Home Buying Tips EXPOSED! - The 3 Rules of Negotiating With a Home Seller

Negotiating - a word that strikes fear into theAgent, keep your emotions in check. If the seller
hearts of most home buyers. If you are likeis aware that you are in love with the home, they
most people, when you hear the wordwill have a strong bargaining position. But if they
"negotiating", you cringe, picturing a heatedthink there is a chance you will walk away from
confrontation where tempers flare and bigthe table, they will be more willing to negotiate on
numbers are volleyed back and forth across theyour terms. Negotiating Tip #3 - Do Your
table. It doesn’t have to be that way. It’sHomework It’s time to go to school. First,
perfectly reasonable to expect the seller to makeyou need to make a checklist of everything you
some concessions while you do the same. Meet inwant in a home and then prioritize the list.
the middle. Negotiating Tip #1 - Be Realistic WhenAmenities you can’t live without should top
entering a negotiation with a home seller, youthe list and then the other items should be listed
need to be realistic. If the house you are lookingin descending order of priority. If you know what
to purchase has 6 bids already, your chances ofyou want before you start, it will make the entire
getting thousands of dollars slashed from theprocess easier, and give you an idea of how
price are slim. Negotiating in these cases maymuch leeway you have in negotiating (i.e. if you
prove to simply be a waste of your valuable time.are in love with a home and it has everything on
This is especially true in hot markets like Boston,your list, you may be less apt to try and haggle
San Diego and Miami. Even in a case where thethe seller’s price down)... You also need to be
home seller is willing to make concessions, andaware of what market conditions are like in your
you have a strong bargaining position, you shouldarea. Take this simple quiz and see if you know
never attempt to “go for the throat”. Bethe answers: 1.) Are you aware of the supply and
reasonable. If you know the home is priceddemand statistics of home inventory vs. sales
$3,000 above what you are willing to pay, tell themade this year? 2.) Are you aware of what % of
Seller that the home is priced $3,000 too high, buttotal homes listed for sale actually sold last
that you would be willing to sign a Purchasemonth? 3.) Are you aware of how the total % of
Agreement today if the seller were to bring thehomes sold last month can positively affect how
price down $1500. This way, it’s a win-winyou structure your purchase offer? 4.) Have you
situation all around. The seller is happy and youassessed the best use of your cash and planned
walk away content in the knowledge that youto maximize your leverage? In short, have you
successfully slashed $1500 from the home price.prepared a Home Purchase Strategy? We
Negotiating Tip #2 - NEVER Show Your Cardsparticipate in many real estate transactions every
Remember the old country song by Kennymonth. Over time, we’ve learned a thing or
Rogers that goes “you’ve got to knowtwo. Our staff would like to help you develop
when to hold 'em and know when to foldyour personal strategy and consequently help you
'em”? It’s true with Poker and it’ssave thousands of dollars in the process.
certainly true in Real Estate negotiations. WhenBlake Ballew is a Business Partner with Amerisave
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