Mistakes you make during homebuying negotiations can cost you big money. Here are four blunders to avoid.
Thinking that your previous negotiating experience applies to real estate. Sure, some general strategies relate to all negotiations. But just because you know how to navigate a car purchase doesn’t mean you can expertly handle all the variables of a real estate deal.
Not supporting your position with facts and figures. Which approach do you think works better when offering a seller substantially less than he’s asking:
- Telling him you just don’t think the home is worth that much?
- Providing recent, comparable sales prices in the neighborhood; showing the seller price-per-square-foot comparisons; and giving him estimates for needed repairs to the home?
Accepting the seller’s asking price as a reasonable starting point. Maybe it is … maybe it isn’t. If the seller relied on a website that provides estimates of home values, his asking price may be 20% higher than market value.
Focusing only on price. You can negotiate for furnishings and appliances to be included in the sale. You can ask the seller to make certain repairs. You can even request the seller pay some of your closing costs. And negotiating a convenient closing date can save you money and hassles … not having to move twice, for example.
There’s much more to successful real estate negotiations than can be covered in a blog post. To make sure you’re not losing thousands of dollars, hire a Texas REALTOR® to represent you.