21 Sep 2017

Negotiating For The Best Property Purchase Price

The housing market is constantly changing, one minute the prices are rising, the next they are declining. Whatever the condition of the market, your aim is to get the best possible deal on the property you are interested in. If you want to know how to negotiate buying a house keep reading.

Don’t Reveal Too Much

Agents are just as eager to close a deal for a high price as the seller is. Remember, they get paid a commission for every house they sell. If you are the buyer, the agent is not on your side. Never let an agent know exactly how much you are willing to spend. This may encourage them to show you houses at the top end of your budget because the more you spend, the higher their commission. The idea is to state a lower budget as this will give you room to negotiate later on.

When you go and view houses, don’t show too much enthusiasm because this will give the agent the impression that you may be willing to pay more than is necessary to move into the property.

Show That You Are Serious

Make sure you have all of your paper work in order including your pre-approval from your mortgage lender. This is one of the most effective negotiation strategies. This will give the seller the confidence that you will follow through on your offer.

Don’t Get Manipulated

Some owners will offer to throw in certain perks such as white goods to get you to increase your offer. Don’t get distracted by goods, because when you work out the costs of these items they are not worth paying more than you had planned to on your mortgage.

Take Your Time

An agent is going to push you to close on your offer but don’t allow anyone to rush you. They are going to emphasise all the positive aspects of the house and leave out the negatives even if they are glaringly obvious. This will be your house and you are going to live in it for a significant portion of your life. It is important that you are comfortable with the home you are buying.