Your offer needs to be in writing. Ask questions. Obtain and review all available and required disclosures. Your offer will not only address price. Typically, it will include financing contingencies, inspection clauses, deposit amounts, seller warranties, closing and occupancy dates, and personal property. There is not one negotiation strategy that is used each and every time an offer is presented. Always be truthful. Do not overstate your position. Clearly communicate your terms so there will be no misunderstandings later. The following will increase the likelihood of your offer being accepted.
- Prepare a buyer profile to submit to the seller. Supplying information such as employment history, financial ability and reasons for purchasing will establish a relationship with the seller. Obtain written loan approval prior to submitting the offer.
- Research the market and home values. If you become knowledgeable in advance, you'll know what a reasonable offer will be.
- Offer a realistic price based on market conditions, property value and seller motivation. "Low ball" offers will often offend the seller and will ultimately diminish your ability to negotiate.
- Be prepared to make decisions quickly - the fear of making a wrong decision often stops people from making the right decision.
- Include a significant earnest money deposit. Larger amounts indicate a stronger commitment.
- Minimize contingencies to those that are key to the purchase. Fewer contingencies increase the likelihood of your offer being accepted