Negotiating Penalties & Interest With The IRS

Hello All:

Here is your Negotiating Article of The Month for June 2010. This month we will venture into the subject of the IRS ! Enjoy...

James A. Gage

Negotiating Penalties & Interest With The IRS: Click Here

Negotiating Tip: Helping Others

Hello All:

Have you ever encountered a homeowner that is in pre-foreclosure and there is no way you can help them because of the numbers? Of course, we all have and as ethicial real estate investors we want to help people even if there is not a pay day in it for us.

So, that being said, I have used this non-profit organization that will help the homeowner, FREE of charge, obtain a loan modification. This organization is Springboard, which is endorsed by the Attorney General of the State of Massachusetts, Martha Coakley. They can be reached at 951-781-0114. They also provide credit counseling for FREE, which will provide a certificate, if an individual needs to file bankruptcy! Since the bankruptcy laws changed in 2005, you must have a counseling certificate before you can file a bankruptcy petition.

Until next time - be well.

James Gage

Negotiating Tips: Real Estate Short Sale - Part 2

Hello All:

Welcome to part 2 of how I negotiate a pre-foreclosure way under fair market value. As you read in the last post I assembled some pointed info that assisted me during the negotiations.
This is what I did with it...

First, I knew their chances of taking a substantial below market offer was high, due to the days on market, which was 180 days. Secondly, it had been vacant for a long time meaning the longer it stays that way the greater chance of vandalism and the greater chance that the bank will have their insurance policy canceled ( Most insurance companies will not insure vacant properties).

So during the first round of offers we strongly stress these waiting hazards with the listing realtor, so they may also stress to the bank are concerns for their property when they presented my offer. My goal here was to cause the bank to feel the pain of what if(s)!

During my next post I will explain how things ended up.

Until next time be well.

James A. Gage

Negotiating Tips

Hello All :

I want to personally invite you to following me on Twitter : http://twitter.com/JGage
in addition to my blog I will be posting other valuable negotiating articles.

Here is to a prosperous 2009.

Be well,

James A. Gage

Negotiating: Negotiating Your Salary in a Troubled Economy

It's time for your annual review with the boss, which means talking with your boss about a possible raise, a conversation that's rarely easy. A skittish economy doesn't make it any easier, with companies scaling back on hiring and spending. But take heart, salary negotiations should be handled with care and skill, but they don't have to be a burden.

Here are a few steps to make you successful in your salary negotiations…

1. Create a "mission and purpose" before entering the conversation. Your mission and purpose shouldn't be focused on more money; instead, concentrate on how you can benefit your employer, says Jim Camp, negotiation coach and author of "No: The Only Negotiating System You Need for Work and Home." "When they [employees] are really driven by their mission and purpose for their employer, their value will be so great, the employer will promote them and give them pay raises without them asking," Camp explains. He says it's easier than ever to get a raise by defining a mission and purpose, because it's what employers want, but very few workers do it.

2. Track your success. Employees should keep careful records of their accomplishments throughout the year, including paper files and emails that clearly show how they performed in relation to their goals..

3. Know your market value. Research what others in your position earn, and find out if you're up against any obstacles, Camp says. "Has the company just laid off employees? Is there new management in the wings? Know all issues that might keep your boss from giving you a raise. State each problem clearly and ask your boss how these problems might be solved," he explains.

4. Consider where you stand with your manager. "If the average raises are 2 percent and you are asking for 4 [percent], you better know that your manager really loves you," Rosenberg says.

5. Show respect. This means respect for yourself, your boss, and the negotiation! Go into the conversation accepting you can't guarantee an outcome, but knowing you can control your approach. If you exercise respect, the negotiation at least won't tarnish your reputation or make things worse.

How you handle yourself in a difficult conversation is where people really measure what they think of you -- your character is formed there!

6. Leave the script at home. While it's smart to prepare, sounding rehearsed can be a turnoff to your boss, so I suggest people go in assuming a lot of uncertainty, and have tactics to deal with uncertainty, rather than trying to guarantee how a situation will go. Scripting what you say will make the counterpart feel like [he or she isn't] supposed to be a party to the conversation," she says.

7. Think long-term. Canter says the savviest employees focus on opportunities, not just money. Think carefully about what you want besides more money. Troubled economies provide opportunities for employees to take on new work and potentially develop new skills and visibility. Think about what kinds of skill and experience you need to make yourself more marketable at this job or another and be prepared to suggest new or additional assignments in lieu of, or in addition to, more money."

Negotiating: Tips on Negotiating Leases

Ask for a copy of the lease before the lease signing, so you have time to review it. If you're reading this tip right before the lease signing and have yet to see the lease, don't worry. Just read over the lease carefully at the signing. If you feel uncomfortable with the lease or want someone to review it, ask to reschedule the lease signing appointment – have all legal contracts and documents reviewed by an attorney.

