If you’re looking for a new home or have found an area that you’re interested in moving to, you are not alone. After being stuck in doors for over a year, it seems as though the country is on the move. More people are working remotely, a new opportunity that the pandemic has shown to be a viable option. This also frees people up to move without limits set by employment.
While looking for a new home is an exciting time, it is important to make good financial choices that will set you up for success in the future. There are four easy tactics that will ensure that you are getting an ideal price.
1. Offer less than what you are willing to pay
April 2021 saw nearly 1 million new houses sold in the United States, and despite the commonality of house buying, it can still be overwhelming. If you go in low, the negotiating starts low, which increases the chance of it ending low. Chances are that you will end up paying more than your initial offer, so it is smart to play it cool in the beginning.
2. Hire a home inspector
By hiring a private home inspector, you can ensure full peace of mind. Home inspectors look for any issues that could be present in the home’s foundation, roof, HVAC, plumbing, and electrical/structural systems. Inspectors also provide a written home inspection report that lists the results of their finding. If the home inspector finds something that devalues the home, it can be leveraged to negotiate the price of the home.
3. Counter the counteroffer
If sellers propose a counteroffer, remember you can counter again. Don’t give up after one try.
Some agents count on buyers forgoing a counteroffer altogether. If you have found the home of your dreams, it may be worth several rounds of counters to get what you want for the price you want.
4. Contain your excitement
After going to an open house and feeling that magical sensation that comes with falling in love with a house, it can be hard to hide your excitement. However, it is important to keep cool and collected on the outside. Try not to let the sellers know how excited you are about a home.
If they notice your excitement, they may try to use it as leverage to ask for more money.
These simple steps can help to secure an ideal home price. Going into any negotiation process with confidence and knowledge is key in any situation. Contact The Federal Savings Bank for information about loans and how first-time home buyers can succeed.
This information is intended for educational purposes only. Products and interest rates subject to change without notice. Loan products are subject to credit approval and include terms and conditions, fees and other costs. Terms and conditions may apply. Property insurance is required on all loans secured by property. VA loan products are subject to VA eligibility requirements. Adjustable Rate Mortgage (ARM) interest rates and monthly payment are subject to adjustment. Upon submission of a full application, a mortgage banker will review and provide you with the terms, conditions, disclosures, and additional details on the interest rates that apply to you individual situation.
