Why Your First Offer is Always Your Best Offer - Zillow

May 4, 2012 · Real estate agents around the world generally go by the same mantra when discussing the first offer that a seller receives on their home: “The first offer is always your best offer.” Of course, this isn't true in every situation, but there are reasons why agents believe …

CouponFollow Extension

$119000
OFF

Making The First Offer In Negotiations: Should You Or Shouldn’t You?

4 weeks from now

Oct 21, 2015 · The agents were given randomly chosen list prices—in essence, the seller’s first offer—for the house ranging from $119,000 to $149,000. The agents then were asked to name …

cmmllp.com

FAQs about Why Your First Offer is Always Your Best Offer - Zillow Coupon?

Is your first offer your best offer?

“I always tell my clients from personal experience that your first offer is usually your best offer,” Napolitano says. When there’s limited inventory and high buyer demand, sellers generally have more leverage and buyers are typically willing to offer the asking price at the very least when the home hits the market. ...

Is the first offer a good idea?

Casey Napolitano, real estate agent, broker and founder of NDA Real Estate in Southern California, says the first offer is usually the best, but every situation is unique and sellers should assess the strength of the offer before making a decision. But there could also be drawbacks. ...

Should you make the first offer in a negotiation?

Advantages of Using Anchoring in Negotiation If you value only the economic outcome of your deal, make the first offer in order to anchor the negotiation in your favor. But if you value satisfaction with the negotiation process more than the outcome itself, you may want to avoid the stress and anxiety of making the first offer. ...

Are first offers better than not?

The negotiators who made the first offer felt more anxiety than those who did not – and, as a result, were less satisfied with their outcomes. Yet, backing up prior bargaining studies, those who made first offers did better in economic terms than those who did not. The implication? Advantages of Using Anchoring in Negotiation ...

Should you accept a first offer?

“Accepting the first offer may mean that you haven't fully explored the market and might be leaving money on the table,” Napolitano explains. “If you receive a strong offer early on, it's possible that there could be other buyers willing to pay a higher price. By not waiting for additional offers, you may inadvertently underprice your property.” ...

What is the advantage of the first offer?

The advantage is owed to something psychologists call the anchoring principle. It's a cognitive bias where people rely too much on the first piece of information they have. In a salary negotiation, for example, whoever makes the first offer establishes the range of possible variation from that anchor. ...