such as the number of bedrooms, bathrooms, square footage, list price, price per foot, etc. Then, it compares your potential home to similar houses on the market in your area. This model will give us an idea of the average cost of properties, which will be fundamental information to make an informed decision regarding our offer. After the approximation, add or remove the components that increase or decrease the value. For example, we may know that the current owners have recently changed all the plumbing in the house. Or, conversely, that their plumbing is 25 years old and will probably start breaking down soon. Get estimates for any necessary repairs, or ask for estimates. Research the market trends. Has the local market gone up or down over the last few years? Do people buy or sell more? Are there houses being built that will soon be for sale? For example, tear-downs and new construction would indicate rising local home prices. Those calculations and forecasts may take time and effort, but they will ideally leave you with options to consider and choose from. I will assist you in this process and help you to decide. We will then get together on the offering price. After agreeing on a price, I will send the proposal to the seller or seller’s agent. The seller will either accept it or most likely present you with a counteroffer. Negotiations will go back and forth until we settle on a price. After that, we will order a home inspection, if desired, and the ball starts rolling.
NEGOTIATING THE PRICE: WHICH TACTICS TO USE
44
Powered by FlippingBook