NEGOTIATION · 14 MIN READ
Home selling negotiation strategies: how to negotiate a better sale
Negotiation does not begin when an offer lands. It begins with your asking price, your listing and the first question a buyer asks you. Here is the process, stage by stage, with the words to use at each point.
Most sellers picture negotiation as one tense conversation about price. It is not. It is a sequence of small decisions that starts the day you list and ends when a contract is signed, and almost all of them are about information: what you learn from the buyer, and what you give away without meaning to.
How do you negotiate when selling a property?
Property negotiation begins before the first offer. Your asking price, listing presentation, enquiry responses and inspection strategy all shape the buyer’s position. When an offer arrives, avoid accepting or rejecting it immediately. Ask questions, confirm the buyer’s terms, identify their level of motivation and respond with a clear counter-offer. The strongest sellers negotiate the whole agreement, including price, deposit, conditions and settlement date, rather than price alone.
| Quick fact | Answer |
|---|---|
| Read time | 14 minutes |
| Best for | Sellers negotiating directly with buyers, and sellers checking how their agent is handling offers |
| Difficulty | Intermediate |
| Reviewed by | Ben Williams, Founder of Unreserved, 15 years an agent and 2,000+ auctions |
| Applies to | Australia, all states and territories |
Key takeaways
- Negotiation starts when the property hits the market, not when the first offer arrives.
- Never reveal your minimum acceptable price. It becomes the new starting point.
- A buyer’s first offer is information, not their final position.
- Price is one term of an offer. Deposit, conditions and settlement can matter more.
- Questions, silence and written counter-offers beat long explanations.
- Genuine competition between buyers is the strongest position a seller can hold.
- Set your walk-away point before negotiations start, and keep it private.
When does property negotiation start?
It starts with the number you advertise. The asking price is the reference point every buyer argues from, so a price that cannot be defended with recent comparable sales hands the buyer their opening argument before they have walked through the door. Everything after that either strengthens or weakens the position you set on day one.
By the time an offer arrives, most of the negotiating has already happened. The buyer has formed a view on how many other people are interested, how long the property has been listed, whether the price has moved, and how keen you sounded when they asked why you are selling.
Every stage above changes what you can hold out for at the stage below it.
Ben’s insightNegotiation starts the moment a buyer asks a question. What you reveal about your urgency, your expectations and how much interest you have had can move the offer they eventually make by tens of thousands of dollars.
The five stages of seller negotiation
Most negotiation advice is a pile of disconnected tactics. It is more useful to treat it as five stages, because knowing which stage you are in tells you what you should be doing and, more importantly, what you should not be saying yet.
| Stage | What it is | The mistake sellers make |
|---|---|---|
| 1. Positioning | Pricing, presentation and marketing that create buyer competition | Pricing on hope, then discounting under pressure later |
| 2. Information gathering | Learning why the buyer is interested, how ready they are and what matters to them | Talking first and answering questions nobody asked |
| 3. Offer assessment | Evaluating price, deposit, finance, conditions and timing together | Comparing offers on the headline number alone |
| 4. Countering | Moving the buyer toward acceptable terms without bidding against yourself | Dropping the price twice with no movement in return |
| 5. Closing | Confirming the agreement in writing and moving it to contract quickly | Leaving a verbal agreement to cool for a week |
The rest of this article works through those five stages in order.
Stage 1: position the property before you negotiate
Your negotiating position is mostly built before a buyer contacts you. Three buyers who all want the property is a stronger position than any tactic in this article. One buyer who knows they are the only one is a weaker position than any tactic can rescue.
That means the work that creates competition is negotiation work: pricing against real comparable sales, presenting the property properly before the photographer arrives, and buying enough advertising reach to put it in front of every active buyer in the area while the listing is still new. If you are weighing premium placement, the realestate.com.au upgrade options are worth understanding before you commit a budget.
Two things to have settled before you go live: a defensible view of what the property is worth, and the terms you actually want. Start with what your house is worth and, if you are still deciding whether now is the right time, whether to sell at all.
