The Negotiating Process

Once you have found the home and/or property you want to purchase, it is important that you are prepared to make the best deal you can.

To negotiate the price, you need to know and assess your negotiating position. Know the facts and plan your negotiating strategy.

The most important factor is knowing the market prices.  Ask your Accredited Buyer’s Representative to provide you with a Comparative Market Analysis prior to making an offer.

Also, you will be in a strong negotiating position if:

  • You are an all cash buyer or have a good size down payment.
  • You are Pre-Approved or at least Pre-Qualified for a loan
  • You do not have a house to sell or other contingencies to add to the contract.
  • You can put down substantial Earnest Money at the time of the offer.

It is also helpful for your negotiating position if you can find out and the answers to these questions:

  • Why is the house is being sold?
  • Is the seller under any pressure to close a deal as quickly as possible?
  • How long has the house been vacant? (Every month a house is vacant and unsold causes more expense to the seller).
  • Is it a Buyer or a Seller’s market?