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Real estate prices have skyrocketed since 2012 and they may be rising faster than inflation and wages. As the price of property soars, how does a real estate investor go about snagging a worthwhile deal? It may come down to being a skilled negotiator. Consider the following tactics.

Have a firm grasp on your highest bid. As opposed to offering a lower offer than what the seller is asking for, think about aiming high. The same way you wouldn’t start throwing out bids at an auction without knowing your maximum price, apply the same idea towards a real estate negotiation. Know what your top bid is instead of just the opening bid prior to opening the door to negotiating.

Aim below the minimum price. One of the goals here is for the seller to feel like they’re obtaining something worthwhile without coming across as a pushover. Instead of simply making an offer the seller will more than likely accept, consider one that allows the seller room to counter. If the seller feels like the negotiation required significant negotiation, there are greater odds he or she will feel they got what they deserved for the property.

Make it face to face. Establishing a strong connection is significantly easier if you’re doing it in person. Though it may not always be feasible to do so, an in-person offer may give you an advantage over an anonymous one. It’s simple: people prefer to do business with individuals they trust or connect with, especially if it involves something as potentially personal as a home.

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