Set your negotiation position before the first offer
Write down three numbers before any buyer makes an offer. Writing them down is the point. A figure you decided in advance is much harder to talk yourself out of at 9pm on a Sunday when a buyer has given you until morning.
| Position | What it means | Who sees it |
|---|---|---|
| Ideal outcome | The price and terms you would be delighted to sign | Reflected in your asking price |
| Acceptable outcome | A result that meets your financial and timing goals | Revealed only through counter-offers |
| Walk-away point | The minimum terms you will accept before you keep marketing | Nobody. Not the buyer, not the buyer’s agent |
Your walk-away point stays private for the entire campaign. The moment it is spoken aloud it stops being a floor and becomes the new ceiling.
Set the non-price terms at the same time: the earliest and latest settlement dates that work for you, the deposit you want, which conditions you are willing to accept, and what stays with the house.
Know what you are negotiating beyond price
Sellers who only negotiate price have one lever and give it away early. Sellers who understand the whole agreement have seven, and can hold the price by moving something else.
| Term | What it changes | Typical seller preference |
|---|---|---|
| Price | The headline number | As high as the evidence supports |
| Deposit | How much the buyer stands to lose by walking away | 10%, or as close to it as the buyer can manage |
| Finance condition | Whether the sale can collapse at the lender | Unconditional, or a short approval window with a named lender |
| Building and pest condition | Whether the buyer can renegotiate after inspection | A short window and a defined threshold, not an open right to withdraw |
| Subject to another sale | Ties your sale to a property you do not control | Avoid, or accept only with a continuing right to sell |
| Settlement period | When you get paid and when you have to be out | Whatever matches your next move, and it is worth real money to a buyer |
| Inclusions and access | Furniture, appliances, early access before settlement | Trade these, do not give them away |
Contract conditions carry legal and financial consequences. Have your conveyancer or solicitor review the wording of any condition before you agree to it. See contracts of sale and vendor statements for what the paperwork involves.
FREE DOWNLOAD
The seller’s negotiation prep sheet is inside our selling guide
Our 24-page selling guide covers the three numbers to set before you list, the questions to ask every buyer, and the offer scorecard from further down this page. No cost, no call from a salesperson.
One email. Unsubscribe any time. We do not pass your details to agents.Stage 2: gather information before you give any
The seller who asks more questions wins more negotiations. Not because questions are clever, but because every answer tells you how hard you can push, and asking them keeps you from filling the silence with something you cannot take back.
What to ask every serious buyer
- What attracted you to this property in particular?
- Are you buying to live in or as an investment?
- Have you had finance formally approved, or is it pre-approval?
- Do you need to sell another property first?
- What settlement timeframe would suit you?
- Have you been looking long, and what else are you considering?
- Is there anything about the property that would stop you making an offer?
That last question is the most valuable one on the list. It surfaces the objection while you can still answer it, rather than three days later when it arrives as a reason for a lower offer.
How to speak with buyers without weakening your position
| Do | Do not |
|---|---|
| Answer the question that was asked, then stop | Explain your reasoning at length |
| Say you will come back to them in writing | Give an answer on price on the spot |
| Describe interest factually: number of groups through, number of enquiries | Imply offers exist when they do not |
| Give a plain reason for selling, such as upsizing or relocating | Mention a deadline, a divorce, a bridging loan or a settlement you must meet |
| Refer contract questions to your conveyancer | Improvise an answer on legal or disclosure matters |
| Let a pause sit after you state a number | Fill the pause by softening the number |
The line you cannot crossThere is a difference between not volunteering information and misleading a buyer. Never invent competing offers, never overstate buyer interest, and never conceal a defect you are required to disclose. Australian consumer law and state vendor disclosure obligations both apply to private sellers, and a sale built on a false statement can be unwound.
What to say when a buyer asks what you will take
This is the most common question a seller gets, and answering it directly is the most common way sellers lose money. Any number you name becomes the new asking price, and the buyer will negotiate down from it. Redirect instead.
WHEN A BUYER ASKS FOR YOUR LOWEST PRICE
“We’re considering all genuine offers based on the property and the terms proposed. What figure would you be comfortable putting forward?”
Or: “The asking range reflects the recent comparable sales and current interest. You’re welcome to submit your strongest offer for us to consider.”
It answers the question without naming a number, and it hands the next move back to the buyer. Whoever names a figure first gives the other party something to work against.
