that “everything will work out,” and never make an offer or accept a counteroffer that exceeds your maximum budget. Also, don’t assume the seller or listing agent will give you a good deal “just because.” Arriving at the negotiating table without doing your homework leaves you vulnerable and weakens your bargaining position. Be prepared, be informed, and never make assumptions.
DO Strategize on Your Offer.
Your first offer should be your best offer. A key part of making it strong is doing your homework beforehand, including reviewing comparable properties (“comps”) and conducting thorough research. It also involves strategizing with your agent on the amount you will offer, which requires careful preparation and analysis. Rather than simply responding to the listing price, use your knowledge and research to determine a thoughtful and well-supported offer—the two aren’t necessarily the same. As mentioned earlier, the Comparative Market Analysis (CMA) is an essential tool. Your agent should prepare this before you make your first offer. According to Investopedia, a CMA is “an examination of the prices at which similar properties in the same area recently sold. Real estate agents perform a Comparative Market Analysis for their clients to help determine a price to list when selling a home or a price to offer when buying a home.” This provides a clear view of local average home prices, giving you fundamental data to guide your offer. With your research on comparable home sales, current market trends, and insights from the CMA, you and your agent can confidently draft a strong, well-informed first offer.
DON’T Seem Too Invested.
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