Negotiating With The Buyer
Selling your Las Vegas home when the competition is fierce requires far more negotiating skills on your part and your agent’s than when homes are in short supply and buyers are anxious to make a deal.
Under current market conditions in most parts of the country, it is most often the seller who is anxious to make a deal, and the crafty buyer may want to give the impression that he/she is ready to walk away at a moment’s notice if the seller is not extremely “flexible” in negotiating.
Of course, the buyer may really want to buy that particular home, but will know that he/she will have –and want to maintain- a psychological “edge” in a buyer’s market.
One the one hand, the buyer may be secretly satisfied that the asking price is reasonable and justifiable for a particular property, but with market conditions in his/her favor, an offer to the seller that is lower than the asking price is almost a certainty.
Contingencies aside, In order for a deal to be made, buyer and seller need to agree on a selling price, and the only way to get to that point is through negotiation.
Unless the property is exceptional in appearance and upgrades, and “sits” in a desirable location, the buyer’s negotiating position will be stronger, and the seller’s negotiating strategies must give consideration to that fact.
Of course, how a seller responds to a buyer’s offer depends primarily on how motivated the seller may or may not be. In fact, it is the seller’s degree of motivation that will dictate the seller’s response to an offer.
If an offer is reasonable, the seller may turn negotiations in his/her favor by requesting proof of the buyer’s eligibility to purchase the property. Having to prove financial stability and full lender approval to the seller now shifts the psychological edge to the seller, who now knows the buyer is anxious to close the deal.
If the buyer wants to purchase contingent upon obtaining financing, then, if that contingency is acceptable to the seller, the he/she is free to accept “back-up” offers that are themselves contingent upon whether or not the first buyer’s loan application is successful.
A whole other scenario occurs when the seller is highly motivated for one reason or another. In this case the seller should realistically calculate beforehand how far below the asking price he/she is willing to accept.
By setting a high/low price prior to marketing the property the seller will not automatically reject a “low-ball” offer if the offer is within the boundaries of the seller’s acceptable price range.
Having set the selling guidelines in advance, a deal can be made much quicker, and with less haggling on either side.
At North American Realty of Nevada you will find the Las Vegas Real Estate Agents with the experience and negotiating skills you need to successfully conclude any real estate transaction in Las Vegas and vicinity. Feel free to give us a call at 702-376-0088 with any questions.