CHAPTER 6 Buying a House: Negotiation Dos and Don'ts
You visited dozens of open houses and met with builders and sellers. You looked for the ideal neighborhood and searched for the best available offers. Now, you’ve finally found a property you would like to call “home” and are willing and able to pay for. Or, maybe you were lucky, and it was love at first sight, and you’re eager to close the deal as soon as possible. Congratulations! Welcome to the most critical and challenging part of the home- buying process: negotiating the price. Begin by evaluating your financial situation and exploring available financing options. If you’re a first-time home buyer, federal programs and provincial loans will help you with the down payment and mortgage interest rates. You likely know how much money you wish to spend. Considering all the opportunities and possibilities will give you flexibility during the negotiation process.
HOW TO MAKE YOUR FIRST OFFER THE BEST OFFER
Making your first offer is a crucial step that requires thorough preparation and analysis. Be knowledgeable and consider all the components of your price offer when submitting the proposal to the seller. You are not responding to their listing price as much as using your own factors to arrive at your offer. The two aren’t necessarily related. A critical component is a comparative market analysis (CMA), which your real estate agent can provide — another benefit of 41
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