Negotiating to Buy a Home like a Pro
Negotiating and haggling skills are not very common traits. So for many, buying a house can be quite stressful. But the art of negotiation can be mustered with these few pieces of advice. This article collects some helpful tips, from property professionals and real estate agents, on handling delicate price negotiations.
Study the market.
It is very important that you know the prevailing market rates in the area before you even try to negotiate. Read through websites and local papers on the price range of houses in the particular district where you are planning to purchase a home. Property professionals recommend that once you have determined the peak price, slash some 30 to 35 percent off from it and consider it a starting case for negotiation.
Bid with confidence.
Study the unit very carefully. Ask the real estate agent how the price was determined, and if there was a formula used. You should already have an idea of how much the unit would cost based on your research and the price range of the units you have already visited or considered. You should make your price offer with confidence. If, for instance, you are forced to increase your position, try to negotiate about putting on some additional fixtures and fittings to ensure that you are getting more value with a higher price.
Don’t get pressured.
Experts recommend you should not always believe whatever your agent says. Take a “if it is meant to be, then it will be” attitude and stick with your plans. If you don’t agree with your agent, politely express your disinterest. Do not give in to pressure. With patience, you will find the right home for you in due time.
Research about the position of the vendor.
It helps a lot if you can get the position of the house vendor, experts note. For instance, if there is no rush to sell and the vendor wants to maximize gains from the sale, then you may find negotiating more challenging. But if there is a pressure to sell the unit due to some circumstances, like the vendor needs to travel in the soonest time possible or just wants to get rid of it, there may be more room for negotiating in there.
Don’t let your interest show.
Whenever you see something that impresses you, do not let it show. If it is the home of your dreams, do not be too aggressive in buying it. If you get too excited, you may become careless to the small but equally important aspects. This may even signal your agent to pressure you into buying the house right away. Also, you will have a better negotiation foothold if you take it as a business deal. While keeping your heart’s desire to yourself, remain objective in scrutinizing the offer.
In purchasing a house, getting the best value for your money is very important. So take efforts to know the best strategies for negotiating. Learn from the experts, keep an objective view, and be patient. You will know that all these are worth it when you have found the best home for you without draining all your funds.