. <\/span><\/p>\n

In short, it pays to maintain a good relationship with a number of agents in the locations you\u2019re interested in as you may have agents contacting you with deals that come across their desks – even before they hit the market!<\/span><\/p>\n

Finally, \u201cplay nice\u201d. Be fair and reasonable and it\u2019s likely that the other party(ies) will cooperate and consider your needs as well. If possible, find any common ground (e.g. heritage, interests, etc) you may share to help strengthen your connections.<\/span><\/p>\n

 <\/p>\n

If you are interested in discussing similar matters with like-minded property investor people and professional coaches, feel free to join us at our next FREE Investor Property Night<\/a>\u00a0near you!<\/strong><\/p>\n

 <\/p>\n

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Have you ever noticed how some people are able to get great discounts on their investment property while others pay the asking price? What\u2019s their secret? There\u2019s really no secret – they\u2019ve just learned how to negotiate well. Of course the market will dictate how much of a discount you can expect – if the […]<\/p>\n","protected":false},"author":54,"featured_media":5229,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"on","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[46,45,15],"tags":[],"yoast_head":"\nHow To Negotiate A Discount - TRC-Gorod<\/title>\n<meta name=\"description\" content=\"Have you ever noticed how some people are able to get great discounts on their investment property while others pay the asking price? 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