Negotiation tips for buying a property
Negotiating a property purchase is a serious business, so it's important to be armed with as many tactics as possible to give yourself the advantage. In this article, our agents outline six tips to help you negotiate your property purchase like a professional and seal the deal.
Get your finances in order
Be clear about how much you can afford and get pre-approval from your bank or mortgage broker. If you know your ceiling, you will know your limit. And remember, price isn’t everything when it comes to a sale, often vendors are looking for a quick settlement with a buyer who has their finances in order.
Do your local research
Understanding the market could save you a lot of money. Research the history of neighbouring properties to understand local demand. Look at what has been sold and when it was sold, attend other open inspections and auctions, and compare the state of play. Robust comparable sales analysis and supporting documentation are your best chance at securing a property for its true market value.
Understand the vendor’s motivation to sell
It’s beneficial to uncover the vendor’s motivation to sell, as there are often factors in play other than price, such as the timing of the sale and their sentiments about the property. Building a positive relationship with the property’s real estate agent can help you understand the seller's motivations and requirements.
Be prepared to compromise
Negotiation is all about give and take and price may not be the only thing on the table for discussion. Other areas for negotiation include the length of settlement, deposit, existing tenancy, and fixtures or inclusions; everything and anything can be up for discussion. Be clear on which elements are must-haves and what are nice-to-haves.
Leave your emotions at the door
Negotiating can be a daunting prospect for buyers and sellers alike. No matter how stressful or intimidating the process is, it’s important to remember to leave your feelings at the door and apply pressure only if you are confident your terms are acceptable. Emotions and urgency can cost you a sale.
Enlist a great real estate agent
An experienced and knowledgeable agent will guide you through all the above steps and can stand in for you during the negotiation. Our agents understand the ins and outs of the industry and are equipped with efficient strategies to get you the outcome you desire.
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