You may have found your dream home, but what happens when the price tag is a little higher than you would like to pay? Negotiating the right price for your next home is an integral part of the home buying process. Luckily, agreeing on a home price can be a simple task. Follow these tips when negotiating the sale price of your dream home.
Find the Right Agent
Having an experienced team on your side is the first step in negotiating a fair price. In addition to helping you find your dream home, a good broker will also be there to assist you in developing a solid offer to present to the home’s seller. And, your agent can help you in the negotiating process by working as an intermediary between you and the seller.
A good agent will also have insider information that can help inform your offer. Factors like the home’s neighborhood, the seller’s motivation level, and the level of competition in the market can all have an impact on the offer you place. Your agent should be knowledgeable of comparable home prices in your dream home’s neighborhood, which will allow them to construct an offer that is likely to be accepted. Additionally, motivated sellers may be more likely to accept offers below asking, while sellers without a reason to sell quickly may hold out for a higher offer. Finally, if your home is located in a competitive market such as real estate Napa Valley
, it is likely that multiple offers may be placed on a single home, making strong negotiation skills a must-have ability for your agent.
Make a Move Quickly
If you see a home you love, be prepared to quickly begin negotiations. Homes in competitive markets can be snatched up fast. To ensure your offer is accepted, make your first offer your best offer. But don’t get discouraged if your first negotiation doesn’t land you a home. Putting all of your eggs in one basket when shopping for a new home will only lead to disappointment. Instead, use the failed negotiation as a learning experience that can inform the process when you find another house you love.
Don’t Forget the Inspection
While you may make an initial offer before a home inspection is completed, your final offer should be heavily based on the inspection’s findings. While a home in a more competitive market may not have the ability to rely as closely on an inspection, the price of a home in a less competitive market may be further negotiated after the inspection is complete. If the inspection does not reveal any issues with the home, there will be nothing to negotiate, but if issues arise, your agent may be able to negotiate a lower price on your dream home.