Tips for a Successful Low Offer When Purchasing a Home
When searching for a new home, we all hope to capture that “hidden gem.” This means finding a house that you love, while at the same time getting the seller to agree to a “lowball” offer, ultimately netting a nice, low bargain price. The question is how low should you go?
But, while this may happen on occasion, the reality is that there are actually some parameters that should be adhered to. Following these will help your chances of success, starting with making the transaction go much more smoothly.
First, it is important to be aware of current market conditions in your area. This will help you to recognize whether your local market is favoring buyers or sellers. If, for instance, it happens to be a seller’s market at the time, you may not be as likely to have a low offer accepted as you would be if the listing were sitting for several months.
When you do go to make an offer, it also helps to already have your financing lined up. Having a pre-approval letter in place can go a long way in getting the transaction to go through. It can also let the sellers know that you are a more serious buyer.
In addition, offers that come in without any (or at least without very many) contingencies will oftentimes be more seriously considered than those that have major contingencies – even if the offer price is lower.
For example, a lower all-cash offer with no contingencies as versus a higher offer, but with the added contingency of the purchaser having to sell their current home, is likely to be much more seriously considered by the seller.
It can also help to “de-personalize” the negotiations as much as possible. This can be easily done by working with a real estate agent and running all of the offers through them. Real estate agents are typically well trained in negotiating for price, as well as other aspects of the deal.
If you’re ready to find that “hidden gem” in or around the Bakersfield area, give us a call.