Negotiations are found in almost any field of human activity. This false process involves several participants and stakeholders, each of which has its own requirements and desired results. A precious component of the negotiations is the statement of purpose, which will guide the decision-making process. This case study is a negotiation for the sale of a house and includes a description of the participants in the procedure, the object of sale, and an assessment and analysis of the necessary sources necessary for the preparation and conduct of negotiations.
First, it is necessary to consider the object and its characteristics, which will be the center of the proposed case study on negotiations. Thus, at the center of the proposed process will be the sale of an apartment building in Harbor City, CA. I am the representative of the owner of the house, who is offering $499 999 for this property. The house has three bedrooms and three bathrooms, and the total area is 1,890 sqft. The house was built in 1991 and had two garage spaces and 0.5 acres of land. A vital aspect of these negotiations for the sale of a house is that a potential buyer offers to purchase real estate at a reduced price. One of the reasons proposed by this party is the house’s date of construction and the possible complications associated with it.
The next step is to identify the parties involved in the negotiations. Hence, on the one hand, it is the owner of residential real estate, an agent hired by him, and a potential buyer and an agent representing his interests. The buyer is a young man of 40 years old who wants to buy a house for his family, consisting of him, his wife, and his daughter. A 55-year-old man who inherited the house is interested in the sale. The stakeholders involved in the sale-purchase procedure of the house include loan servicers involved in the sale, as well as any real estate agents involved in the transaction. Among them may be insurance agents, title companies, and home inspectors (Morris, 2022). The buyer is a young family who wants to buy their first house, and the seller is an elderly couple who wants to reduce the area. These stakeholders may not be directly involved in the negotiations but will have a stake in or influence the process. It is worth noting that it is crucial to consider the interests and motives of all parties involved to successfully conduct these negotiations.
When preparing for the sale of a house, one of the primary sources is information about the current state of the residential property sale market in Los Angeles. Thus, the real estate agent hired by the seller must carefully study the market conditions and comparable housing sales in the area. In this process, specialists such as home inspectors and home appraisers can be involved, who will provide a professional assessment of the condition of the house and its market value. Collecting this information will help determine the appropriate value of the seller’s property. Another vital source of information when selling a house is the study of the financial condition of the buyer. Thus, the seller must ensure that the buyer can afford the property at the requested price. In this case, this party to the negotiations requests a discount on the purchase, which requires me to develop a plan for negotiations on a payment schedule or other financing options.
The next aspect that needs to be considered when preparing for the sale of a house is the legal requirements and regulations related to the sale of real estate. For example, it is essential to make sure that the property being sold complies with the building codes established by the Basic Building Code and complies with the Model Building Codes. Moreover, from a documentary point of view, important sources of information are homeowners insurance records, showing any transformations and changes in real estate, as well as home repair and maintenance records (Waugh & Rogazc, 2022). Utility bills are also valuable, as they show the monthly expenses for the maintenance of the house. It is also vital for the buyer to provide information about any unforeseen circumstances that may arise after the purchase (“The essential guide: Documents you need to sell your house,” n.d.). They must be included in the contract of sale, and among them may be a housing inspection or unforeseen mortgage expenses.
The main purpose of these negotiations is the achievement of mutual consent and satisfaction of both parties in selling residential property. In other words, both parties and stakeholders should reach a mutually beneficial agreement without any disputes or disputes (Kim, 2022). The expected result of these negotiations is the successful sale of the house by the owner at a fair and appropriate price. For the buyer, the expected result is the real estate purchase at an acceptable price for him.
In conclusion, conducting negotiations is a complex process that requires careful preparation to obtain successful results for all parties involved. As a representative of the seller of residential property, these negotiations are important to me because an effective sale process will lead to a successful outcome for my client. When preparing and conducting the negotiation procedure, I will research market conditions, necessary legal aspects, and documents.
References
Kim, J. Y. (2022). Negotiation statements with promise and threat. Review of Economic Design, 26(2), 149-164. Web.
Morris, G. (2022). Who’s involved in the buying and selling of a home? In charge. Web.
The essential guide: Documents you need to sell your house. (n.d.). Sail homes. Web.
Waugh, E. & Rogazc, C. (2022). Which documents do you need to sell a house? Home light. Web.