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I can't help but to pile on about the difficulty of negotiation. The reality is is that 90% of it is done before you've ever started talking. You can maybe infl

I can't help but to pile on about the difficulty of negotiation. The reality is is that 90% of it is done before you've ever started talking. You can maybe influence 10% of the outcome, and it might be worthwhile to do that, but it's also worthwhile to work on that 90% beforehand, and studying negotiation techniques doesn't really help with the 90%, only the 10%. So if you look at the opportunity cost of effective negotiation, the value prospect doesn't look half as clear. If I want to buy a house, the actual negotiated price is probably somewhere down around #8 on my list of considerations. Time spent looking at comps, finding a good inspector, understanding the real estate biz, could be far better spent.

billmalarky 11y ago
"Time spent looking at comps, finding a good inspector, understanding the real estate biz" This is literally the biggest part of negotiation. https://en.wikipedia.org/wiki/Best_alternative_to_a_negotiated_agreement https://en.wikipedia.org/wiki/Best_alternative_to_a_negotiat...
- vinceguidry 11y ago
  Yes, that's what I intended to say. My point was that of all the things you have in your life right now to focus on, negotiating price for a real estate transaction may not be the best use of it. It's likely to take more time than it's worth when you take into account opportunity costs. Sure, if you have nothing better to do, go nuts.
fecak 11y ago
It's much less difficult in situations where you aren't live - negotiating via email, for example, gives you time to think through ramifications and scenarios. I talk quite a bit to people negotiating offers, and the overwhelming majority get into trouble when in a live setting. I agree that you are only influencing a relatively small percentage of the outcome in most cases (perhaps higher than 10% though), and at least part of that 90% you refer to consists of the image created when you were first introduced to the employer. Your resume, profile, even your previous employer's identity - that data gives an employer an initial impression of your price tag and influences where negotiations may go. This is even before the interview.

billmalarky 11y ago

"Time spent looking at comps, finding a good inspector, understanding the real estate biz" This is literally the biggest part of negotiation. https://en.wikipedia.org/wiki/Best_alternative_to_a_negotiated_agreement https://en.wikipedia.org/wiki/Best_alternative_to_a_negotiat...

vinceguidry 11y ago
Yes, that's what I intended to say. My point was that of all the things you have in your life right now to focus on, negotiating price for a real estate transaction may not be the best use of it. It's likely to take more time than it's worth when you take into account opportunity costs. Sure, if you have nothing better to do, go nuts.

fecak 11y ago

It's much less difficult in situations where you aren't live - negotiating via email, for example, gives you time to think through ramifications and scenarios. I talk quite a bit to people negotiating offers, and the overwhelming majority get into trouble when in a live setting. I agree that you are only influencing a relatively small percentage of the outcome in most cases (perhaps higher than 10% though), and at least part of that 90% you refer to consists of the image created when you were first introduced to the employer. Your resume, profile, even your previous employer's identity - that data gives an employer an initial impression of your price tag and influences where negotiations may go. This is even before the interview.