Friday, November 6, 2015


Step Six - Negotiations

Now that you have received an offer it's time to negotiate your terms. The goal here is to create a win-win scenario for both you and the buyer, not to simply get everything you want. Your agent will work with you to ensure you get the best deal possible in the current market. 

Almost every part of a contract is negotiable, but the most commonly negotiated areas are:

  • Price - In a buyer's market you may not get as much as you'd like for your home, but in a seller's market you may find your home in the middle of a bidding war. 
  • Financing - There are many different ways a buyer can find the funding to purchase your home, but you don't have to accept all of them. Discuss with your agent which loan types you're comfortable with, and which ones you'd rather not deal with.
  • Closing Costs - It is very common for buyers to ask sellers to pay all or some of the closing costs. Your agent can guide you with this decision based on the current market. 
  • Appliances and Fixtures - Sometimes buyer's will want to keep certain things you planned on taking with you when you move. They can always ask but you don't have to say yes. 
  • Move-in Date - In general, the move-in date is the day of closing, but this can be negotiated if it doesn't work for you or the buyer. However, remaining in the home after closing could result in you paying rent to the new owner.
Your agent will write up a new offer with the changes you ask for and send it back to the buyer's agent. The buyer can then accept the changes, or make further changes that will be sent back to you. This can go on indefinitely until both parties agree, or one party rejects the offer outright. 

Once an agreement has been made and both parties have signed the offer becomes a legally binding contract. However, there may still be some negotiations to come in Step Seven.  

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