Make Your Offer Count
The real estate market is experiencing historically low mortgage rates. That means you’ll be facing stiff competition for your dream home, because other buyers are going to want it too. Have no fear: you can outfox your competition by adjusting your negotiation approach. Consider what your seller is looking for in an offer and you’ll have a leg up on everyone else.
Buyers and sellers both want to feel like they’ve gotten a good deal. If you’re serious about that home, don’t waste time by extending an absurdly low offer. Do your research and make an offer you can explain—most homeowners will appreciate that you’re negotiating in good faith.
You can also gain an edge over the competition by offering more than just a number. Getting pre-qualified for a loan shows you’re not going to delay the buying process. Being flexible with a move-in date might also make homeowners feel less rushed to pack up and move out.
Embrace the Negotiation Process
Don’t take it personally if your first offer is rejected. If possible, ask your real estate agent to have a dialogue with the owner and see if you can get them to explain why they said no. That sort of information is critical if you plan to make another offer.
And, if a buyer does seem eager to accept your first offer (or one far below their asking price), just make sure there are no undisclosed issues with the home.
Don’t Stop Negotiating
Home inspections provide you with an additional opportunity to negotiate. A homeowner might offer to cover the costs of unexpected and necessary repairs, or they could deduct the costs from your purchase price and leave you to coordinate the project. Be sure to get multiple quotes for the job to ensure it gets done correctly and you’re not left hanging with an unexpected bill.
Finding a good real estate agent is critical. Agents can offer you insight into the local market and could help you determine whether a seller’s asking pricing is fair. They may have also gotten to know some homeowners well and can explain to you how to perfect your offer.
Open Mortgage can help before and after you find your dream home. We’re here to discuss all of your home financing options and can check if you prequalify for a mortgage as well. Learn more about getting in contact with experienced professionals by visiting OpenMortgage.com.