DanielSun 7 Report post Posted September 6, 2012 An old prospect called, I agreed to meet him because I was not thinking clearly. Here is how my first encounter with a seller went down. here is how I scored. agreed to meet without making sure he is motivated. -20 points agreed to meet, but without making sure ALL decision makers are going to be there. -20 points brought a paper, a pen, took notes whenever he spoke. +5 points "I think i would need the option fee, and first and last month. That's how everyone do it" He says."option fee is non-refundable and since maintenance is taken care of, the buyer shouldn't have to pay deposits" I replied. He still wanted. I kept silent, after a few seconds he said "well...it's not a deal breaker if we don't get it." +5 points "So Mr. P. what is the least amount you would take?" I asked."Oh the price is negotiable, I would lower from 370k to 360k, or 365k." He replied."alright," i said, "let's say you get it at 360k..." -5 points I later reflected that it was actually a sign he will go lower than that price. "This is the option fee you would get, this is the amount of rent you would get," I explained while drawing down numbers, "at the end of the 12 months, the purchase price you would get is..." I calculated in my mind, and came up to $375, before I could say it, Mr. P. said with a smile "$344,000."I nearly fell off my chair...that's the number he was thinking?Meanwhile I already wrote 375 on the paper, and he saw it...-10 points It's all fun and I never expected anything since it's first time. Mr. P. was a very nice man, a musician and a part time MEDIATION professor in a college. (how about that, he actually teaches negotiation, LOL) However I actually felt pretty good because while I was talking to him, I really felt like I was in this business, and he took me seriously. So I say it was 1 hour good spent. but I won't waste time in the same manner again. Share this post Link to post Share on other sites
<Steve> 82 Report post Posted September 6, 2012 LOL Good Stuff very fun getting in and mixing it up. You never know what the seller is really thinking. Share this post Link to post Share on other sites
MichaelC 160 Report post Posted September 6, 2012 Excellent work, Daniel. It may or may not lead to a deal. More important at this stage for you is gaining some first hand experience speaking with homeowners. There is no better education than experience. Share this post Link to post Share on other sites
pilot76180 51 Report post Posted September 6, 2012 HA!!! I LOVE the point system...this is a GREAT post!!!"I sucked here....I walked on water here...." LOVE IT!!!! Share this post Link to post Share on other sites
DeeLight 8 Report post Posted September 8, 2012 Daniel, that is a great post! Super evaluating every step. By doing that you also anchor in your mind what and how you'll handle it next time. Being in action really makes a difference, right? You never know----there still is a possibility for a deal---you could always tell him you needed to re-do the numbers when you got home because something didn't seem right. Yay for Daniel!! Share this post Link to post Share on other sites