Tips For Negotiating Purchase Price
Studies show that home-sellers who use a Realtor to represent them generally get a better price than those who sell the home themselves. Realtors are up-to-date on critical processes and can help keep you out of trouble. They can also help you get your home sold at the best price in the right timeframe. Equally as important, Realtors add objectivity to an inherently emotional transaction: the sale of your home.
Your agent will research for you the recent sales in the immediate area, and again in a broader area for similar size and age homes. This process is called a CMA (Comparative Market Analysis). Your agent will know whether the asking price is reasonable or overpriced for condition or comparable sales. You might also ask for an “aging report”, where you can see how many similar homes have sold in recent months compared to how many are on market today. The more sales in comparison to active listings, the more selling power you have.
It takes time to sell a house in today’s market. Don’t try to get ahead of the trend and enter into negotiations with buyers who aren’t pre-approved for a home loan. Also don’t price your home excessively. Instead, listen to your agent and price it aggressively. Pricing it too high can keep it on the market and make it appear unattractive, flawed or stale. It's critical to be aware of where and how fast the market is moving - both when setting the price and when negotiating an offer. Again, an experienced, well-trained agent is always in touch with market trends.
You may be partial to your home, but not everyone will be. Don’t be offended by a low offer; respond to the buyer and let them know the offer was too low but that you are serious about accepting a better one. Negotiating with your buyer is like fishing, and countering will “set the hook” if the first offer is too low. Of course, the only guarantee not to “lose” this buyer is to accept what they have offered. However, most buyers do expect a counter. Again, allow your agent to present the facts accurately as to price for condition versus comparable sales.
ReMax Smart Seller/ ReMax Fit to Sell