7 Negotiating Tips for Homebuyers

12:40 pm

for the best price possible.  A home purchase is likely the largest single purchase of your life, so why not get the best deal possible?  These critical negotiating tips can help you find the home of your dreams at a price you can afford.

#1 Be Quick to Respond

You may be inclined to take your time and mull over any counteroffers before accepting or countering yourself.  However, it is critical that you respond to counter offers as quickly as possible.  Delaying your response can leave the door wide open for other buyers to make a more reasonable offer or create a bidding war.  A bidding war is every homebuyer’s worst case scenario, as the sale price can increase exponentially.  To avoid this, respond to counteroffers quickly in order to lock in the home at the best possible price.

#2 Always Communicate Through a Realtor

The negotiating process involves communicating with the seller in regards to price, terms, and other factors that can affect the sale.  You may be tempted to reach out to the seller to ask them questions or communicate any concerns, however, this is never recommended.  This is the job of your real estate agent.  They have expertise in negotiating real estate transactions and know how each small change in price or terms can affect the overall purchasing price.

#3 Ask the Seller to Pay Closing Costs

If a seller is not budging much on their asking price, a savvy move that can appease both parties is to agree to the price they desire if they acquiesce by paying the closing costs.  Every home purchase involves closing costs that pay for the deed or title transfer, and they can often be quite pricey depending on the purchase price of the home and where it is located.  Typically around two to three percent of the purchase price, closing costs can add up quickly.  Having the seller cover these costs can allow you to put more money towards a down payment or make any renovations that you may have in mind.

#4 Know the Pending Sales

Sometimes similar comparable sales, known as comps, can be difficult to find.  Either the comps are not a similar style or size of home, or they are not recent enough to produce an accurate appraisal value.  However, pending comps may be taking place, and knowing the price of these can be a huge negotiating asset.  Ask your real estate agent to look into pending comps and try to find out as much information about them as possible.  This information can give you valuable insight into the best reasonable price to expect, how far the seller might be willing to detract from their asking price, and the level of competition.

#5 Ask to See the Comps Yourself

Obviously, the more money that you offer, the more likely the seller will be to accept your offer.  Since your real estate agent only receives their commission upon the acceptance of an offer, some agents may be inclined to show you the highest comps available in order to expedite the process and close the deal.  To avoid this and ensure you get the best deal possible, ask your real estate agent to provide you with a copy of the Comparative Market Analysis, commonly called the CMA.  Also ask him or her for the complete MLS listing details of the most similar comps.  This way, you can see how similar they are for yourself.

#6 Put Your Real Estate Agent to Work

If there is competition that you must deal with, market research and the presentation of your offer can make or break the deal.  Therefore, it is necessary to interview several agents and find one that will put in the effort needed to get you in the home you want at the price you want.  

#7 Know the Numbers

If a home is competitively priced, there is likely to be competition that can inch up the sale price.  If the sale price of a home goes beyond what you have calculated being able to comfortably afford, it is important to crunch the numbers and determine just how much the price difference will affect the monthly payment.  At first, a difference of $10,000 can seem staggering, but this may only result in a slight increase in the monthly payment.  So, knowing the numbers can help you tremendously in the negotiation process.

Purchasing a home can be a very rewarding experience, but you may incur a few grey hairs during the process if you and your agent are unprepared.  By following these tips, you’ll be able to make the process much easier while locking in your dream home at a reasonable price. 

… Written by Daniel Marks, a copywriter that operates a the real estate section on dubizzle.com. He has contributed to various real estate blogs and news sites, and shares the tricks of the trade with the public is something that gives him great joy.

