6 Things YOU CANNOT tell a Real Estate Agent [And how it will cost you 😣]

6 Things YOU CANNOT tell a Real Estate Agent [And how it will cost you 😣]

Today, we’re going to show you seven things that you shouldn’t tell your real estate agent
when making an offer. Number 1, you don’t want to tell the real estate agent
what you’re willing to pay. Why? Well, it’s all about negotiation
at the end of the day and you want to get the best price
for the property you’re interested in. So if you lead in and say, “I think this property’s worth
$500,000 and that what mostly will pay,” guess what, that’s probably going to be
what you will end up paying. Also, with real estate agents,
it’s always a bit of a game. So they might see you say that
and they might have it on the market for $700,000, they know that you just been a bit silly
and they know what it’s worth and they know if you put an offer in there, that you’re just
going to be a time-waster and a bit of a tire-kicker. So use that to advantage and just remember
to hold your cards close to your chest. Number 2, what you’ve been
pre-approved for. So Jayden, why wouldn’t I tell the real estate agent
that I’m an awesome customer, I’m pre-approved for $500,000
and I’m good to go. For the same reason,
they’re going to know what your limit is. Also, you don’t want to tell them
how much deposit you’ve got. This is another one we see
first home buyers making a mistake all the time and they give that real estate agent,
just that little bit too much information because when the real estate agent goes back
to the vendor or the person selling the property and if you’re in a bit of a competition against
another offer, they’re going to say, “Well, Nathan he’s got a 5% deposit
but Sarah, she’s got a 20% deposit, we know bank financing is
a bit difficult at the moment and we should take one with the 20% deposit,
even it’s a lower amount.” So again, it comes back to using your information
and not giving away too much because the more information
the real estate agent has about you, the more like it can use against you
as sort of nudge you up. It also works the other way.
If they know you’re pre-approved for a huge amount and they know the property might be sold for less than that,
they can use it to try and get you up a bit more than maybe outside of your budget
because they know the banks will give you the money anyway. So you tell them you’re pre-approved
but just don’t give away too much information around how much you’re pre-approved for
or what sort of deposit you have. Number 3, your renovation plans. So why wouldn’t I tell the agent
about my grand plans that what I want to do with the property
and how much I’m in love with it. Again, real estate is such an emotional thing
and if the real estate agent knows you’re already thinking about putting
a nice picture all up and moving the bath and then putting the kid in that bedroom
and putting your dog in that room, they know that you’re really emotionally invested
and they’re going to use that to try and beat you up and try and tell you why
you’re getting such a good deal and why it’s so much a good value. So don’t talk about that.
Say, “Yeah, it’s a good property. Okay, yeah, I like it,”
but don’t go beyond that. That’s all you need to go,
don’t go telling them about your plans because then they’re going to use that
against you in your negotiations. Number 4, I’m in a hurry to buy,
my lease is about to end. Why can’t I let the agent know this? Isn’t this good information that they know
I’m a serious buyer and I want to buy straight away. Because again,
they’re going to use that against you. They’re going to say, “Well, we’ve got someone else
in here that’s looking at buying. Well, we know you’re in a hurry,
you better be quick about making this,” but again, they’re just going to use that
to try and push you along and get you to make offers
at a point outside what you want, just to get you sign the contract
and settle really quickly. It’s just a matter of-
You don’t need to tell them the timeframes. You just tell them-
You don’t need to even go in that much detail. You just say,
“I’m pre-approved. I’ve got the money and I’m comfortable at this point,”
that’s all you do. Number 5, I just missed out a little our property.
I need to get the next property. If the agent knows that you’ve got timeframes
that you’re running against, they’re going to use that in the negotiations
to kind of manipulate your emotions and get you to push up a little bit more than you can
to hit those timeframes. When you’re in the search and negotiation stage,
don’t mention the timeframes. Make your offer, put a settlement date in there,
which you do on the contract, put your finance due date terms
and your building and pest and that’s it. Don’t tell them the reasons why
because they’re going to use that to try and push you and pull you
to get the price more. And lastly, a bit of a noob one
but it happens all the time — I don’t know what I’m doing.
I’ve no idea about the market, about the suburb. The people are asking real estate agents about this.
Why is that bad? Yeah Jayden, I’ve had plenty of customers had this sort of feeling
when they’ve gone into open homes before. The good thing is
with our resources on our website — HunterGalloway.com.au/Resources,
where there’s checklist that you can use. So I had a first homeowner
downloaded the property inspection checklist recently and they went into a home
and they said, they had no idea, they felt really like
we don’t know what to look at. They had no clue but they brought this checklist
and they went through it methodically, point by point, to the point
where the real estate agent actually said, “Hey mate, are you a seasoned investor?” and my first homeowner was like,
“Wow, this is powerful. I had no clue. I felt awkward inside
but it actually turned out that on the outside,
it’ll look like I knew what I was doing.” So it’s a good tip.
So check out those free templates and resources. It’s at HunterGalloway.com.au/Resources. We’ll put in the description below
and if you’ve got any questions, make sure you hit us up
at HunterGalloway.com.au and if you like this,
leave a comment below or give us a thumbs up. Thanks guys.

3 thoughts on “6 Things YOU CANNOT tell a Real Estate Agent [And how it will cost you 😣]

  1. For free home buying resources, calculators and downloads check out the First Home Buyers Hub https://www.huntergalloway.com.au/hub

  2. Keep Up The Great Content. I Liked It & Hope The Video (Your Message) Keeps Growing.

  3. The real estate agent always asks if I’m pre approved but that’s a good tip with not telling them for how much.

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