1. Negotiate only with the landlord or someone who has the authority to make decisions. The broker cannot make any decisions, unless they have “Power of Attorney”, or are the “Trustee” of the Land or Realty Trust that the property may be in.
2. Choose one person to be the negotiator, if you're signing the lease with your roommate or spouse. You don't want multiple people chiming in with points that contradict each other.
3. Know basic information about the landlord and try to understand the landlord's position. Is your apartment owned by real estate management company with thousands of units or a family renting out a room or their second home? Will a $25 reduction in rent be a big deal to them? Knowing the landlord's concerns will help you tailor your arguments in the lease negotiation.
4. The best negotiation time is during the signing of the lease when the landlord has approved you for the apartment and is ready to close the deal. You only have negotiation power when you have something the landlord wants.
5. Ask questions before you begin the lease negotiation. It's good to demonstrate your reliability as a good tenant. This is the one thing you can offer the landlord that will make him or her more open to negotiation. Asking questions is one way to show the landlord that you want to follow the rules.
6. Begin the lease negotiation after you've read the lease and asked all your questions. First identify what you want to change and why. Maybe you want a lower rent because it's higher than all the other apartments you've looked at and you see no reason for the higher rent. Or the ceiling is leaking and you want a guarantee that it will be fixed within a week, because you've had bad experiences with neglectful landlords.
7. If the landlord resists putting any changes in writing or seems offended or hurt by your negotiation, be ready to reassure him or her that you trust him, but you are a person who likes to play it safe.
8. If the landlord argues with you or puts you on the defensive, acknowledge the landlord's points by explaining why these concerns don't apply to you and remind him or her of your qualifications (good credit, timely rent payments, no disturbances, no damage).
9. Always ask twice, followed by the reason. Giving more than one argument during the lease negotiation lends further support to your request.
10. Write down all agreements on a piece of paper that is signed by all the tenants and the landlord. If it's a change to the lease, correct it on the actual lease, or write a lease rider that specifies it is overriding the lease. If any of the agreements are promised actions--such as repairs--write down a deadline (the water pressure must be fixed by this date).
11. Know what your expectations are beforehand. Will you sign the lease if the landlord refuses? How flexible will you be if the landlord agrees to part of your suggestions?
12. Be polite. Don't get angry or hostile, even if the landlord does. Take the higher ground and the landlord may respect your professionalism and believe you to be a good tenant.
13. Do not make ultimatums--change this or I won't sign the lease--unless, of course, you mean it. If you don't mean it, this will only backfire and prove to the landlord that you're being manipulative, and therefore untrustworthy.
14. Only negotiate items that are most important to you. Decide which issues are too small to argue over. The landlord is unlikely to concede to every issue, so pick your battles.

Negotiating: The Economy and Independent Arbitration

Hello All:

I thought I would post this article on my observations on the economy and how it pertains to our profession.

“With all the recent problems in the financial sector (especially in the banking sector), it’s getting easier to settle with the banks?” I’ve been hearing this type of question a lot lately. The past year or so has seen an avalanche of economic problems, beginning with the financial tsunami in the real estate market, the sub prime mortgage fiasco, the banking credit crunch, liquidity problems, the Fed shoring up the economy with multiple interest rate reductions, the bailout of Bear-Stearns (the fifth-largest investment banking firm on Wall Street), bailing out Fannie Mae & Freddie Mac and so on.
It’s logical for consumers/businesses considering independent arbitration to wonder if all this grim news is “softening up” the credit card banks for better settlement deals. The answer is, well, “no and yes.” No, because overall, it’s really just “business-as-usual” in the settlement industry. I personally have seen no drastic changes in settlement practices as a consequence of recent economic problems faced by the banks. You have to remember that we’re talking about huge companies, and they do not change direction quickly or easily.

On the other hand, some creditors have softened up a little, so that’s the “yes” part of the answer. But it’s important to understand that the banking industry is not one big monolithic enterprise. Different creditors behave differently. So while some of the banks seem to be slightly easier to settle with lately, others have gone in the other direction and stiffened their resistance to losses. Generally, this all translates to somewhat lower settlement percentages with some banks, and somewhat higher percentages with others. So overall, nothing much has changed from my own perspective, where I deal day-in and day-out with a wide range of consumer debt obligations.

Bottom line: It’s still the same game as it ever was, and consumers should not count on “extra” help from the banks they’re trying to settle debts with. As time goes by, current economic conditions may yet have a deeper effect on settlement practices, but so far there has not been much of a noticeable difference

Negotiating: Negotiating for Profit Articles

Hello All:

I hope this post finds you and yours in good health. On behalf of myself and everyone here at Negotiating For A Living, we wish you a restful and enjoyable Labor Day.

While you're enjoying your holiday please take a few minutes and visit my web site article section on the very latest tips, strategies, and what's happening in the negotiating for a living industry:

http://negotiatingforaliving.com/Free-Negotiating-Articles.html

http://negotiatingforaliving.com/negotiating-articles.htm

Until next time, be well.

James A. Gage