Real Estate Talk:
Negotiating better offers

How an experienced broker turns a weak offer into a powerful lever

By Joseph Marovitch

Edited, May 21, 2026

Residential real estate can be an emotionally charged endeavour for many buyers and sellers. Most tend to take everything personally. For example, a buyer submits a purchase offer for a property listed at $850,000. The offer is for $725,000. The seller sees clause 4.1 of the promise to purchase, which states the price is $725,000, and is immediately insulted. The seller tells the broker that the offer is ridiculous and that the seller will not even consider it.

Brokers manage client expectations and clearly explain the negotiation process at the beginning of the marketing campaign.

The seller then tells the broker not to bring any offers outside the seller’s expected range. (Note: this is not possible. The broker must submit every offer they receive.) Emotion can cloud good judgment. This is one of the many advantages of a broker with negotiation experience. Brokers manage client expectations and clearly explain the negotiation process at the beginning of the marketing campaign.

If the seller continued to read the conditions of the offer, they would see the following:

• The inspection is within five days of the accepted offer, a shorter period than average to facilitate a quicker sale.
• The offer is cash-only, which also allows for a quicker closing. A proof of cash is also submitted with the offer.
• The listing broker spoke with the selling broker and found out the buyer is downsizing after recently selling their business for a large sum.

Therefore, the offer is quick to close, and the buyer has sufficient funds, as the buyer was vetted before the offer was submitted. Finally, there is room for negotiation. Also, note that the buyer owned a business for over twenty years, as indicated by the Quebec government REQ report. Therefore, the buyer is experienced in negotiation and is starting low to meet the seller’s price somewhere in the middle.

As a note, any offer, regardless of price, is an advantage when selling a property. If the offer is within the asking price range, there is room to start negotiating.

If the offer price is too far from the asking price, the seller can refuse or counter, but the broker can use the offer as a tool to generate additional offers by informing other interested parties that an offer has been received, thereby motivating them to submit their offers sooner. This is the listing broker’s obligation, since their mission is to secure the optimal price and terms for their client. This strategy can also create a multiple-offer scenario, which will drive the price up and prompt the original offer to be increased.

In negotiations to buy or sell property, both parties want something, and both must walk away satisfied that the terms of the agreement meet their needs.

To achieve the goal of arriving at a mutually satisfying agreement, the following must occur:

1. If you’re the seller or listing broker, before negotiation, research the property, the market, and, if possible, the buyer’s financing and history for background, business, and anything else. If you’re the buyer, research why the seller is selling to see if there are any assessments or 60-day notices from the bank or government, rights registered on the property and anything else that provides an advantage.
Other buyer and seller information can be found on Google, Facebook, LinkedIn, and many other platforms, since people tend to share many aspects of their lives there. Brokers can find this information.
   .
2. Know what you want to achieve before entering negotiation, in terms of price range and terms.
   .
3. Create a positive relationship with the other party. It is much easier to negotiate in a positive light than in a hostile atmosphere. We do this by being cordial, friendly and calm. No emotion in negotiation.
   .
4. Be confident in negotiation and know your facts.
   .
5. Approach every issue as a challenge rather than a problem, and find solutions that both parties can agree on.
   .
6. Set the dynamic in terms of deadlines, urgency, and market conditions, and have alternative solutions prepared for every possible objection you can think of.
   .
7. Remain calm and professional, no matter how the other party reacts to objections. By remaining unemotional, you are holding your cards close to your chest, giving away nothing in pursuit of opportunities to buy lower, sell higher, or secure better terms. Emotions and body language can give away information and strategy, which can hurt the chances of achieving the set goal.
   .
8. Listen more than you speak, and stay on point. So many people either give away strategy or improve their odds of a successful conclusion by either saying too much or too little. By listening intently, one shows respect and professionalism and can gather information that is useful in achieving one’s goals

‘In negotiations to buy or sell property, both parties want something, and both parties must walk away satisfied that the terms of the agreement provided what they need.’

After summarizing the terms, conditions, and price to ensure everyone is on the same page and reaching a verbal agreement, prepare and sign the acceptance of the promise to purchase or the counterproposal. Then begin the due diligence process.

If issues arise during the inspection, document review, or financing, repeat all steps until the conditions are satisfied and the sale proceeds to the notary.

The information in these articles is a summary. Should you have questions, comments or wish to discuss further, please refer to the comments section at the bottom of the page or contact me directly. As well, to view past articles, click here.

State of the market

I may have stated this before; however, I am stating it again. Oil has risen above $100 a barrel in the U.S. Though many may not realize this, the price of oil directly affects real estate. As oil prices rise over an extended period, inflation eventually creeps upward. To combat inflation, the Bank of Canada increases the prime lending rate, which means interest rates rise and everything becomes more expensive.

‘As oil prices rise over an extended period, inflation eventually creeps upward. To combat inflation, the Federal Bank increases the prime lending rate, which means interest rates rise and everything becomes more expensive.’

Currently, the Bank of Canada interest rate remains at 2.25%. This means a 5-year fixed mortgage rate can be acquired somewhere between 3.95% and 4.3%. Inventory remains low, and buyers can negotiate more advantageous prices on property.

As long as the buyer can cover the carrying costs, demand will decline when interest rates increase due to inflation. There will then be a period in which demand increases but has nowhere to go. When global events stabilize, pent-up demand will cause property values to rise quickly. Homeowners will suddenly have more income and the ability to either sell or refinance at a premium.

Have a wonderful weekend.

Let’s not forget that people with cancer are vulnerable too!

You are invited to continue giving to the following organizations, as it’s now more important than ever to support cancer research! Click on the logos below to find out how:

Feature image: rawpixel.com – Pexels

Other articles by Joseph Marovitch