As the buyer you should prepare yourself for the process of negotiating with the seller on a number of points. The majority of any required negotiations happen during the beginning stages of the home selling process. In most cases, you handle negotiating points before signing a sales agreement; while, in other cases, negotiations occur prior to or on the closing date.
The Selling Price
One of the primary terms to negotiate when buying a house is the selling price. In many cases, the initial asking price is negotiable. Sellers commonly set the price a bit higher than the current market value in preparation for negotiations with potential buyers. So don't be afraid to submit a reasonable offer to the seller that is under the listed price.
Repairs
You may also have to negotiate repairs to the establishment. When buying a home, most real estate agents suggest that you get a thorough home inspection. Based on the results of this inspection, the seller must agree to making any necessary repairs. For instance, if a door is off the hinges, you can ask to have it fixed in advance of closing. In some cases, you can negotiate a deduction from the sales price instead of agreeing to repairs by the seller.
What Items Stay and Go
When buying a home, you must also negotiate what items can remain in the home and what must go without a question. For instance, if a seller has a beautiful piece of furniture in the home, you can try to negotiate to keep it there as part of the deal. Alternatively, the seller might offer you a credit toward the sales price if you agree to keep certain items in the home, such as a refrigerator, to avoid the trouble of moving or disposing of the items.
Seller's Assistance
Another point to negotiate is the amount of any seller's assistance. Seller's assistance is an amount that the seller agrees to pay to help you cover closing costs. The maximum allowed in most transactions is 6 percent of the selling price. Your real estate agent requests seller's assistance on your behalf. If the seller agrees, the lender must incorporate this information into the loan package.
Tags: buying home, real estate, sales price, seller agrees, seller assistance
