Don’t: Get caught up in minor details. Both buyers and sellers can fall victim to getting caught up in negotiating on small details, and even in the negotiation process itself. Remember to keep your eye on the ball. Remember your main goal: get the house! Instead of getting caught up in details, come to an agreement with the seller on the main/major points before moving on to smaller items. Do: Consider the market for strategy. Your negotiating strategy and tactics will vary, depending on the current housing market. For example, in a buyer’s market (where there are more houses for sale than buyers looking), you automatically and naturally have the advantage, with possibilities to succeed and not only get you the home you want, but also get it for a great deal. In a buyer’s market, you could make a less-than-reasonable offer (well below asking price), demand some home improvements as a contingency, request a better closing date, and even ask that all closing fees be paid by the seller. Depending on how long the home has been languishing on the market and how desperate the seller is to sell, there’s a good chance the seller would accept such an offer. However, in a seller’s market (where there are fewer homes available for sale, and more people looking to buy than selling), you are automatically at a disadvantage with less leverage. You’re not the only one in line. You’ve got some competition. In this case, your best bet is to offer close to the seller’s asking price, because if you don’t, someone else will, and that property you were so fond of will be snatched away. One tip for strategizing in a seller’s market is to find out why the owner is selling the home. Remember the negotiating tip to ask questions? This is when, and this is why. You can gently and subtly ask questions to get the owner to reveal the reasons behind the sale. Do they need to sell the home because they’re moving to a new city for a new job or to be near
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