Definition
Back-and-forth discussion about purchase price between buyer and seller. Market conditions, property condition, and buyer/seller motivation all influence negotiation. Finding the middle ground that's acceptable to both is the goal.
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Find my pathAbout this term
Price negotiation is central to most real estate transactions. Factors include market conditions, comparable sales, property condition, and buyer/seller motivation.
Pro Tip
Know your walk-away price before negotiating. Emotional decisions lead to poor outcomes.
Example
Buyer offering $400,000; seller countering $425,000; final agreement at $410,000.