You Might Also Like

0 kommentarer

Labels

4-Slice Toaster AC Accessories Air Air Conditioners Air Purifiers Air Quality Animals Animals - Horses Apartments Apartments - College Appliances Architecture Attic Auction - Home Australia Away from Home Babies Baby Furniture Baby Shower Backyard Activities Backyard Revamp Baking Baptismal Basements Bathroom Bathroom Pampering Tips Bathtubs Beat the Heat Bedroom Bedroom - Luxury Bedroom Ideas Bedroom Mistakes Beds Bidets Bills Blinds and Curtains Blogs Boilers Budget Style Buying a Home Cakes Canine Canopies Car Maintenance Care Homes Carpets Carpets and Rugs Cars Cars - Uses Cats Ceiling Fans Celebrations Children Chores Christening Ideas Christmas Christmas lighting ideas City Life Claims Cleaning Cleaning Services Coffee Tables Comfortable Living Commercial Lease Common Problems Community Spaces Concrete Condo Condominium Conservatories Cool Stuff Cooling Ideas Cost of Living Costumes Couch Credit Scores Curbs Curtains Curtains - Scalloped DA Dates Decking Dining Room Dining Table Dishwashers Display Racks DIY DIY - Carpet Cleaning DIY - Cleaning Products DIY - Soundproofing DIY Addiction DIY Schools Dog Breeds Dogs Dogs - Diet Dogs - Health Dogs - Hygiene Doors Dream Home Dreams and Hopes Earning Tips Eco Friendly Ideas Eco-Friendly Eco-Houses Electric Bills Energy Saving Tips Energy System Entertainment Room Entertainment Space Ethical Living European Inspired Expo Extra Rooms Family Family Room Fans Few Things in Between Filters Fireplace - Outdoor Fireproofing First Time Homeowners Flags Flooding Flooring Flooring - Bamboo Flooring - Tiles Florida France Furnace Furnished Properties Furniture Furniture - Dining Sets Furniture - Shopping Guide Gadgets Garage Garden Gardening Gardening - Allotments Germ-free Home Gift Ideas Gift Ideas - Babies Gift Ideas - Christmas Gift Ideas - Him Gift Ideas - Home Gift Ideas - House Warming Gift Ideas - Kids Gift Ideas - Parents Gift Ideas - Personalized Gift Ideas - Valentine's Day Gifts for collectors Gifts for her Go Green Living Grass Green Living Halloween Health and Home Health and Lifestyle Heater - Heat Pumps Heaters Heaters - Parts Heating Hen Parties Holiday Homes hom home Home - Building Home - Gadgets Home - Luxury Home - Technology Home Accessories Home Appliances Home Builders Home Buying Home Cooking Home Decorating Home Decorating - Christmas Home Designs Home Disasters Home Essentials Home Extensions Home Flooring Home Heating Home Hunting home imp Home Improvement Ideas Home Insurance Home Investing Home Maintenance Home Office Home Organizing Home Projects Home Reconstruction Home Redesigning Home Remodeling Home Renovation Home Repair Home Repair - Foundation Home Repair - Professional Home Restoration Home Safety Home Security Home Spas Home Tech Ideas Home Theater Home Upgrades House Problems House Warming Household Chores Housewarming Gifts Housewarming Party HVAC Hygiene IKEA Indonesia Indoor Designs Insulation Insurance Insurance - Car Insurance - House Insurance - Pets Interesting Architecture Interior Additions Interior Design Interior Design - Modern Interior Ideas Jewelry Jewelry Organizer Keeping Warm Kitchen Kitchen - Cabinets Kitchen - Spanish Inspired Kitchen Designs Kitchen Flooring Knives Landscaping Lawn Mowers LED Lights Lifestyle Lighting Lighting - Chandeliers Lighting - Garden Lighting - Lamps Lighting Options Lights Living Room Living Room - Designs Loans Loans - Home Loft London Luxury Home Luxury Houses Maintenance Malls Minimalist Mirrors Mitigation Mobile Apps Modern Home Designs Money Saving Tips Morphy Richards Mortgage Moving Moving Tips New Home Nursery Online Shopping Orangeries Organizer Organizing tips Outdoor Designs Outdoor Living Outdoor Living - Furniture Outdoor Living - Patio Outdoor Room Outdoor Spas Ovens and Cooktops Painting Paintings Parenting Parties Passion Patio Pest Control Pets Pets - Ailments Pets - Cats Pets - Dogs Pets - Health Pets - Sitters Pets - Toys Phones Pillows Plans and Visions Planting Ideas Plastering Plumbing Plumbing Issues Pool Accessories Pools Power Cut Quilts Quotes Rabbits Real Estate Recycling Relationships rent Renting a Home Retirement Reviews Rodent Problems Romantic Dates Roofing Roofing Contractors Safety tips Saving - for a Home Saving Tips Saving Tips - Water Security Self Improvement Selling Your Home Septic Tanks Shaving System Shaving System - for Men Shopping Shutters Sinks and Countertops Skincare Sleep Small Spaces Sofa Soft Furnishings Solar Energy Solar Panels Soundproofing Space Saving Ideas Spring Ideas SR Stains Steel Storage Ideas Student Life Study Room Summer Survival Tips Taps the UK the USA Toaster Toilet Toolbox Tools Travel Treehouses Trends Trimmer Trimmer - Cordless Trimmer Tubing TV Bench Urban Living Vacation Preparation Valentine's Day Ventilation Video Surveillance Vine Covered Homes Vineyard Vintage-Inspired Walk in Wardrobes Wall Decorations Wallpaper Wardrobes Washing - Clothes Water Water Damage Water Heaters Water Softeners Water Usage Weather Welding Windows Wine Racks Winter Tips Wish List Wood Work Area