Home Buying Negotiating Tips
When it comes to buying a
home, the ability and willingness to negotiate is a must for both the buyer and
seller. In general, sellers ask for more
than they are actually willing to accept and buyers offer less than they are
willing to pay. The trick is to find the
perfect balance so that you, as a buyer, feel good about the purchase price
without leaving the seller feeling insulted.
Know Your Market
Real estate is a business
that either favors the buyer or seller, hence the terms buyer's market and seller's
market. When negotiating a purchase
price, it's important to know which of the two you are in. As the buyer, you will have the best chance
at a successful negotiation if you research the price of other comparable homes
in the area before making an offer.
Make It Personal
When you make an offer,
the seller will see nothing more than a piece of paper with some numbers on it
that represent the price you are willing to pay. If you really want the seller to take your
offer to heart, let them know why you want to buy the home. You can do this by preparing a handwritten
letter expressing your interest and the reasons you fell in love with their
house. If you have a family, tell them
about everyone who will be living in the home.
Let them get to know you and allow them to picture the happiness that
you can bring to their house. Believe it
or not, some sellers actually look at the process like finding a good home for
a lost puppy. They want quality people
to buy their home, so do your best to show them that you are sincere.
Nobody Likes Rejection
Not every offer is
accepted, so don't be disheartened if your first offer isn't a winner. In some cases, the seller will make a
counteroffer for your consideration.
Have you ever heard the old saying, “never take the first offer?” The same is true in real estate, and almost
every seller knows it. Your first offer
is likely to be less than you are actually willing to pay, which leaves you
some bargaining room.
Why Your Offer May Not Be
Accepted
There are a number of
reasons why a seller may choose to reject an offer, including a feeling that
the offer was just too low, the house is newly listed on the market or another
offer may be higher than the one you created.
In some cases, sellers may also reject an offer that includes owner
financing or other requests that are impossible to meet. One example may be an offer that requires the
house be available within a certain amount of time. Most contracts require that the seller move
out within 30 days, but anything less would require negotiation.
Read The Fine Print
Before you sign anything relating to a real estate transaction, make sure that you read over every detail of the agreement. If you have any questions, ask your Premier Beach Realty Agent. After all, real estate is their business and they are there to help you through every step.