What to say during an inspection
Inspections are where sellers give away the most, usually while being friendly. Buyers ask three questions in some form: how much interest has there been, why are you selling, and would you take less. Have an answer ready for each.
WHEN A BUYER ASKS HOW MUCH INTEREST THERE HAS BEEN
“We’ve had a steady run of groups through since it launched and a few buyers coming back for a second look. If you’re interested, the best thing to do is put something in writing.”
Factual, specific enough to be credible, and it ends with an action. Only say it if it is true. If interest has been thin, say interest has been building and leave it there.
WHEN A BUYER ASKS WHY YOU ARE SELLING
“We’re moving on to the next place. There’s no rush on our side, we just want the right result.”
A reason with no urgency in it. Compare that to mentioning a settlement date you have to meet, which tells a buyer exactly how long to wait before offering less.
If you are running your own opens, preparing your home for inspections covers the practical side of the day itself.
Stage 3: how to assess a buyer’s offer
An offer is not a number. It is a set of promises about price, timing, money and conditions, and some of those promises are much more likely to be kept than others. The question is never just how much, it is how much, how certain, and when.
Is the highest offer always the best offer?
No, and the gap can be large. Here are two offers on the same property. The first is worth $15,000 more on paper.
| Buyer A | Buyer B | |
|---|---|---|
| Price | $915,000 | $900,000 |
| Deposit | 5% | 10% |
| Finance | Subject to finance, 21 days, no pre-approval | Approved, unconditional |
| Building and pest | Subject, 14 days | Inspection already completed |
| Subject to another sale | Yes, their unit is not yet listed | No |
| Settlement | 120 days | 60 days, flexible |
| What you actually have | A five-week wait to find out if it holds, and two chances to renegotiate | A sale, subject to signing |
Buyer A’s offer is higher and weaker. It has three separate ways to fall over and two built-in opportunities to come back and ask for a reduction after the building inspection. Buyer B is $15,000 lower and close to certain.
The offer scorecard
Score every offer on the same nine lines before you compare them. Print it, fill it in by hand if that helps, and do it for every offer including the one you already like.
| Offer component | Buyer A | Buyer B | Buyer C |
|---|---|---|---|
| Price | |||
| Deposit | |||
| Finance condition | |||
| Building and pest condition | |||
| Subject to another sale | |||
| Settlement period | |||
| Inclusions requested | |||
| Buyer readiness | |||
| Overall certainty |
Certainty is worth money. A clean offer that settles is often worth more than a higher one that carries a real chance of collapsing, because a sale that falls over in week five puts you back on the market with a property buyers now think has a problem.
Questions to ask after receiving an offer
- Is the offer in writing, with the buyer’s full names and the property address?
- Is finance formally approved, or only pre-approved, and with which lender?
- What deposit is being paid, and when?
- What conditions apply, and how many days does each one run for?
- What settlement date is proposed?
- Is the buyer relying on selling another property?
- Does the offer have an expiry, and what happens if it passes?
- What inclusions or exclusions have been assumed?
WHEN YOU NEED MORE INFORMATION BEFORE RESPONDING
“Before we respond, can I confirm whether your finance is approved, what conditions would apply and your preferred settlement date?”
It buys you time without signalling hesitation, and the answers change what your counter should be. A buyer with approved finance and a flexible settlement can be pushed harder on price than one who is waiting on a lender.
Ben’s insightA higher offer with uncertain finance and a long list of conditions can be worth less than a slightly lower offer from a prepared buyer with clean terms. Work out what each offer is worth after you account for the odds it reaches settlement, not before.
Not sure whether the offer on the table is fair?
Our free AI valuation compares recent sales, current listings and market movement in your suburb, and gives you a defensible range to negotiate against. Two minutes.
Get my free valuationStage 4: how to respond to an offer
You have three options and only three: accept, counter, or reject. Counter is the right answer far more often than sellers think, because a counter keeps the conversation alive while telling the buyer exactly what would work.
Respond in writing wherever you can. A written counter is precise, it cannot be misremembered, and it makes the buyer respond to a document rather than to your tone of voice.
