One tip for strategizing in a seller’s market is to fin d out why the owner is selling the home. Remember the negotiating tip to ask questions? Th is is when, and this is why. You and your agent can gently and subtly ask questions to get the owner to reveal the reasons behind the sale. For example, do they need to sell the home because they’re moving to a new city for a new job or to be near family? Do they need to sell and move soon? Has the property been languishing on the market for a while, with the price reduced due to no takers? If so, you’ve ident ifi ed “motivated sellers” who are more likely to accept a lower o ff er and your demands — at least some of them. And you can stand your ground if they come back with a countero ff er. However, if the house has been listed and re-listed several times with a stable price, that’s a sign that the homeowners are not in a rush, and are taking their time, waiting for the best and highest o ff er. If you can’t provide the highest o ff er (i.e., it would exceed your maximum allowable budget), then it’s best you move on to a diff erent property. DON’T BE SURPRISED BY MULTIPLE OFFERS. When making an o ff er and negotiating, you should expect some competition — especially in a seller’s market. Many buyers forget that other buyers might want the same home, and this can really a ff ect negotiations. Remember that sellers are likely to be considering multiple o ff ers at the same time, and they will make their decision based on the best o ff er — what’s best for them, not for you. Some sellers choose to work with one buyer at a time, sending countero ff ers until the deal is done or the buyer walks away. Th e problem is, you won’t know. You won’t know how many buyers are looking at the property, how many other o ff ers are out there, how many o ff ers the seller is considering, or whether yours is the best or not. What can you do to protect yourself? Make sure that your o ff er is better than the other o ff ers. How? 117
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