Do You Know Who You're Negotiating With?

Do You Know Who You're Negotiating With?

This question transcends any industry in sales, any real estate niche, and communication in general. You have to be aware of who you're communicating with especially when negotiating.  

Let's stay real estate related. When working on deals communication is key. You have to be aware of what your strengths are as a communicator and you have to try and learn the personality type of the receiver.

When I was a one man show wholesaling, I spent a lot of time studying behavioral psychology in reference to buying habits and negotiating. This coincides with voice inflection, mirroring, and triggering are some of the techniques discussed in my studies.

Without going into some real nerdy and scientific stuff, I basically studied what can make me better on the phone with sellers and agents.

What Did I Learn?

During my studies and after hours of application (actually talking with sellers) I learned how to close deals over the phone without meeting the sellers and walking the property. We'll leave the process of not walking the property for another time.

I bring this up because I am no longer a one man show and have to teach my acquisitions managers these same skills. I believe this information is useful for anyone that is looking to increase deal flow and maximize time efficiency.

In order to understand sellers we had to know who we were talking to. We had to learn the psychological patterns of the seller and his/her personality type. This is can be difficult if you are unaware of what to look for.

As you may know by now its not a one size fits all approach when talking with sellers. Some sellers are more personable, while others want to limit the chit chat and get right down to business.

So how do you tell the difference and how do you steer the conversation between the different sellers?

This is only done by knowing who you're talking with. So lets briefly define the different types of sellers personalities.

Personality Descriptions

RED Personality

*They wear their emotions on their sleeves and will tell you right away what they want to accomplish

*These have nothing to hide

*They tend to use slang, may even curse

*These clients want to buy from someone who is a friend first, their trust system means that a friend wouldn’t let them down or steer them wrong.

*Be prepared to get sidetracked on a conversation in order to earn their business

*If you are normally very professional you’ll need to let your guard down a little and use first names

BLUES Personality

*These sellers tend to be emotionally open, they have no idea what they want. *You have to define for them what they want because they are seeking help.

*They are very open to sharing personal stories of heartbreak

*One incorrect word or phrase can scare them off. They are the gazelle of the safari. Very jumpy

*These sellers need to be coddled and you need to lead them to safety.

*Slow down and take your time

*They are very loyal and once they make a decision it’s worthwhile.

*These sellers are very family oriented and have a people first mentality.

GREEN Personality

*They play their cards close to their chest *You tell me what you can offer first and then I’ll make my decision

*They aren’t looking to make friends. *This is a business decision and the numbers are what matters most.

*Ask for a specific goal. Be direct example "What is a reasonable offer for your property"

*This personality is also likely to be a heavy shopper with little loyalty, be on your toes.

BROWN Personality

*Closed emotions and direct with their goals *These sellers are all about the bottom line

*It’s not that they aren’t friendly or caring, but they just don’t have the time.

* Browns are your professionals or entrepreneurs with limited time on their schedule

*Always be prompt and build business rapport not personal.

*They aren’t looking for new friends they want to know whether or not you can help them accomplish their goal.

These may be generalizations to some but this is what I've learned and have seen in years of speaking with sellers. Once you're able to identify who you're speaking with you will be able to close more deals.

Let me know if you have other traits and triggers to help us all close more deals. Please share I still have some learning to do.