Negotiating a House Price as a Buyer

Tips for Negotiating When Buying a Home

Buying or selling a home usually involves negotiation. Sellers often set a higher price, and buyers may start with a lower offer. If you are the buyer, these tips can help you get the best deal.

1. Get Help from a Negotiation Pro

A Realtor or real estate agent is your best advocate during negotiations. They can suggest a fair offer and point out areas to negotiate beyond the purchase price, such as closing cost assistance. They also communicate directly with the seller or their agent.

2. Get Preapproved

Start negotiations with a preapproval letter from your lender. This shows the seller that you are ready to buy and may make them more likely to accept your offer.

3. Include a Home Inspection

A home inspection contingency gives you leverage. If the inspection finds serious or costly issues, you can request repairs or a price reduction. You can also back out of the deal without penalty if necessary. Sellers may agree to fix problems rather than lose the sale.

4. Stick to Your Guns

If you cannot agree on price or terms, this home may not be the right one. Don’t be afraid to walk away. List your deal-breakers in advance and stick to them. This is especially important if you’ve been house hunting for a long time.

5. Make Your Case

In a competitive market, a personal letter with your offer can set you apart. Keep it honest and concise. Share why you love the property and why you want to make it your home. This can make the seller choose your offer over others.

Final Thoughts

Some people enjoy negotiating, while others find it stressful. Working with a professional can make the process easier and help you get into your new home faster, often at a better price.