So, you’ve zeroed in on several properties that meet your needs and have selected one at which to make a run. You and your buyer’s agent have done your homework and have established a target price range that is acceptable to you. You’ve also determined a “walk away” point that will send you on to your second choice. You’re ready to write an offer.

What is the optimum strategy that is likely to achieve your goal? The classic approach is to “test” the seller’s price by going with a “low ball” offer and pointing out all that is negative about the property. That may be a correct choice if the seller has set a price that considerably above the market as determined by your comparative market analysis. If, however, the list price is in line with the market and the seller knows it, low balling is probably going to be counter-productive. Put yourself in the seller’s shoes for a moment. He could well be so offended, especially if it’s his personal home, that negotiations simply go permanently sour. Even if you eventually manage to coerce an unreasonably one-sided deal, you may find that the well as been poisoned for further successful negotiations on home repairs and an amicable transfer of the property.

A better strategy is to acknowledge that the price is within a reasonable range to start with and then aim for the “sweet spot” that is in the low end of that range, but still close enough that the seller doesn’t want to risk passing it up. The ideal situation is one in which both sides feel that they have struck a fair deal. This is conducive to a co-operative approach throughout the entire transaction and beyond the close of escrow. If one side or the other feels taken advantage of, there is a strong possibility that the transaction will fail, wasting valuable time and money for both. A “win-win” solution may sound like a cliché to the “go for blood” hard-nosed investor, but it is the pragmatic basis of a successful transaction that will achieve your goal of owning and enjoying a wonderful new home.