factors involved so you can make an informed decision.
After you agree on what you're going to offer, the agent will send the proposal to the seller or seller’s agent. The seller’s agent will present it to their sellers, who will either accept it, reject it, ignore it, or present you with a counteroffer. Negotiations will go back and forth until you reach an agreement. After that, the home- buying process will move into escrow.
NEGOTIATING THE PRICE: WHICH TACTICS TO USE
The goal of your negotiation is to buy a house for the money you’re willing to pay for it. If you get it for less than you were willing to pay, you have exceeded your goal. Decide upon the highest maximum amount that you can afford, and don’t ever offer more. If you pay more than your maximum amount, you have already lost. Depending on what kind of market you’re in, strategy and tactics will vary. In a buyer’s market (more houses on the market than buyers looking), you have more possibilities to succeed. You can make a less-than-reasonable offer, demand some improvements, request a better closing date, and/or even get closing fees paid by the owner. In a seller’s market (fewer houses available with more people looking to buy than those that want to sell), you have less leverage, as you’re not the only one in line. You’re most likely to succeed by offering a seller’s price. If they don’t get it from you, they will easily receive another offer soon from someone else. It’s a good idea to find the reasons that the owners are selling the house. Do they want to sell it because they’re moving for a new job? Are they moving soon and thus “motivated sellers?” Has the property price been reduced due to an extensive time on the
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