How to respond to a low offer
A low first offer is normal. It is usually the buyer finding out whether there is room, and the seller’s reaction is what decides whether the conversation continues. Four steps, in order.
Acknowledge it, do not react to it
Reply within a day. Thank them for the offer and confirm you have received it. Nothing else. Sellers who fire back an insulted reply lose buyers who would have paid full price two rounds later.
Ask how they arrived at the figure
The answer is diagnostic. If they cite comparable sales, you are negotiating with someone informed and the gap is probably real. If they have no reasoning, they are testing you, and a firm counter will move them.
Test whether they can improve
Ask directly whether there is flexibility in the price or the conditions. You are finding out whether this is a starting position or a ceiling before you decide how far to move.
Counter with a specific number and a reason
Name a figure and attach the evidence. Vagueness at this point costs you the buyer.
WHEN A BUYER MAKES A LOW OFFER
“Thank you for putting the offer forward. We’re not in a position to accept that figure. Based on the comparable sales and interest in the property, we would be prepared to continue the discussion at $___.”
It rejects the number without rejecting the buyer, gives a reason that is not about your feelings, and puts a specific figure on the table for them to respond to.
There is a longer walkthrough of this exact situation in our guide on how to respond to a low offer, including what to do when the low offer is the only one you have.
How to make a counter-offer
A counter-offer changes one or more terms and states them clearly. It should include the price, the deposit, the conditions you will accept, the settlement date and a response time. Change the terms as well as the price where you can, because that is what stops the negotiation being a pure tug of war over one number.
WHEN YOU WANT THE BUYER TO IMPROVE THEIR OFFER
“We’re not able to accept the current offer, but we are open to continuing the conversation. Is there any flexibility in your price or conditions?”
Two things at once: a clear no, and an open door. Most buyers who hear this come back with something better, because you have told them the deal is still available.
WHEN HOLDING FIRM ON PRICE BUT OFFERING FLEXIBILITY ELSEWHERE
“We would need to remain at $___ on price, although we may be able to accommodate your preferred settlement date.”
This is the whole game in one sentence. You are not refusing to move, you are moving on something that costs you less than the price would.
Do not negotiate against yourself
The most expensive mistake in this article. A seller offers $920,000, hears nothing for three days, and drops to $910,000 without the buyer having moved at all. They have just bid against themselves, and they have taught the buyer that waiting is profitable.
A concession should always buy something: a higher offer, a condition removed, a shorter finance window, a bigger deposit. If nothing came back, nothing goes out.
When you do move, move less each time. Shrinking concessions are believable because they are what actually happens as a seller approaches their limit.
Illustrative only. The figures do not matter, the shape does: $920,000, then $910,000, then $905,000, then $902,500. Each step is roughly half the last, which reads as a seller running out of room. Four equal $10,000 steps reads as a seller with a fifth one ready.
Ben’s insightNever reduce your price twice without movement from the buyer. A concession should bring both parties closer together. If only one of you is moving, that is not a negotiation, it is a discount schedule.
Stage 5: how to close the negotiation
Deals go cold in the gap between a verbal yes and a signed contract. Once you have agreement, your job is to make that gap as short as possible.
- Summarise the agreed terms in writing the same day: price, deposit, conditions, settlement date, inclusions.
- Ask the buyer to confirm the summary in writing before anything goes to the conveyancer.
- Send it to your conveyancer or solicitor immediately to prepare the contract.
- Give the buyer a clear next step and a date, so the momentum stays with them.
- Keep the listing live until the contract is signed and any cooling-off period has passed.
A verbal agreement is generally not a saleIn most Australian jurisdictions a property sale is only binding once both parties have signed a written contract, and cooling-off rights vary by state. Nothing in this article is legal advice. Your conveyancer or solicitor should prepare and review the contract and the vendor disclosure documents for your state. Settlement day explained covers what happens after the contract is signed.
Ten property negotiation strategies sellers can use
Each of these works in a particular situation and costs you something in another. Read the risk line before you use one.
Ask questions before you answer any
When it works: every time, and especially on first contact.
How: when a buyer asks about price, respond with a question about their position. What are they looking for, what is their timing, have they had finance approved.
Risk: deflecting every question reads as evasive. Answer factual questions plainly, and redirect only on price and your minimum.
