One of the greatest mistakes many buyers make is to rush the decision. It’s easy to get swept up in the emotion of finding your dream home.
Even in a hot market, it’s important not to buy on emotion or skip important steps that will protect you. Diligent agents will insist that all the necessary building and pest inspections be conducted before we get into detailed price negotiations on your behalf.
As an experienced local real estate agent, I have overseen countless property deals from both the buyer and seller’s perspective. If you’re in the market right now, I’d welcome the opportunity to help you find your next home.
Below is a list of quick tips to guide you on what makes a successful property purchase.
- Negotiate with confidence – Never forget that you can walk away from the deal. So, resist any pressure from the seller or their agent to make a rushed decision. As an experienced agent, I know how to handle this on your behalf.
- Focus on your timeline – Be clear about your deadlines. If you’ve already sold your property and need to find your next home, you might feel time pressures. My advice in this situation is to consider taking temporary accommodation so you don’t make a panicked decision that you regret later.
- Research the local market – As a buyer, you should research the neighborhoods where you’d like to buy. Of course, as your agent, I’m very familiar with the local dynamics, but it never hurts to do your own research. You should note the buying trends, average time on market and the prices reached with recent sales. Knowing these facts strengthens your hand in any negotiation.
- Note the supply and demand equation – Let’s talk about the state of the local market. Together we’ll examine whether there are more properties than buyers, or if it’s the other way around. This supply and demand equation determines your negotiating strategy. Don’t use media reports as a measure as these are too general. Real estate has hundreds of micro-markets, and each one has its own characteristics so we’ll look specifically at these.
- The market determines price – No matter what a seller might think, they don’t determine the price of a property. The market does. So, don’t be intimidated or concerned by a seller asking too much. As your agent, I face these situations every day and have negotiation strategies to deal with them.
- Low-balling – If you want to put in a low-ball bid, there’s nothing to stop you. But it can alienate the buyer and their agent. A low-ball offer should not be made without research-based evidence to support it. Otherwise, it’ll be seen as disrespectful and can affect our ability to win the deal.
- Price isn’t the only lever – You can win your new home through a variety of negotiation strategies. Extended settlement terms are often a winner for sellers, especially if they’ve yet to find their next property. Alternatively, you might lease back the property to them so they can undertake an extended search. Price discounts to pay for repairs cited in your building report is another way to go. We’ll discuss where you can be flexible about the terms and conditions of the sale to maximize your negotiating power.