When you’re in the market to buy a home, you’ll quickly discover just how much of an emotional and mental drain it takes. After all, you’ll start the home buying process many months or years in advance. You’ll save money for a down payment, go carefully through your credit reports, save more money for inspections, earnest money deposit, closing costs, and moving expenses. Then, when you find the right house, you might have to negotiate with the seller.
Negotiating with a Seller: Do’s and Don’ts
There are several home buying pitfalls to avoid. You need to shop around for a mortgage to get the best terms and rate, expand your house hunt to different neighborhoods, prepared to think like a seller, expect give and take during negotiations, and not chasing a deal at all costs. But, that certainly isn’t all the pitfalls because when you submit a purchase offer, you’re not necessarily at the end of the road. The seller might prove difficult to deal with and that’s something you’ll have to handle in the best way possible.
“Being pre-approved shows sellers that you are prepared and able to buy. Before you submit an offer, ask your agent to find out more what the seller wants as far as terms. The more your offer matches up with the seller’s requests, such as a closing date, the more likely your offer will be accepted. Find out when the house will be vacated, if any repairs or improvements are planned, and if the seller has any pressure points such as a relocation deadline. Also, you’ll want to review the seller’s disclosure.” —Realty Times
Let’s face it, there are a number of common home closing hurdles to jump. But, before you get to scheduling the closing date and time, you’ll need to have an accepted offer. Some buyers are perplexed when a seller rejects their offer. Moreover, some buyers are surprised when a seller comes back with a counter offer. But, these scenarios happen regularly. When you enter negotiations with the seller, you need to know what not to do and what to do for the best possible outcome:
- Don’t take it personally. First and foremost, you must resign yourself to the fact this is a financial transaction. Okay, so it’s a home and that’s a tough mental conception to get past. But the fact remains, this is a financial transaction and when things don’t go your way, it’s best not to take it personally.
- Don’t get too attached. Too many home buyers fall head-over-heels with a particular property. They simply love the floor plan, the amenities, the location, and more. And, this is completely understandable. But, it can compromise you judgment in a very serious way. Remember, there are plenty of other homes for sale.
- Don’t take on too much risk. Along the same lines as the above point is the real risk of taking on too much risk. This means going all-out, busting your budget to get a house at practically any cost. In the end, you’ll come to greatly regret your decision and you’ll wind up with a heap of buyer’s remorse.
- Do be ready to say “no.” During the negotiations, the seller might sense your enthusiasm and use it to try to grab a little more. Be ready to say “no” when those requests and demands begin to be a burden. If you cave, the seller will probably ask for more.
- Do give a little to get a little. On the other hand, there are times when it makes sense to give a little to get a little in return. Be sure to speak with your buyer’s agent to go over your options so you do not unwittingly undermine your own best interests.
If you are considering buying or selling a home in Orlando, contact us for the latest market information. We’ll also provide you with the right advice about the local real estate market so you make the best decisions.