Home Buying Silence: The Ultimate Negotiation Tactic
A bargain-savvy homebuyer should have several tactics in their arsenal. However, you may have never heard of (pun intended) one of the most powerful tactics. Using silence in trading can earn you more money per word than Arnold Schwarzenegger in The Terminator. Observe and enjoy.
Once upon a time, I represented the buyer of an apartment complex. The seller of the apartment complex was also the real estate agent selling the property. The sale price was $1,050,000. I went on a tour of this apartment complex without my buyer and at the end of the appointment I asked for the sale price. The owner/agent said, “It’s $1,050,000.” I employed a technique called shrinking. I said “One million fifty thousand!! My buyer can’t afford that. That is too much! And then I was silent. He shifted uncomfortably for a few seconds as the silence became unbearable, then said, “Well, the best I can do is $960,000.” He got out of the $90,000 price in less than 20 seconds.
Suppose instead of staying silent and letting the salesperson speak next, I started talking again. What do you suppose the chances would have been that he would have conceded a significant amount of money? Probably not very high. It is likely that he would have let me go on and tell him how much my buyer would pay and then use the shaming tactic on me. Silence is one of the most effective techniques in a negotiator’s arsenal, but one of the most difficult to master. Why is this?
Silence is difficult to master because being silent in the presence of another person is uncomfortable. The next time you’re with someone, be completely silent for 15 seconds. Not while the other person is talking. When there is a pause in the conversation or a verbal service directed at you, wait 15 seconds before hitting back. You’ve probably just experienced the awkward silence. And you were doing it on purpose. Imagine if you didn’t know this is a game and someone used this technique on you. The anxiety that builds up is enough to make even the most introverted person babble uncontrollably. That is the power of silence.
When you are negotiating your house and use a tactic or make a verbal offer, be silent and don’t speak again until the other party speaks. Make it a game if you want and see who blinks first. Once the silence becomes uncomfortable for the salesperson, he is likely to start talking, and if he continues, he is likely to trade against himself or give you advantageous information. They can reduce the price if he has used a tactic or they can accept if he has made an offer. But even if they don’t make a concession, you haven’t lost anything by trying, not even the air in your lungs. You may be surprised at how much you can earn.