3 Negotiating Strategies for Buyers

When it comes to buying a home, chances are you never expect to pay the asking price; unfortunately, sometimes, you may end up in a bidding war, but for the most part, you will probably do your best to negotiate the home seller down from their original asking price.

That said, here are three great negotiation strategies for homebuyers that will help you along your way when you finally find the house you want to call home.

Negotiation strategies for homebuyers #1

Take the personal route

When you submit your offer to the seller, have your Realtor attach an introduction letter that stipulates anything positive about you and the home. Talk about what your job is, what you appreciate about the area the home is in, what you like about what they’ve done with the place, such as landscaping or the renovations.  At the very least, instruct your Realtor to discuss a little about who you are and what your plans are  - but don't talk about what you want to change in the home!

This will help to make the seller relate to you, as they want to sell their home to someone who will care about the home and whom they like.

Negotiation strategies for homebuyers #2

But don’t get too personal

It’s one thing to write about what you love about the seller’s home, it’s quite another to bash the home in an effort to get a better deal. When trying to negotiate, don’t badmouth the home or the seller will certainly resist any attempt you have to negotiate them down.  When I present an offer, I like to say things like, "the offer amount isn't a number we've pulled out of a hat.  It's based on the same statistics and comparables the seller and their agent looked at when listing."

Keep in mind that people will negotiate the sale of their home based on emotion so your objective is to show them that you will take care of the place and that your offer price is based on the market, not just a number to try and "get a deal".

You won’t be doing yourself any favors by bashing the home, so avoid this route.

Negotiation strategies for homebuyers #3

Make it about you

If you want to go at the seller with a lower offer than they are asking, your best bet would be to have your Realtor explain to the seller that the offer price isn't a number just picked out of a hat...it is based on comparable sales, facts and figures.

Also, I often advise my clients to provide a copy of their mortgage approval to set the seller's minds at ease.

Even if they don’t come down to your offering price off the bat, if they don’t have people beating down their doors to buy their home, chances are they will make a counter-offer.

Remember, however, that the seller is allowed to entertain and even accept other offers while they are negotiating with you, so don’t take too long to settle on a price.

Contact me to today for a free HOME-BUYER'S TOOLKIT!