David Whitburn’s article ‘Negotiation – the art of the deal’ in New Zealand Property Investor is a good read:
Save yourself thousands of dollars by honing your negotiation skills. Being a good negotiator pays you a massive hourly rate. Too many investors negotiate hard over the comparatively small things, like the price of curtains and a plumbers charge out rate etc…But it is the big ticket items on which they should actually be negotiating – with vendors on price and with lenders for loan terms and good interest rates…
While I believe being a good negotiator is good skill to have and having a planned and structured approach will assist with good negotiation, I actually believe the bigger saving comes from simply taking action and doing it! Over the 24+ years that I have been selling real estate I have seen so many people not prepared to commit because they are waiting for that bargain or the big break. I believe the big breaks come from the small steps you make, executing the plan, and securing the property.
Land is a rare commodity…
The bottom line is that there is only a certain amount of land available and they aren’t making any more of it! The key is simply securing it and personally I think acquisition is a higher priority than cost.
Personally, when I look back at the property that I have purchased over the years I never lament over price paid but I often rejoice over having secured it.
Worth thinking about and as I said to someone today, you would have to be pretty stupid to get it wrong buying property in Christchurch at the moment!