The home negotiation process begins with the first offer. These home negotiation tips will help you craft your offer so that you’re not going back and forth with the seller forever.
So that you don’t bid too low, research for how much similar homes in the area sold. Use a real estate professional, your city clerk’s office and the internet to find this information.
How Much to Offer
Stick within your budget and as much as you may love the home, never bid more than you can afford.
In many cases, you can start your bidding at 10 to 20% lower than the asking price – you can always raise your bid during negotiations.
When making your offer, include all contingencies. For example, your offer may be dependent on a clean inspection. Or, if problems are found with the home, you may ask the seller to pay for the repairs. You may also include household items in your offer including appliances, window coverings, light fixtures, etc.
Once you have made an offer, there is a good chance you’ll receive a counteroffer from the seller. To get the best deal, concentrate on the items that provide significant savings – don’t get too hung up trying to save a $1,000 here and there.
After the deal is in place try to establish a cordial relationship with the seller so that any last minute issues will be quickly resolved.