In talking with real estate professionals across the country, I noticed that most of them are expressing concerns about dwindling or dismal inventory for sellers to consider.

Most advise that if potential buyers learn about a property that appeals to them, they should run - not walk - to check it out. Even the first to know of a new listing should be prepared to negotiate against other aggressive and possibly well-financed contenders.

Home seller Negotiation Secrets

In the following segments, we'll look at what prospects need to know when they are pursuing or competing to get into a new home in a tight inventory market. We'll also provide some insight to sellers who want to get their prices.

For sellers who want to respond to lowball offers, instead of getting into a debate about money, try sweetening the pot with a variety of counter-offers, including:

  • We are paying for some buyers' title insurance, closing costs, and points.
  • Pay homeowner's association fees for a year.
  • Look into buying down the buyers' mortgage rate for the first year.
  • Cover a year's cost for a lawn maintenance/snow removal service.
  • Pay or provide an allowance toward moving expenses.
  • Provide the buyers with a home warranty.
  • Pay for the lawn and pool services for a year.
  • Offer a golf club membership, pool membership, or cable subscription.
  • Offer an allowance to repaint, new carpeting, or window treatments.

Incentives, especially for first-time homebuyers, can often do the trick.

Even in declining markets, it is essential to be aware of comparable properties and to price one's home to entice potential buyers to view it and ultimately bid on it.

Sellers should reject the temptation to hold out for a top dollar or price the home at the upper end of what the market will bear. To get a sense of what similar homes are selling for, I recommend the following:

  • Attending open houses
  • Perusing online local listings
  • Ask a real estate agent to prepare a home value estimate using comparable MLS-listed properties.

Contact us today to schedule a free consultation. Whether buying or selling a home on the Treasure Coast, we are always happy to meet with you to discuss your wants and needs with no obligation.

 

Reprinted with permission from RISMedia. ©2013. All rights reserved.