HOW TO NEGOTIATE THE PURCHASE OF A NEW OR USED MOBILE HOME

You can read all the books that you can find on negotiating at your local book store – and you’ll find that none of those work in the real world. Negotiating the purchase of a manufactured home requires some special preparation, and the end result of that advance work is what will allow you to get the price you want , not trying to copy Donald Trump’s acumen at “take it or leave it” diplomacy.

Many sellers don’t take well to threats

The type of negotiation that is used in many books on the subject is called “win/lose”. This is based upon a threat to the seller that “if you don’t take my offer, then I’m out of here”. When presented in this manner, most sellers become defensive and their primary instinct is to tell you to get lost. This type of negotiation posture is only really effective when the seller has no other options – but, of course, in this case they do.

Use the sheer volume of the competitive market as your weapon

A better negotiating style is “win/win”, in which both the seller and the buyer have mutual benefit and both get a fair deal. This is the best method to approach the seller. And to show the seller the benefit he will receive from the sale, the key is to overwhelm them with the competitive forces of the market. Tell the seller that you are looking at over 1,000 homes on-line, all that meet your criteria. Tell them that you have the money to close, and will take the first deal that is compelling. Now the pressure is on them to prove to you that they should be the manufactured home that is selected.

Know everything about values

Another key to proper negotiation is to know absolutely everything about market values on new and used mobile homes for sale.  When a seller tells you something wrong, tell them “there are actually nine homes of this same make and model priced at 20% less than that, and I can email you the information on them to prove it to you”. In case after case, the buyer who best knows current values is going to drive the best bargain, and convince the seller of the correct pricing.

Play effective mind games

Despite the win/win negotiation model, there are practical mind games that should be used in negotiation. One is to never appear too anxious. That will send a signal to the seller that they don’t need to make any further price concessions. Also, if the seller won’t accept your price, feel free to walk away from the deal and see if they call you to try and get the negotiation on-track again.

Never get personally attached to any home

No matter what style of negotiation you use to purchase a new or used mobile home, you should never get personally attached to any one home. The key to this business is volume, and you lose that weapon when you narrow the field of acceptable homes to just one. Just because a home has a certain stained glass window in the cabinet does not make it the “perfect” home. You can always add such decorative items into any home for a price. Treat every home as just one of many, and don’t get personally involved in it – that will ruin your ability to negotiate effectively.

Conclusion

Negotiating is an important skill. Buying a new or used manufactured home – and feeling good about it – requires you to drive the hardest bargain you can. Use these negotiation tips to help you get the new or used mobile home of your dreams, at the lowest cost possible. It’s not as hard as it looks.

By Frank Rolfe Frank Rolfe is a mobile home park investor and owns over 100 parks with his partner Dave Reynolds. Frank also leads regular Mobile Home Park Investing Bootcamps through the MobileHomeUniversity.com.