I’ve seen many clients get excited about a property deal before they’ve really done their research.
If you’ve been there before, I’d like you to consider something before you go into your next negotiation.
Should you follow your head or your heart?
Well, my take on this is that you should try and remove the emotion from a deal.
No matter how right the deal feels to you, you’re not putting yourself in the best position possible if you’re coming from a place fuelled by emotion.
There are 3 reasons why you should always try and remove the emotion as much as possible from a deal:
- You’ll pay top dollar if you’re emotionally invested
If you’re emotionally attached when you enter into a negotiation, there’s a good chance you’re going to pay top dollar or close to it.
So, what I always suggest is that you should have an alternative worked out.
Having somewhere else to turn if your first deal doesn’t work out, will help to bring the level of emotion down.
Without any frustration or excitement, you’re going to perform better in a negotiation and get a better result.
And remember, the best deals tend to be when you buy, not when you sell.
- Excitement about a deal doesn’t necessarily equate to a financial gain
You can’t rely on a correlation between a deal feeling right and financial gain – because there isn’t one.
So, you’ve got to make sure you do some analytical research to determine if the deal stacks up or not.
Doing the research will not only help you to realise whether the deal is worth it but also help you negotiate from a place of logic.
- Fear of missing out can cause you to impulse buy
Buyers can get frustrated when they’re missing out on properties, so they go and buy anything at any cost.
I see it happening a lot when there’s a hot market – they just want to get it done.
But, that’s the worst thing that can happen.
You’ve got to ensure the emotion is taken out of the deal.
And that’s one of the great reasons why people engage a Buyer’s Agent.
Buyer’s Agents use analysis to make clear decisions and ultimately, get the deal done.
So, the next time you’re getting excited about a deal, try taking the emotion out of it. It may very well mean the difference between a purchase you regret, and once that delivers the financial gain you’re hoping for.