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Price Negotiator™ : Art & Science of Influencing Home Price

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TABLE OF CONTENTS

The Real Estate Playbook of Strategies

3 Stages : Save $1,000’s to $10,000’s at each stage.

The better your agent negotiates at each stage, the better your price.

Price Negotiator

Unlock your Price Negotiator inside your HomeToHome.

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Strategies & Tactics

Price Negotiator has 3 stages (below). Select strategies at each stage to match your situation. Prepare, build leverage, and negotiate.

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  • Stage 1: AGENT ACUMEN

    Build Leverage. Your Agent’s Acumen affects all stages and your home's final price. Performance is Agent's "AQ" Acumen Quotient.

  • Stage 2: MARKET ALIGNMENT

    Apply Leverage. Agents work with their Buyers and Sellers align them to the market, and open negotiations for purchase offers.

  • Stage 3: HOME ACQUISITION

    Negotiate to final terms. Price Negotiator's next set of strategies come into play as Agents on both sides must negotiate final terms.

Strategies & Tactics

Price Negotiator has 3 stages (below). Select strategies at each stage to match your situation. Prepare, build leverage, and negotiate.

Search Price Negotiator

  • Stage 1: AGENT ACUMEN

    Build Leverage. Your Agent’s Acumen affects all stages and your home's final price. Performance is Agent's "AQ" Acumen Quotient.

  • Stage 2: MARKET ALIGNMENT

    Apply Leverage. Agents work with their Buyers and Sellers align them to the market, and open negotiations for purchase offers.

  • Stage 3: HOME ACQUISITION

    Negotiate to final terms. Price Negotiator's next set of strategies come into play as Agents on both sides must negotiate final terms.

Building Leverage

Strategies that build leverage use the 3 Leverage Profiles (below).  See what is important and why.

Your Agent’s Value Profile: 6 Key Factors that Affect your Home’s Price

Strategically choose your Agent. Your Agent’s Leverage Profile (below) affects all stages. Use HomeToHome’s Agent AQ Search to choose your agent. Review Agent Service Plan and Agent Profile to evaluate fit and performance.

  • Client Preparation: Educating client for each stage.
  • Market Alignment: Aligning client’s expectations accurately to inventory, pricing, timing, and opportunity. Strategically prepare clients to win.
  • Property/Purchaser Acquisition: Identifying best properties/buyers for client’s needs and executing purchase agreements.
  • Negotiation: Knowing when, what, and to what degree to negotiate in client’s favor. Utilizing every skill in the agent’s arsenal to maximize value for client.
  • Vendor Management: Coordinating inspectors, appraisers, lenders, contractors, etc. Developing strong list of resources for clients.
  • Execution: Overall ability to orchestrate all elements of a purchase agreement to protect client’s interests.
($) Client Preparation
($) Market Alignment
($) Property/Purchaser Acquisition
($) Negotiation
($) Vendor Management
($) Execution

6 Key Factors That Affect A Home’s Value

Home Leverage Profile reflects property characteristics, the seller’s timing & motivation, and the market. Use HomeToHome’s MarketPrice and RateThisHome to maximize Home Leverage.

  • Home condition : Size, location, age, structural integrity, upgrades, staging, curb appeal
  • Market Conditions : Comparables: active, pending, recently sold. Local economy
  • Marketing : Price strategy, media creation, target buyer type, advertising campaigns
  • Market Timing/Buyer Pool : Maximize demand of qualified buyers
  • Seller Position : Timing, motivation, & equity position
  • Title condition : Clean, encumbered, restrictions, CC&R’s, liens, etc.
($) Home condition
($) Market Conditions
($) Marketing
($) Market Timing/Buyer Pool
($) Seller Position
($) Title condition

Your Value Profile: 6 Key Factors that Affect Your Home’s Price

The 6 factors of Buyer or Seller “readiness” qualifies the client’s to act decisively and favorably. A strong buyer is always more attractive to a seller since they are more likely to close escrow on the home. Similarly, a strong seller is prepared and aligned with the market. Use your Lender’s Finance Plan and Profile, LoanSense and CashToClose tools to sharpen your negotiating position.

  • Representing Agent: Expertise, competence and integrity
  • Home: Expectations, location, condition, and list price
  • Finances: Loan(s), cash position, equity, tax considerations
  • Motivation: Readiness and desire to execute
  • Execution: Client’s ability to cooperate with trust and honesty
  • Credit: Client’s understanding of significance, qualification process, and true cost of credit
($) Agent
($) Home
($) Finances
($) Motivation
($) Execution
($) Credit

Home’s Price Profile: 4 Key Factors that Determine a Home’s Value

After you have optimized your Home’s Leverage Profile, your Agent influences the Home’s Price Profile in your favor. The Home’s Price Profile is determined during negotiation between a Buyer & Seller. The Price Profile is described by these 4 factors:

  • The List Price is the advertised price of a home. It should not be confused with a Market Price or Sold Price.
  • The Home’s Market Price is the expected sales price of what a ready, willing and able buyer will pay.
  • The Home’s Appraised Value, conducted by an independent professional on the Lender’s behalf, may affect the buyer’s ability to purchase.
  • The Home’s Sold Price is the negotiated price that the seller is willing to accept and a buyer will pay.
($) List Price 70% correlation (est.)
($) Market Price 90% correlation (est.)
($) Appraised Value 80% correlation (est.)
($) Sold Price 100% correlation (est.)

Use HomeToHome’s HomeScene tool to generate different Term Sheet scenarios when negotiating for your most favorable Sold Price.

Example: Home Leverage Profile

You know how a loaf of bread is “priced as marked”? Well, your home is not priced as marked. In fact the final sales price of your home commonly goes up or down as much as 10% of the asking price.

What’s the difference? The Difference is “Price Negotiation”.

Most people think of Price Negotiation as haggling over the price until all parties agree. It’s much more. The best Price Negotiation begins long before with preparation to build leverage.

Your HomeToHome system has the only real estate price negotiating solution available. It informs you of opportunities throughout the 3 stages of your home’s sale. 

*Price Negotiator combines both practical applications of negotiating tactics (Chris Voss-former FBI Lead Negotiator for International Terrorism) and proven behavioral science (Daniel Kahneman- Nobel Laureate/Behavioral Economics, Richard Thaeler and others). It also includes a growing collection of strategies and tips from top contributing real estate professionals.
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Price Negotiator

Price Negotiator: System of Strategies & Tactics
Price Negotiator: System of Strategies & Tactics Included

Price Negotiator: Strategies

Real Estate Agent Service Plan

Toolkits

Real Estate Toolkits
9 Toolkits Included

Toolbox

18 Real Estate Tools
18 Collaborative Tools Included

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