Use silence
When it works: immediately after you state a price or a counter.
How: say the number, then stop. Most people are uncomfortable with a pause and fill it. If you are the one filling it, you will fill it by softening.
Risk: silence over email or text reads as disinterest. Use it in conversation, not in writing, and always confirm in writing afterwards.
Ben’s insightThe strongest negotiators do not fill silence with concessions. They state their position clearly and give the other party room to respond.
Trade, do not concede
When it works: any time a buyer asks for something.
How: attach a return to every request. The table below shows the usual trades.
Risk: trading on trivia irritates buyers. Trade on the terms that actually cost you money or certainty.
| Buyer requests | What you can ask for in return |
|---|---|
| A lower price | Fewer conditions, or an unconditional offer |
| A longer settlement | A larger deposit, or a higher price |
| Early access before settlement | Written protection drafted by your conveyancer, and no price reduction |
| Furniture or appliances included | A higher price, or the concession you just made back |
| A finance condition | A shorter approval window and a named lender |
| A building and pest condition | A short inspection window and a defined threshold, not an open right to withdraw |
Make smaller concessions over time
When it works: in any multi-round negotiation.
How: each movement is smaller than the last, as shown in the staircase above.
Risk: if your first move is tiny the buyer may read the whole negotiation as pointless. Make the first move meaningful, then taper.
Use evidence, not emotion
When it works: whenever you need to justify holding a price.
How: cite three recent comparable sales, the condition or features that separate your property from them, and the enquiry the listing has generated.
Risk: your own financial position is not evidence. What you paid, what you owe and what you need for the next purchase are irrelevant to the buyer and signal pressure when mentioned.
Anchor with a defensible price
When it works: at listing, and it is very hard to fix later.
How: set the asking price at the top of what the comparable sales support, not above it. A defensible anchor holds. An indefensible one invites every buyer to discount from it.
Risk: anchoring too high suppresses enquiry in the first fortnight, which is the only fortnight where you have the buyers to create competition. See how to price your home.
Separate price from terms
When it works: when the buyer is close on price but stuck.
How: hold the number and move on settlement, deposit timing, inclusions or access. Buyers often care more about one of those than about the last $5,000.
Risk: some terms cost you real money. A 120-day settlement on a property you are still paying to hold is not a free concession.
Create genuine competition
When it works: when you actually have two or more interested buyers.
How: tell all of them, at the same time, that there is more than one party interested and invite written offers by a set date.
Risk: inventing competition is misleading conduct, and buyers talk to each other. If the bluff is called you lose the buyer and your credibility in the same afternoon.
Give a clear counter, not a vague rejection
When it works: on every offer you do not accept.
How: replace “that’s too low” with a number, a set of terms and a reason. The buyer cannot act on a feeling.
Risk: almost none. This is the highest-value habit on the list.
Know when to pause
When it works: when a buyer is applying artificial deadline pressure.
How: take twenty-four hours. Tell them you will come back tomorrow with a written response, and do it.
Risk: a genuinely motivated buyer in a slow market can go and buy something else. Pause to think, not to punish.
How to handle multiple offers
Two genuine buyers is the strongest position a seller can be in, and it is also where sellers most often mishandle the process and lose one of them. Run it as a process, not a series of phone calls.
WHEN THERE ARE MULTIPLE GENUINE BUYERS
“We have received interest from more than one buyer. We are asking all interested parties to submit their best written offer, including conditions and settlement terms, by ___.”
It is fair, it is the same message to everyone, and asking for terms as well as price means the buyer with clean finance can win without being the highest.
Never fabricate a competing buyerClaiming an offer exists when it does not, or overstating what a competing buyer has offered, is misleading conduct. It also tends to backfire commercially: buyers withdraw, and in tight suburbs they compare notes. Only run a multiple-offer process when you genuinely have multiple offers.
Should you ask for best and final offers?
| It works when | It backfires when |
|---|---|
| You have two or more qualified, genuinely interested buyers | You have one buyer, who now knows there is no competition |
| The property has been on the market long enough to have found its buyers | It is week one and buyers who have not inspected yet are excluded |
| You are prepared to accept the best offer that comes back | You plan to keep negotiating afterwards, which destroys the credibility of the next deadline |
| The deadline gives buyers time to confirm finance | The deadline is short enough to read as a pressure tactic |
Our guide on best and final offers goes through the mechanics, and whether to accept the first offer covers the related question of what to do when a strong offer arrives in week one.
