#37 The #1 Negotiation MISTAKE Buyers Make (And How To Avoid It)

Today, we're going to be talking about double stepping.

And if you've never heard of what that is, it's pretty much where you make two movements on price before they even reveal their price at all.

So I'm going to run through an example on how this might look for you if you're looking to purchase a property.

Now you go to an inspection, you love the property, you said to the real estate agent, I'd love to make an offer on the property.

Hopefully you've listened to a couple other of our podcasts and asked some really important questions, but let's say you go, the property's quoted one to $1.1 million and you say, I'm going to make an offer at a million dollars.

The real estate agent comes back to you and says, thank you so much for your offer.

Unfortunately, it's not quite where the vendors are at.

We're going to need another or a new position, revised position of where you're at.

A million dollars isn't going to buy it.

And you go, okay, well, where do I need to offer? And they say, oh, you need to offer more.

They're not considering it at this price.

And you go, okay, well, we'll give them a mil 50.

So straight away, you've shifted $50,000 with absolutely no information or indication of where the vendor's at.

So the vendor could have been at a mil 20.

The vendor could have been at 1.2. You have no indication.

And this is a mistake.

It's a very common mistake.

I used to be a real estate agent.

This is something that if we were negotiating against the buyer, we would do.

If you don't have to reveal your position and you can get the buyer to increase their offer without having to play anything, that's the best outcome.

If you don't have to give up anything, that is what you want.

So as a buyer, this is a mistake you can fall for and then potentially the vendor only wanted a mil 50 or a mil 70 and you've gone way too much, way too quick and revealed your position and now you're costing yourself money.

Today, we're going to be talking about double stepping.

And if you've never heard of what that is, it's pretty much where you make two movements on price before they even reveal their price at all.

So I'm going to run through an example on how this might look for you if you're looking to purchase a property.

Now you go to an inspection, you love the property, you said to the real estate agent, I'd love to make an offer on the property.

Hopefully you've listened to a couple other of our podcasts and asked some really important questions, but let's say you go, the property's quoted one to $1.1 million and you say, I'm going to make an offer at a million dollars.

The real estate agent comes back to you and says, thank you so much for your offer.

Unfortunately, it's not quite where the vendors are at.

We're going to need another or a new position, revised position of where you're at.

A million dollars isn't going to buy it.

And you go, okay, well, where do I need to offer? And they say, oh, you need to offer more.

They're not considering it at this price.

And you go, okay, well, we'll give them a mil 50.

So straight away, you've shifted $50,000 with absolutely no information or indication of where the vendor's at.

So the vendor could have been at a mil 20.

The vendor could have been at 1.2. You have no indication.

And this is a mistake.

It's a very common mistake.

I used to be a real estate agent.

This is something that if we were negotiating against the buyer, we would do.

If you don't have to reveal your position and you can get the buyer to increase their offer without having to play anything, that's the best outcome.

If you don't have to give up anything, that is what you want.

So as a buyer, this is a mistake you can fall for and then potentially the vendor only wanted a mil 50 or a mil 70 and you've gone way too much, way too quick and revealed your position and now you're costing yourself money.