fundamental information to consider for your first offer.
After the basic CMA is done, you and your agent can add or remove factors that increase or decrease the target home’s value. For example, perhaps you learn that the seller has recently upgraded all the plumbing in the home (increased value); on the flip side, perhaps the seller’s plumbing system is old and outdated and will likely require repair or replacement sooner rather than later (decreased value). Get estimates for any necessary immediate repairs that will need to be done (decreased value). Do: Set your emotions aside. Another tip for negotiating is to set your emotions aside, no matter how tricky that could be. Be smart, coolheaded, and logical. This might take practice. A good idea is to have your agent speak on your behalf, especially if you’re feeling emotional, because that’s what agents are trained to do. After all, it’s business, not personal, regardless of how you feel. Home buying is a business transaction, and there is no room for personal sentiment. If you’re giving off the vibe that you really, really want to buy the prospective home, this comes off as sounding desperate, leaving you vulnerable to be taken advantage of. The seller’s agent will immediately clue in and try to up the price of the home, and subtly persuade you that you actually can afford this home, even if it’s now above your maximum budget, because it was “meant for you.” Don’t: Appear too invested. Many home buyers make the mistake of falling in love with a home and letting it show to the seller and the seller’s agent. This is a big mistake that could cost you, where you either end up paying more than you were willing to pay or end up losing out on the home you thought was going to be yours. One trick to use here, to avoid appearing too invested, or worse, desperate to purchase a particular home, is to use your agent as the “middleman.” In this instance, use your agent as a buffer to negotiation with the seller’s representative, which will allow you to set your emotions aside, and save you time and 220
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