Many negotiations take place in the home buying process. It can be complex and emotional as each party wants to feel that the outcome leans in their favor, or is at the very least a fair balance of interests. This blog offers tips on negotiating offers for MA real estate.
Negotiation Considerations
Real Estate Market
The existence of a buyers versus sellers market will affect your leverage in a negotiation. In a buyer market, home buyers have an advantage because of the availability of alternatives. Sellers should be more giving in order to retain a potential buyer. In a seller market, buyers should put their best foot forward in order to properly compete for a desirable property.
Bargaining Position
Many things can determine negotiating position. For instance, private situations such as divorce can expose your motivation and give the other party an advantage. It is critical to keep this information private. The existence of multiple offers can also influence who has leverage. Understand your position prior to developing a negotiation plan, since you may have no chance to change your position afterwards.
It Is More than Just Price
Negotiations pertain to more than price. Evaluate all the elements of a contract such as the deadlines, contingencies, deposits, concessions, and mortgage terms. All of these individually and combined play a role in the likelihood of agreement. Get information from your agent on whether your requests are fair or may cause a negative reaction from the other party. Digging in your heels on certain issues may hurt more than help.
Professional Knowledge
Real estate brokers can ensure successful negotiations using their experience and suggestion of alternatives. Contracts can succeed or fail based on the terms and on the feelings of both parties involved. Real estate professionals can act as a cushion among parties and facilitate a professional and civil negotiation process.
Tips On Negotiating Offers For MA Real Estate
The key to successful negotiations includes looking realistically at the real estate market, knowing your bargaining power, considering the terms of the contract and their affect, and receiving guidance from a skilled real estate professional. It may not be possible to get all the terms you want. The goal is to have a compromise that all parties can live with and for everyone to believe they were treated fairly. Hopefully the above tips on negotiating offers for MA real estate will make your future negotiations easier to navigate. For more information contact Christopher Graves at Emery Federal Credit Union by calling 781-759-1200×22 or by emailing christopher.d.graves@gmail.com.