Are you the kind of person who is always looking for the best deal? There are some opportunities for you to put your skills in play as you buy a home. Negotiations are typically part of a home buying or home selling process. Read on to learn more about how to come to the table with winning arguments to score the best deal.
TIPS TO BE 100% ORGANIZED AND QUALIFIED
First, if you’re going to have a leg to stand on negotiations, you need to have your ducks in a row.
- If you are a home seller, you should:
- Set the right home price
- Have your home ready to show and sell
- Know your responsibilities
- Have terms in mind
KEY IDEAS:
- Set and stick to your list price
- Use open houses to foster competition
- Use counteroffers with expiration dates
- Use counteroffers with expiration dates
THE QUESTIONS TO ASK
Investigative work is the second step in a negotiation that lands you on top.
Here are the right questions to ask if you are the home seller.
Seller:
- Who are you negotiating with: what is their financial position?
- What strategic concessions are you willing to make?
- What comps (other homes for sale) are you up against in your area?
- What do you have to negotiate with?
- What are your non-negotiables?
3 Possible Goals:
- Create a bidding war
- Drive urgency
- Make more money
WHAT’S UP FOR NEGOTIATION?
As you enter this stage of a home sale or purchase, it’s important to know that it’s not just the price of the home that’s up for negotiation. In fact, home negotiations can include a huge range of items that have personal or case- specific value.
- Price
- Contingencies
- Terms
- Occupancy
- Furniture
- Repairs
- Equipment or tools
- Closing costs
- Fees
Sometimes, negotiations will occur after an inspection. If essential repairs
are identified, these can be included in a negotiation about home price or
closing costs.
NEGOTIATION TIPS
Negotiations will happen through your realtors, who play a vital role. Home sellers and buyers have a lot of opportunities to drive the conversation that occurs between real estate professionals. Here are some negotiation tips:
THE BASICS:
- Know how to receive an offer and what your options are
- Set a bottom line price you’ll accept
- Remember that price is not everything
- Set intentions and goals for your negotiations
- Understand contingency clauses and offers
The goal for everyone is a win-win deal.
Most important tip: collaborate with a qualified agent who will guide you through this process
