Buyers: how to negotiate the selling price of real estate

You have started looking for the rare pearl but do not know how to start negotiations on the selling price?

Here are some tips to succeed this tricky step.

The idea of negotiating the sale price of real estate scares you? Do not panic. The bottom line is to keep in mind that you want to come to a win-win market. For the rest, here are some tips.

Know the real estate market

Before embarking on a negotiation, you still have to know how much you can negotiate. For this, do not hesitate to use real estate mortgage simulators, they will help you calculate the maximum budget that you can invest in your acquisition. Each region, city, and neighborhood has its specificities, the bargaining power will depend on the quality of the property, its location and the state of the real estate market in the area. The best is to learn about similar homes or apartments sold or for sale, to see where is the selling price of the property that you have in view of its neighbors. In order to obtain information on the price per square meter in the sector in which the property is located, it is also advisable to ask your notary and consult the magazines and specialized magazines.

Collect information

When visiting the house or apartment, be very conscientious and gather as much information as possible. On the property itself, by looking at the defects that it entails, the maintenance costs, the quality of the insulation, the work that needs to be done or the work that has been done in recent years. years and if they still benefit from the ten-year guarantee. On sale too, trying to find out how long the owner has been trying to sell, if he has already had visits, offers, etc. On the other hand, avoid giving too much information about your budget, because unveiling it will give you less room to negotiate the selling price.

Build a strong argument

Once you have collected this information if you feel the property is overvalued and can be negotiated, prepare a solid argument. During the negotiation, it will be used to demonstrate to the seller why you are making an offer to buy lower than the selling price. This argument is a balancing act: you must be interested in the good while highlighting its flaws, or the cost of the work that awaits you if you buy it. Another technique is to begin offering a price lower than what you would be willing to pay, then increase it gradually to the maximum price you have set.

Show your good faith

Remember, however, that sellers are often suspicious, through unsuccessful negotiations and especially buyers who ultimately do not obtain the necessary financing for the purchase. To show that you are serious, make sure you have checked with your banker to know your borrowing capacity, and do not hesitate to show borrowing calculations. You can also do real estate mortgage simulations online. It is not necessary to show the detail: the goal is simply to prove that you are a serious buyer.

Stay patient and sure of yourself

If the seller does not agree to your terms, you can give him the maximum price that you would be willing to pay and wait for time to work in your favor: if he has no other offers to buy, he could to accept yours. However, if the property is properly valued, seeking to negotiate at any price is to take the risk of losing the property we covet, so it must be done with discretion.