Today’s real estate market is very hot and homes are generally selling quickly due to the tight inventory. It has been deemed a “seller’s market” in areas like Cape Ann as the demand for homes is greater than the supply. However, this does not mean that buyers of today do not have some power at their fingertips.
Negotiation is a key part of the purchase process and the approach is well within the control of the buyer. Bearing in mind that you are trying to get a good value rather than spending fewer dollars is a good approach. This strategy will give you the best chance at getting the home at the right price. Here are some additional recommendations for making the best offer.
Do your Research – Make sure you are well acquainted with the current market conditions. The more you know about how much homes are selling for and what the level of competition is the better you will be prepared. Consider these factors as well as the seller’s reason for moving.
Also consider looking at the price in a few different ways. Sometimes calculating how the price equates to the average dollars per square foot can be helpful. In addition, don’t forget to estimate what your monthly mortgage payment will be based on the price you are planning to pay.
Get Pre-approved – This is the very first thing you will want to do before you even set out to view properties. Contact a qualified mortgage agent and get approved for a home loan. They will qualify you for a mortgage based on income, debt and other factors. Ultimately they will issue you a pre-approval letter that will accompany any offer you make so that sellers know you are a qualified buyer.
Learn to Compromise – Albeit there are many things that you may find that you want in a home, but let’s face facts – there is no perfect home. Be prepared when you enter the real estate game that you most likely will not get the perfect home for an unbelievably low price. Setting your expectations that if everyone gives just a little then you are far more likely to reach an agreement that is satisfying for all parties.
Work with an Experienced Real Estate Agent – Nearly everyone will hire the expertise of a real estate agent when it comes to selling their home. Utilizing the experience and professionalism of a real estate agent will help you negotiate the best price possible using their unparalleled knowledge. A good agent will also know how to circumvent any additional negotiations that may arise so that the deal actually closes which is ultimately the goal.