Preparing real estate purchase offers is an interesting part of the business. It’s when the rubber hits the road, true motivation is exposed & game play along with emotions can easily interfere with effective resolution. As an agent, when you find “the one”, here’s what I do to help you decide upon an initial offer: I run a 6 month, comparative market analysis of like homes… similar style, age & characteristics in the immediate area of THE home. The goal is to get an “apples to apples” comparison of homes that are in the active, pending & sold stage of the market. From there, we review the results & decide upon an initial starting point for negotiations.
Everyone has a different style for deciding on this starting point. I encourage keeping your focus on the desired outcome. I guess some of it goes back to how people are “wired”… I do advise buyers that “they can always go up but can’t go down” during discussions & we never truly know a seller’s motivation until our offer gets on the table. For sellers, it’s important to remember that ANY number does get the conversation started &, with some basic communication skills, a low first offer CAN effectively lead to a meeting of the minds going forward.
Buyers & Sellers aren’t very different... Everyone wants the same thing – for the property to exchange ownership. One party dreams of moving in & the other dreams of their next home. I encourage your offer to be “fair”. But what is fair? I guess ANY place – within reason - is a viable starting point… Every transaction IS different and this is YOUR negotiation. I am committed to being YOUR voice at the negotiating table. You’ve hired me to be your advisor but this is YOUR transaction. How do YOU want to navigate this part? There are a ton of options for this phase of the transaction. If this is really the house you want, let’s go get it! And some of that data I pulled might just help…
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