Common buyer negotiation tactics
Most buyers are not running a playbook. They are nervous, spending more money than they ever have, and repeating something they read. Recognising the pattern is enough. You do not need to treat the buyer as an opponent.
| Buyer behaviour | What it may mean | What to do |
|---|---|---|
| A very low opening offer | Testing whether there is room to move | Ask how the figure was reached, then counter with a specific number |
| “This is my final offer” | Sometimes true, often a position | Assess the whole offer and ask whether there is flexibility in the terms |
| Listing every defect | Building the case for a lower price | Acknowledge it, do not argue, return to the comparable sales |
| A very short deadline | Pressure, or genuine urgency on their side | Respond on your timetable, in writing, within a day |
| A strong price with many conditions | Buying an option, not a house | Score the certainty, not the headline number |
| Asking what you will take | An attempt to get you bidding against yourself | Redirect: invite them to put an offer forward |
| “We’re also looking at another property” | Usually true, and usually not decisive | Acknowledge it and hold your position. Do not discount against a property you cannot see |
What to say when a buyer criticises the property
Criticism is either genuine feedback or the groundwork for a lower offer, and you often cannot tell which. Either way, arguing is the wrong move. Defending the property confirms to the buyer that they have found something worth pressing on.
WHEN A BUYER CRITICISES THE PROPERTY
“That’s a fair observation, and it’s reflected in where the property is priced against the recent comparable sales in the street.”
Agree, then move the conversation to evidence. If three genuine buyers raise the same issue, that is not a tactic, that is information, and it may be worth fixing or pricing in.
What if the buyer says this is their final offer?
It may be. It may also be a position. You do not have to decide which, because the response is the same either way: assess the offer on its merits, then ask one question about the terms rather than the price.
- Does the offer clear your walk-away point? If yes, the word final is irrelevant, take it or improve the terms.
- If it is below your walk-away point, the offer is not acceptable whether it is final or not.
- If it is close, ask whether there is flexibility in settlement, deposit or conditions. Buyers who will not move on price will often move on terms.
- Do not bluff back. Saying you have another buyer when you do not is the fastest way to end a negotiation you were winning.
WHEN YOU NEED TO DECLINE AN OFFER AND KEEP THE DOOR OPEN
“Thank you for your offer and the time you’ve taken to inspect the property. We’re not able to accept it on the current terms, but we’ll let you know if our position changes.”
It closes the current offer without closing the relationship. Buyers who are declined politely come back. Buyers who are declined rudely buy somewhere else and tell people.
How to negotiate contract conditions
Conditions are where a good price quietly becomes a bad deal. Each one is a right the buyer holds to renegotiate or withdraw, and the length of each window is negotiable in the same way price is.
| Condition | What the buyer gets | What to negotiate |
|---|---|---|
| Subject to finance | The right to withdraw if their lender declines | A short window, formal approval rather than pre-approval, and the lender named |
| Building and pest | The right to withdraw or renegotiate after an inspection | A short window and a defined dollar threshold, not an open right to walk |
| Subject to sale of another property | Time to sell a property you have no control over | Avoid where possible. If accepted, keep the right to continue marketing |
| Deposit and timing | Lower risk if they walk away | The largest deposit the buyer can manage, paid promptly |
| Settlement period | Time to arrange their own move and funds | Match it to your next purchase. Trade length for price |
| Inclusions and exclusions | Whatever is not clearly excluded | List them explicitly. Assumptions here cause arguments at the final inspection |
| Early access | Occupation or works before they own it | Only with written protection drafted by your conveyancer |
This is a plain-English overview, not legal advice. Contract conditions and disclosure obligations differ by state and territory, and the wording of a condition matters as much as its existence. Your conveyancer or solicitor should draft and review every one of them.
