Buying a home can be stressful; it’s a lot of money. No matter how badly we may want to be rational during a purchase, our emotions can run amuck. One of the triggers often revolves around getting the best price on a home. Who wants to “overpay”?! No one. Period. This blog post is going to dig into this topic to best position yourself for success when purchasing a home
Let’s be clear on something before we start, getting the best price in a multiple offer situation may be the difference between paying $25K or $5K more than another buyer. In most cases, you do pay “more” than your competitor, but getting the best price is certainly possible without blowing the bank!
No matter what type of real estate market we are in the midst of, there are tried and true tips for a buyer looking the get the best price on a home.
Here’s 5 tips for buyers to getting the best price on a home:
1. Choose A Great Realtor
We could list off a thousand reasons why you need a great realtor. We have seen far too many scenarios that went poorly based on another person choosing to work with a realtor who wasn’t knowledgeable or prepared.
A realtor who gets along with other realtors is essential! (we have successfully completed many deals because we connect well with other people, sellers and agents alike). How can you know whether the agent you are speaking to gets along with others? Ask yourself what they are like when you speak to them. Are they present? Do they express that they genuinely care? Do you resonate with their client testimonials? Scratch below the surface, it can be telling as to how people run their business and interact with others.
We have helped our clients get homes and condos for less money than other c0mpetitors because we connected with the other party by building trust. We have a reputation that has been positively received for well over a decade in the industry.
If you are one of the lucky few who can purchase a property in Toronto without being in competition, then you may have a chance to negotiate. There can even be small opportunities to negotiate when in competition, but don’t hold your breath. It may not be possible. A great realtor needs to navigate and advise wisely so that this tactic doesn’t create negative blowback.
3. Get Your Financing In Place
Speaking to a professional mortgage broker ahead of time for a mortgage pre-approval is essential. You must know what you can afford beyond a shadow of a doubt. Having a pre-approval will ensure that you
4. Do Your Due Diligence Ahead Of Time
Get a home inspection and financing pre-approval based on the property you are going for ahead of presenting an offer – this way, you don’t have any conditions. If you are looking to buy a condo, then have the status certificate viewed by a lawyer beforehand. Knowledge is power.
5. Try To Be Flexible
This may sound a little counter-intuitive, so bear with us. What we mean by “flexible” is that knowing where you can bend on price, closing date, contract clauses, conditions and deposit amount, etc. can help position you for success. By disclosing what flexibility you have with your realtor, it can help get the deal done when other options may appear to be exhausted. Creativity and flexibility can make a huge difference.
Are you preparing to buy a home? Call us, we would be happy to discuss how we can be of help. Click here to get started!