You do not buy a house or apartment every day. If you have found an interesting property, it is worthwhile for you to prepare well for the contract negotiations. We will give you 5 tips on how to succeed in buying a house Houston house buyers.
The seller has set a selling price. He wants to take as much as possible for the house or apartment, you want to pay for it as little as possible. The truth is, as so often, somewhere in between. For the price negotiations, you need good arguments, which is why you want to pay less. The preparation will cost you some time and money, but is guaranteed to pay off. If you want to buy a property for one million francs and you can trade the purchase price down five percent, you save 50,000 francs. At an 80 percent loan and a three percent mortgage rate, this is mortgage interest for two years.
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Well informed is half won
First, get a market overview. Compare the house or apartment with similar nearby properties advertised in the newspaper or online. Ask at the Building Department or at local real estate agents about the average square meter prices and talk to neighbors. They often know how many comparable houses or apartments have been sold in the neighborhood.
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Take a close look at the property
Usefully with an appraiser, who appreciates the possible remediation effort and in turn proposes a fair price. If this is below the selling price, name your arguments. Reasons for a discount may be moisture in the basement or in the rooms, road or aircraft noise in the vicinity or poor insulation of the facade.
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Do not buy under pressure
Now the negotiations can begin. The most important tip: Take your time and do not let yourself be rushed to a decision. A broker’s wisdom puts it in a nutshell: “A home purchase that has not been done is at best regretted for a week at most, a carelessly bought house for a lifetime.”
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Negotiate depending on the negotiating position
Try to find out the negotiating position of the seller. How does he react when you list your arguments for a discount? If he dodges, there may be other prospects. But if he meets you without long discussions, you are in a better position. He probably has to sell because he needs the money or the object is (too) long on the market.
If the seller does not want to meet you, or only slightly, you are dealing with tangible assets. For example, internals, the full oil tank or the acquisition of brokerage fees. Or offer him a faster payment of the purchase price and calculate his interest loss if he turns down your offer and the house or apartment remains even longer on the market. That’s fast a few thousand francs.
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Put everything on a card
If you do not have good arguments for a discount, put everything on a card. Make the seller a non-negotiable and time-limited offer. If he answers, you have won something despite missing arguments. If he does not respond, you will lose little time and can look for another house or apartment.