The prices of homes are on the rise. The real estate market has started experiencing a boom in many markets, but it is still a good period to buy a home because rates are low and prices are expected to keep rising. Therefore, any home you buy now will very likely have an increase in value.
Buying a home is, however, one of the greatest investments you may ever make, so you need to do adequate research before signing that purchase contract.
Here are five valuable tips for negotiating the best home sale price:
1. Explore Your Options Thoroughly
As you search for your ideal home, a few properties will really strike your attention. You should note them and do deeper research before making an offer. For instance, you should find out the going rate for similar properties in the area. Ask your Chicago gay realtor to provide comparables for review, and avoid using on-line comparables as the data is often unreliable.
2. Hide Your Motives
Manage your emotions when negotiating the price of a new home. Don’t let the seller know that the home is exactly what you’ve been searching for – so they don’t take advantage. In addition, you should avoid letting the seller know if have an urgent need for a home. Keep your motives private, and remind your agent to do the same.
3. Discover the Seller’s Motives
The more insight you have about the seller’s motives for selling the property, the more negotiating power you will have. For example, if the property is up for sale because the seller has relocated to another area, use this knowledge to your advantage. If the seller is currently paying a mortgage on the vacant property, use this as an opportunity to negotiate the best price.
4. What Repairs Does the Home Need?
If there are repairs needed (especially major repairs), then submit a lower offer and waive your contract inspection rights ~ this may provide some relief to the seller knowing the deal is done, and give you the opportunity to purchase at a lower price.
5. Ask the Seller to Pay Closing Costs
A recent study revealed that the average amount for closing a home buying deal is over $3,500. Even though this may seem rather small compared to the price of the property, you should be aware that this is an upfront cost you may be able to avoid. Ask the seller to pay closing costs, if you don’t ask, the chances are 100% that they won’t pay, so ask.
Bonus Tip
When you are trying to determine the price of a new home, do your best to save as much as you can, but also bear in mind that because prices on the rise, sellers now have more leverage, and better offers could come in from other would-be buyers. So don’t allow your ideal home to be taken by another person because of a few thousand dollars.