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SORRY, ..
But yes! You must negotiate with home Buyers
Hate to bargain?
Most Americans do, but refusing to negotiate can leave you owning your house months after you put up a "For Sale" sign.
Unlike most foreigners, Americans are conditioned to pay the posted price, ... but expect a fight when it comes to the price of a home. |
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| The best intentioned Buyer will offer you less than your asking price.
The solution is NOT to set an asking price higher than the selling price of neighborhood homes similar to yours.
The solution is to make a counter offer no matter how low the Buyer's opening bid.
Make a small reduction in your asking price and engage the Buyer in a price discussion.
How did he or she arrive at their offered price?
Point out the selling price of recently sold neighborhood homes. |
Look for the following in the Buyer's Offer to Purchase.
1. A Buyer demand for 60 or more days to get a mortgage loan big enough to buy your home:
The standard is 30 days, but mortgage loans have been recently difficult to get and are projected to be difficult in the next year so 45 days may be appropriate.
2. A requirement that the Seller pay for repair of ALL problem items discovered by the Buyer's inspector:
The Seller is usually required to repair leaks in the roof, plus water, sewage, and heating problems.
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Deal Killers:
1. Mortgage Loan:
The deal is dead if your Buyer is unable to get a mortgage loan big enough to make up the difference between your price and the cash he or she has for a down payment.
If you own the house "Free & Clear" consider offering a "Seller Financed mortgage Loan" at an intrest rate slightly higher than bank rates.
2. Inspections:
If the Buyer's inspector finds $10,000 of needed repairs and that is too expensive for you, the deal is dead. |
Our tutorial is designed to be read sequentially so there are no links other than those below.
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| Offer a $3,000 price reduction if Buyer agrees to pay for all expenses associated with his mortgage loan (traditionally paid by the Seller in most states). |
Offer a small price reduction in exchange for the Buyer repairing all problems found by his inspector. |
Consider offering a $10,000 reduction in selling price in return for the Buyer buying the house "As Is" and paying for all repairs. |
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