Buying a home isn’t just about finding the right place—it’s also about mastering buyer negotiations to secure the best deal. In this guide, we’re diving into some cool strategies for savvy buyer negotiations. Whether you’re a first-timer or a seasoned pro, these tips will help you navigate the process like a champ. Let’s get into it and turn those buyer negotiations into a win!
What’s Buyer Negotiation All About?
Buyer negotiation isn’t just haggling over the price—it’s about finding that sweet spot where both you and the seller are happy. In the realm of buyer negotiations, it’s a bit of a balancing act, covering everything from price and contingencies to move-in dates and maybe even snagging that cool fridge or backyard swing set. Master this skill, and you’ll not only save on the final price but also feel great about the whole deal.
What Can You Actually Negotiate?
When it comes to buying a home, there’s a lot more to negotiate than just the price. Here’s the lowdown on what you can ask for in buyer negotiations:
Purchase Price
This is the big one! While many think buyer negotiations start and end with the price, it’s just the beginning. You might kick things off with an offer below the listing price, and if the seller counters, you go back and forth until you find a deal that works for both sides.
Timeline & Fees
In a seller’s market, timelines and fees usually lean towards the seller. But in a buyer’s market, you have more room to negotiate. During buyer negotiations, you can discuss things like the closing date, the length of the Due Diligence period, and even when you want to move in. A longer Due Diligence period, for instance, gives you more time for inspections and repairs, and those fees? They’re negotiable too!
Personal Property & Appliances
Got your eye on that snazzy fridge or the playground set in the backyard? Ask for them! In a buyer’s market, you’ve got more leverage in buyer negotiations to request these extras as part of the deal.
Closing Costs
Closing costs can really add up—think 2% to 6% of the home’s price. These fees cover stuff like property taxes, title searches, and insurance. During buyer negotiations, you can ask the seller to cover some of these costs. This is known as a seller’s concession, and sellers are usually more open to this when the market is in your favor.
Repairs & Warranties
In places like North Carolina, homes are often sold as-is, meaning sellers don’t have to make repairs. But in a buyer’s market, you might get some room to negotiate repairs or even score a home warranty, giving you peace of mind that major issues could be covered.
Tips for Rocking Your Buyer Negotiations
Buyer negotiations can be exciting and nerve-wracking, whether you’re buying your first home or your forever home. Keep these tips in mind:
Do Your Homework
Before making an offer, get to know the local market. Understand average selling prices, how long homes are staying on the market, and the neighborhood vibe. This knowledge helps you make a smart offer during buyer negotiations.
Avoid Lowball Offers
It’s tempting to start with a low offer, but in a seller’s market, this can backfire. Sellers might not even consider it, and you could miss out on a good deal. Find the right balance in your buyer negotiations.
Be Ready to Walk Away
Know your budget and be prepared to walk away if the deal doesn’t work for you. This mindset helps you avoid emotional decisions and stay within your financial comfort zone during buyer negotiations.
Have a Backup Plan
Negotiations are all about give-and-take. You might not get everything you want, so prioritize your must-haves and have a backup plan. Flexibility can help you close a deal that still feels right during buyer negotiations.
Get a Pro on Your Side
As Home Colorado puts it: “The negotiation process is an important skill where Buyer’s Agents add significant value… Buyer’s Agents are skilled negotiators who understand how to ‘sell’ their clients to a potential seller, leveraging market trends, the property’s condition, and other factors to ensure favorable terms for their clients.”
Lauren Fours has over a decade of experience in real estate negotiations. Reach out to Lauren for a powerful partnership to navigate your next home-buying adventure and master those buyer negotiations.