Quick steps to think about before entering a negotiation situation: 1. Be Prepared 2.Take Your Time 3.Don’t take it personal 4.Ask for more 5.Speak, then shut up 6. Be friendly & fair, but be firm and unyielding if necessary 7.Know the other parties motivation!!
For sellers, when the buyer shows interest in your property. They tell you they like most of what they have seen, but they have a few problems with some areas of the house, such as; bedrooms are too small, too far of a drive to work, power lines in the back yard, no garage, etc. These are items you can not change, so don’t try to. Instead, focus on what they like. In all cases, there is one item that they really like. They might like the open kitchen with lots of counter space (because they like having family over for dinner) or they like the extra room in the basement (because they need a workshop) or they like the flat back yard (for their kids to play), etc. You need to use this information as often as possible. Any time they mention a negative, remind them of the positive. Turn every comment into a reason to move forward.
For buyers, know the reason the seller is moving. It may be a job transfer or new job, it may be a new house already purchased, it may be a personal reason. Find out and use it. Also know, how they came up with the price. Most sellers know they will receive offers below asking, be prepared with why you are offering a lower price.