As
a buyer,
your goals are very different from the
sellers during negotiations. You want to
pay as little as
possible
while sellers want to sell for the
highest possible price. Buyer advantage
comes with market knowledge.
You
may have seen enough to decide your
offer price. However, it's wise to ask
your sales professional to provide you
with sold property data. By examining
recent sales of similar properties you
can reduce the risk of overbuying.
Know
how the market has behaved recently to
focus your offer price. You can assess
the likelihood the seller will take less
by looking at the number of competing
properties and days on market. If
comparable homes are selling quickly,
your selection might not last long. This
would prompt an offer price closer to
list.
Understand your market. In a buyer's
market with plenty of inventory, a lower
offer will have a better chance. In a
seller's market, where inventory is
scarce, a low offer price makes you
vulnerable to a competing offer. In
general, a seller will take less in a
buyer's market and budge little in a
seller's market.
If you
are competing with another buyer(s) for
the same house, consider making an offer
greater than list price. Your sales
professional can advise you how to view
the market and hone in on a prudent
offer price. Consider how long you have
searched, how motivated you are, and if
you have a back-up property.
Always
remember that time is of the essence.
Long negotiations increase the
likelihood that another buyer could make
an offer on the same property or that
the sellers might change their minds