When to accept, counter or walk away
Take the emotion out by deciding against a framework you set earlier, not against how the last phone call felt.
| Test | Points toward accepting | Points toward holding |
|---|---|---|
| The offer against your walk-away point | At or above it | Below it |
| Buyer quality | Approved finance, few conditions, ready to sign | Pre-approval only, subject to another sale |
| Current market interest | Enquiry has slowed, few groups through | Steady enquiry, second inspections, other parties circling |
| Days on market | Well past the local average for your property type | Still inside the first three to four weeks |
| Holding costs | Mortgage, rates and insurance are eating the difference | You can comfortably wait for the right buyer |
| Your own timing | You have a purchase to settle or a move locked in | No deadline, and no pressure to create one |
If most of the right-hand column applies, keep marketing. If most of the left applies and the offer is close, the gap between you and the buyer is probably smaller than the cost of finding another one.
Common seller negotiation mistakes
| Mistake | What it costs |
|---|---|
| Naming your minimum price | It becomes the ceiling, and the buyer negotiates down from there |
| Talking too much at inspections | Urgency you never meant to reveal turns into a lower offer |
| Rejecting a low offer outright | The buyer who would have paid full price two rounds later walks away |
| Negotiating on price alone | Six other terms given away for nothing |
| Dropping the price with no movement from the buyer | You teach the buyer that waiting is profitable |
| Bluffing about competing buyers | Misleading conduct, and buyers do compare notes |
| Responding slowly | Momentum dies, and the buyer starts inspecting other properties |
| Leaving the agreement verbal | A week of cooling off, and a deal that quietly unwinds |
| Making unsupported claims about the property | Disclosure and consumer law exposure that can unwind the sale |
Negotiating privately versus through an agent
The principles do not change. What changes is who is in the room and how fast information travels.
| Negotiating privately | Negotiating through an agent | |
|---|---|---|
| Who speaks to the buyer | You do, directly | The agent, on your behalf |
| Speed of response | Immediate. You are the decision-maker | Depends on the agent’s availability and their other listings |
| Information quality | Unfiltered. You hear the buyer’s actual words | Summarised, and shaped by whoever is relaying it |
| Emotional distance | Harder. It is your home and your money | Easier. That distance is the real service being sold |
| Whose interests are represented | Yours, entirely | Yours, with a commission that is paid on completion rather than on the last $10,000 |
| Contract and legal work | Your conveyancer or solicitor, same as with an agent | Your conveyancer or solicitor |
| Cost | Unreserved charges a flat fee of $900 to sell | Agent commission of roughly 2.1% plus GST and advertising, which is about $20,700 in total on a $700,000 sale |
The cost line compares two different things: the Unreserved flat fee of $900, and the commission plus advertising a traditional agent would typically charge on a $700,000 sale. The $20,700 figure is the agent’s cost, not ours.
The honest trade-off is emotional distance. Selling privately means you hear the criticism directly, and that is genuinely harder. Everything in this article is designed to give you the structure that distance normally provides: written positions set in advance, scripts prepared before you need them, and decisions made against a framework rather than in the moment. If you want to see how the process works end to end, here is how Unreserved works, and there is a full walkthrough for private sellers in how to negotiate as a private seller.
What a brilliant product
“The process was so straightforward, and having access to direct questions and data from buyers meant we didn’t have to second-guess what an agent was telling us. We’re thrilled with the price we got, and how affordable the support was. I’d definitely sell with Unreserved again.”
Maddie R · Verified seller · Hawthorn VIC
Negotiate with the numbers on your side
Get a free AI valuation with recent comparable sales for your suburb, or compare what it costs to sell with Unreserved against a traditional agent.
Compare selling optionsFrequently asked questions
When does negotiation start when selling a house?
Negotiation starts the moment your property goes to market, not when the first offer arrives. Your asking price sets the reference point buyers argue from. Your photos, copy and inspection experience decide how many buyers you have, and the number of interested buyers decides how much room you have to hold your position. What you say to a buyer at an open home is part of the negotiation too.
How should I respond to a low offer on my house?
Do not reject it on the spot and do not accept it. Thank the buyer, put your response in writing, and ask two questions: how they arrived at that figure, and whether their finance is approved. Then issue a specific counter-offer with a number attached, supported by comparable sales. A low first offer is usually a test of whether there is room to move, not the buyer’s ceiling.
