More is negotiable than you think
Rent at renewal, used cars, medical bills, furniture with a scratch, internet and phone plans, freelance rates, salaries and due dates are all routinely adjusted for people who ask. The asking costs one slightly awkward sentence: "I would like to know whether there is any flexibility on that figure." The usual worst case is a polite no.
The homework
Arrive with three numbers written down: your target, your opening and the point at which you walk away. Behind them sits your best alternative, which is what you will actually do if there is no deal, such as the other apartment, the similar car forty miles away or the job you already hold. Improving that alternative is the most useful preparation there is, so collect a competing quote before you talk. Research the market through comparable listings, used-car pricing guides and published salary ranges. Learn what the other side values besides money, too. A landlord fears an empty unit, since one vacant month costs about eight percent of a year's rent. A car dealer wants the sale counted this month, and a contractor may trade price for flexible scheduling.
At the table
- Open ambitiously but defensibly, and attach a reason, because the first serious number tends to pull the final one toward it.
- State your figure and then stop talking, since people who cannot bear silence often bid against themselves.
- Trade every concession for something: "If I sign for eighteen months, I would need the rent held at the current rate."
- Widen the deal beyond price to include timing, delivery, extras, deposits and payment terms.
- Answer a weak offer with "I need you to do better than that," and wait.
- Stay pleasant throughout, because hostility makes people dig in and you may need them again.
Closing and walking
Do not rush to split the difference, which rewards whoever opened with the more extreme number. When the offer is below your walk-away point, thank the person, leave your number and go. A fair share of deals are made in the call that follows the next day. When you do agree, get the terms in writing that same day, even if only in an email that begins "To confirm what we agreed," because a salesperson's spoken promise leaves the building when the salesperson does.
Tip Practice where nothing is at stake. Ask for a discount on a floor model or a waived fee on a late bill, and the awkward sentence will come easily when the number is large.
