The full disclosure negotiation tactic can be an effective approach to quickly line up the needs of both the buyer and the seller in a real estate negotiation. With full disclosure, agents literally put all of their cards on the table in order to reach agreement swiftly. Trust is the key to this situation.
With the full disclosure real estate negotiation tactic, you share openly with the other party exactly what your client needs. The assumption is that the opposing agent will share openly with you. For this to be effective, a basis for trust is needed. If you have worked with this agent before or they are recommended by a trusted third party, this negotiation technique can indeed result in an agreement that fits the needs of all parties. Importantly, you must have written permission to disclose any confidential information about your client.
However, there is a serious downside to full disclosure. Watch out. If you put everything on table, you had better have a solid level of trust already established. If not, the other agent is now in a position to take advantage of you and your clients.
If the real estate negotiations are friendly and full disclosure seems safe, try to get the other agent to share first and to share the most. In turn, you must disclose enough to keep the trust – but not more than that. If the opposing agent seems unfriendly and not inclined to share, ask directly why not. Encourage them to open up a little, and begin with hypothetical or “what if” questions that might lead to further information.
If the opposing agent seems closed and competitive, chances are good that they only care about their side of the table and will not share information with you. If that is the case, do not be first with full disclosure. Only give full disclosure as a response to their full disclosures.