Welcome to the HomeInPNW.com Blog

2020-01-24 14:49:06
3 Ways to get an Amazing Deal in a Buyer Friendly Market

Buyers Market

Things you’ll typically hear and read about during a buyer’s real estate market include low home prices, large inventories of available homes and little competition from other buyers. While homeowners naturally want to get top dollar for their homes regardless of market conditions, buyers’ markets present an opportunity for those hoping to jump into home ownership an amazing opportunity to find a good deal.

In a buyer’s market, sellers are typically more motivated to negotiate. This puts you, as a buyer, in the driver's seat. Negotiating points include not only the obvious, the sales price, but other items as well. We’ve picked out three parts of the purchase process that present the most savings for buyers.

1. Bargains Lurking in the Purchase Agreement

When you write an offer to purchase, ask for everything. Even if you don't want their furniture and appliances ask for them. Ask for the drapes, the barbecue, everything you can think of to put the sellers in overload and divert their attention away from the low price you are offering.

Once the bartering begins all of their focus will be on trying to hang on to their backyard furniture, not that you have offered considerably less for the house than what they are asking. Now you are in a position to compromise.

So, go ahead and give up the furniture and the drapes; you didn't want all those items anyway. Keep your eye on what it is that you do want ― your price. In the end, if you persist, you should get that price and maybe that backyard furniture as well.

One more point about what to include in the purchase offer: make sure you don't give the sellers too much time to think about your bid. A 24-hour acceptance requirement is quite common and a strategic step in your position as a bargain hunter. Not only does this request create a sense of urgency for the sellers, but it cuts down the chances of another bargain hunter making a better offer.

2. The Home Inspection ― Your Ticket to a Deal

Although the sellers, by law, must disclose the problems in the home that they know about, there may be items lurking beneath their awareness. Just proceed under the assumption that if there are visible and known issues with the house there are most likely others that are not obvious. Therefore, unless you are a licensed General Contractor, you should always get a home inspection.

With the hard copy of the inspection in-hand, and depending upon the extent of repairs needed, this is your chance to negotiate a further price reduction. You will need to obtain estimates for the repairs from local licensed contractors. You then have rational support for your requests to the sellers.

Walk away if the owners are unwilling to work with you. It is entirely within your rights under the purchase agreement to do so. Most sellers, however, realize that the repairs will need to be done if they hope to make a sale to anyone, so they are likely to entertain your new bid.

If the cost of needed repairs is beyond the sellers' current budget, you might suggest a cash-back at the close of escrow incentive. That way, the homeowner doesn't have to pay out-of-pocket for work and you will have cash-on-hand to have the repairs performed on your schedule.

3. Eliminate Your Closing Costs

In a buyer's market, innovative negotiating is just one of the tools in your chest. Negotiating closing costs may be your last resort, especially when dealing with a particularly difficult and unrealistic seller.

Yes, some will balk at being asked to pay your closing costs. Others will increase the selling price of the house to absorb the costs. There is a danger in this, however. Any addition to the price may cause a problem with the appraisal. At that point, it is back to the negotiating table for buyer and seller.

On a final note, the sale of one's home is an emotional event. There are ways to present the suggested negotiations while still appealing to the sellers' emotions. If your low-ball approach is due to your financial position, have your agent share that with the homeowners. Let them know how terribly much you want the house and make them care about you enough to want to help you. An 'aw shucks' personality will take you a lot closer to your goal than a brusque, no-holds-barred aggressive one.

Blog Archive
2020-01-24 14:49:06
3 Ways to get an Amazing Deal in a Buyer Friendly Market

2020-01-17 16:06:26
Inexpensive DIY Staging Tips

2020-01-03 13:35:24
2 Things to Know about Home Inspections

2019-12-13 15:02:26
Is your Vegetable Garden ready for Winter

2019-12-06 12:39:35
The Pet Predicament

2019-11-22 11:04:15
Home Appraisal Basics

2019-11-15 13:27:29
Shopping for a Lender

2019-11-01 09:38:23
How much can you afford?

2019-10-10 10:32:10
Is a Smart Home in your Future?

2019-09-27 15:42:28
Buy a Home with No Money Down

2019-09-19 18:19:16
Tips for Buying a Fixer-Upper

2019-09-06 09:26:43
Back to School Organization: Create a Lunch Station

2019-08-30 13:59:56
Why is my Home Not Selling?

2019-08-22 19:31:09
2 Things to Consider Before Buying a Townhome

2019-08-15 10:53:45
Everything you need to Know about Relocating (Part 1)

2019-08-08 12:13:59
Downsizing: It is not just for Retirees

2019-07-31 14:44:36
The Dangers In Over-Improving a Home and How to Avoid Them

2019-06-07 12:31:12
Buyers Remorse

2019-05-17 09:27:28
4 Steps to an Organized Garage

2019-05-06 10:37:45
Writing a Strong Offer

2019-04-19 09:41:53
The Neighborhood Wish List: 3 Things to Consider

2019-04-12 08:34:14
Getting the House Ready for the Market (Part 4)

2019-04-05 09:48:30
Getting the House Ready for the Market (Part 3)

2019-03-29 17:16:25
3 Tips for Attending Open Houses

2019-03-22 14:54:43
3 Common Home Buying Myths

Click here to see ALL articles.

Comment on this Article

Your Name:
Your Email:
Verify:  Please enter the numbers shown to help eliminate spam.