Should I tell a buyer my lowest price?
No. Naming your minimum turns it into the new starting point, and the buyer will negotiate down from there. Your walk-away figure should stay private for the whole campaign. If a buyer asks what you will take, redirect them to making an offer: the asking price is your public position, and their offer is theirs.
How do I make a counter-offer on a property?
Put it in writing, state a specific price, and list the terms you want alongside it: deposit, conditions, settlement date and inclusions. Give a short reason grounded in evidence, such as recent comparable sales. Set a reasonable time for a response. A counter-offer that only says the offer is too low gives the buyer nothing to work with and often ends the conversation.
Is the highest property offer always the best?
No. Price is one of six or seven things you are agreeing to. A higher offer that is subject to finance, subject to the buyer selling their own home and carrying a long settlement can be worth less than a slightly lower offer from a buyer with approved finance and no conditions. Score every offer on price, deposit, conditions, settlement and buyer readiness before you compare them.
What should I ask a buyer before accepting their offer?
Ask whether the offer is in writing, whether their finance is formally approved and with which lender, what deposit they are paying, what conditions apply, what settlement period they want, whether they need to sell another property first, and whether the offer has an expiry. Those answers tell you how likely the sale is to reach settlement.
How do I negotiate multiple offers?
Confirm every offer in writing, then tell all interested buyers, at the same time, that there is more than one offer and invite each to submit their best written offer by a set deadline. Do not disclose the price or terms of a competing offer, and never invent one. Compare the final set on total quality, not price alone.
What does a best and final offer mean?
It is a request for each buyer to submit the strongest offer they are willing to make, by a deadline, with no further rounds of negotiation. It works when you have two or more genuine, qualified buyers. Used with a single buyer, or too early in a campaign, it often reads as pressure and can push a buyer to withdraw.
Can I reject an offer and accept it later?
Usually yes, but not always. In most Australian states a property sale is only binding once both parties have signed a written contract, so a rejected offer can often be revisited if the buyer is still willing. The buyer is under no obligation to leave it open, and some written offers carry an expiry. Ask your conveyancer or solicitor before relying on this.
Should I negotiate price or contract conditions first?
Settle the price range first, then negotiate the terms, because terms are what let you hold the price. Once a buyer knows the number you need, you can trade a longer settlement or an earlier access date in exchange for keeping the price where it is. Conceding on both at once gives away two things for one.
How much should I move when countering an offer?
Move in decreasing amounts. A first counter might close a third of the gap, the next half of what is left, the next smaller again. Shrinking movements signal you are approaching your limit, and they are believable because they are true. Repeating the same size concession tells a buyer there is another one behind it.
What should I say when a buyer criticises my property?
Acknowledge the point, do not argue, and return to the evidence. Something like: that is a fair observation, and it is reflected in where the property is priced against recent comparable sales. Criticism at an inspection is sometimes genuine and sometimes the groundwork for a lower offer. Defending the property tends to confirm the buyer is onto something.
How long should I give a buyer to respond to a counter-offer?
Twenty-four to forty-eight hours is normal for most residential sales, and it is long enough for a buyer to speak to their broker or partner without letting the negotiation cool. If the buyer needs to confirm finance, ask for a firm date rather than leaving it open-ended.
Can I negotiate directly with a buyer?
Yes. There is nothing in Australian law that requires a seller to negotiate through an agent, and private sellers negotiate directly with buyers every week. You still need a conveyancer or solicitor to prepare the contract and the vendor disclosure documents, and the sale is only binding once that contract is signed.
When should I walk away from a property negotiation?
Walk away when the best available offer is below the walk-away figure you set before the campaign started, and there is genuine evidence of other buyers in the market. Test it against your holding costs, how long you can wait and what the last four weeks of enquiry actually looked like. If enquiry has dried up and the offer is close, the market may be telling you something about the price rather than the buyer.
ABOUT THE AUTHOR
Ben Williams
Connect with Ben on LinkedIn →
Ben spent 15+ years as a licensed estate agent and conducted over 2,000 auctions before founding Unreserved. He holds a Bachelor of Applied Science (Property & Valuation) from RMIT and is licensed across VIC, NSW, QLD, SA, and WA.