Selling your home can be a stressful experience. You need to make sure that everything is in place and that you’ve done all the preparation you can before you list it. But even with all the preparation in the world, you still need to know how to negotiate with your buyer and keep your home valuation in check.
Use concrete facts to validate your asking price and consider anything about the house that could be used as ammunition to lower the sale price. In our latest post, we will provide negotiation tips for selling your home.
Negotiation Tips for Selling Your Home in New Jersey
Inspect First, List Later
Having an inspection done before potential buyers see your home can be extremely beneficial to get your asking price without any haggle. An inspection will usually cost less than $400 and can tell you everything in your house that should be fixed. If you tend to these issues beforehand, your buyer’s inspection should come up clean and the potential buyer won’t be able to hit you up for repair costs!
Consider Throwing in Extras
Let’s say someone had toured your home, commenting on how nicely everything is set-up. You are pretty certain this person is interested, however, they seem to be on the fence. You could offer to throw in furniture, (or certain pieces) in with the house! The options with this are endless. You could offer a golf-cart, riding mower, kayak… you get the idea! Some buyers are looking for something fun for their new house, while others would prefer a $1000 gift card. Consider incentives, sometimes even a small token can help get an offer on the table.
Don’t Be Emotional
Before you start getting offers in the door, you will want to set your limits. Set the absolute lowest price you will accept for the house. Do not go under that price no matter what the situation. If you do not get any offers, you might have priced the home incorrectly or maybe it simply isn’t the right time. Have a backup plan in place. In sales terms, they call it “BATNA.” This stands for “best alternative to a negotiated agreement.” Let’s say you don’t get the offer you want, have a plan in place to rent the home out for 1 year and try again. If you are prepared with an alternative, you won’t end up selling your house for less than it’s worth. Plus, it will keep you in control. You never want to appear desperate to sell.
Facilitate a Bidding War
If you are fairly confident your house will receive many offers, you might choose to let buyers know you will be “reviewing all bids at 5 pm on Friday.” This will create a bit of a buzz. People will want to outbid each other knowing there will be competition, so you will likely receive higher offers. If your house isn’t primed to receive many offers, this strategy isn’t for you. You are better off checking out each offer as it comes in.
Learn About The Buyer
To help you better negotiate with a buyer, take some time to learn about them. What situation are they in? Do they need to move right away? Are they financially able to pay full price? What is their motivation for wanting to move? If they need a bigger house for their family, you can play up how large the finished basement is. Do they like sports? Talk about their favorite team. Creating friendly conversation will help your negotiations go more smoothly.
For most people, selling a home is a daunting prospect. It’s a big commitment with lots of unknowns. But it doesn’t have to be. If you approach the selling process with the right mindset, you can make the process go as smoothly as possible.