If you’ve spent some time on homekeys.net, you probably noticed we generally don’t carry a torch for tradition or conventional wisdom. Having said that,
well-worn cliché above still holds true, especially in real estate transactions.Many buyers and sellers put in countless hours carefully searching properties or preparing their homes for sale, only to see their sweet deals vanish at negotiating table. Even if you’re not an experienced negotiator, there are steps you can take to improve results whether you’re buying or selling property. Negotiation doesn’t need to be a confrontational process if you set priorities, plan ahead and stay focused on issues, not personalities.
By far largest expense related to traditional real estate transactions is agent/brokers' commission, and independent buyers and sellers should take advantage of this fact. Without “overhead” of a 5-6 percent commission, both buyer and seller have a little more flexibility to come to an agreement that’s acceptable to both parties. Here are some negotiation tips for independent buyers and sellers.
Seller negotiating tips:
Set realistic priorities before you start.
When selling, be sure to outline realistic goals before negotiations begin. If you’ve decided that you need to sell your home for at least $250,000, expect to have very different negotiations than if your goal is to sell within 30 days. If money is your primary concern, be prepared to turn down some offers as you wait for right buyer. If time is more important to you than money, be sure to include some flexibility in your asking price.
Ultimately, market sets price.
Set your price too high and your house may sit on market, becoming less attractive to buyers (some sources estimate a monthly decline of 1.5 percent). Price too low and you’ve got less room to negotiate and may be leaving money on table. Homekeys.net Subscribers can quickly obtain an objective estimate of property value using our online valuation tool before listing. Another option is to hire a professional property appraiser prior to listing. You may find cost of either option to be modest compared to making an expensive mistake in your selling price.
Take inventory and take advantage.
Typically, property sales include anything that’s installed or built in to home. If you’ve got appliances, furniture or fixtures you’re willing to part with, you may be able to entice prospective buyers by including them in deal. Would buyers be interested in your BBQ grill or pool equipment? It can’t hurt to ask.
Buyer negotiating tips:
Clean up your credit
A great way to strengthen your case as a buyer is to demonstrate excellent credit. The time to check credit is well before negotiations begin so you can square away problems. Many credit issues are not difficult to fix and can be straightened out fairly quickly. Here’s how to check your credit.
