Real estate is known as the king of all investment options, so if you are investing in the same, it is essential that you get the best deal in order to make the most out of your investment.
After you have carefully shortlisted the options and selected a house that’s right for you, the final thing that determines whether it is a good bargain or not is your ability to negotiate the price with sellers. Negotiating real estate deals is important because as a buyer you can leverage recent crashes in the industry or any other market conditions in your favour.
Here are some tips for negotiating house prices that will help you reach the right agreement.
Knowledge is Power
Having thorough know-how of the current market conditions is extremely important when negotiating real estate deals. Not only is this your most powerful bargaining tool but it also gives you a clear idea of how much the house is actually worth.
Focus on Recent Comparable Sales
If you are looking for a large family house, then the prices will definitely be a bit higher than the smaller houses. Still, to be sure of the precise price, focus on the prices of properties of similar size and structure that were sold recently and/ or are on sale currently. Consider the last comparable sale in your potential new neighbourhood and make an offer that is 5 to 10% lower than the cost of the last sale.
Sit It Out for Sometime
It doesn’t take a genius to figure out that sellers are tired of potential buyers walking in and out of their property without making an offer. Therefore, according to property experts, if you are serious about buying a particular house, then wait for approximately 45 to 60 days before you make your final offer.
The fruit of patience is always sweeter and waiting for some time will help you get the best bargain because sellers get anxious about closing a deal and are likely to consider reducing the price of their house in order to sell it off.
You must not shy away from negotiating real estate deals because more often than not, sellers actually quote a higher price so that they can decrease it later in an attempt to lure buyers.
Follow these tips for negotiating house prices to turn the deal in your favour.