In talking with real estate professionals across the country, I noticed that most of them are expressing concerns about dwindling or dismal inventory for sellers to consider.
Most are advising that if potential buyers learns about a property that appeals to them, they should run – not walk – to check it out. Even those who are the first to learn of a new listing should be prepared to negotiate against other aggressive and possibly well-financed contenders.
In the next few segments, we’ll take a look at what prospects need to know when they are pursuing, or competing to get into a new home in a tight inventory market. We’ll also provide some insight to sellers who want to get their price.
A blog at helpinghomesellers.com, has good advice for sellers who want to respond to low ball offers. The site suggests instead of getting into a debate about money, try sweetening the pot with a variety of counter-offers, including:
- Paying for some of the buyers’ title insurance, closing costs and/or points.
- Pay homeowner’s association fees for a year.
- Look into buying down the buyers’ mortgage rate for the first year.
- Cover a year’s cost for a lawn-maintenance/snow removal service.
- Pay or provide an allowance toward moving expenses.
- Provide the buyers with a home warranty.
- Pay for the lawn and pool services for a year.
- Offer a golf club membership, pool membership, or cable subscription.
- Offer an allowance to repaint, new carpeting or for window treatments.
Incentives, especially for first time homebuyers, can often do the trick, the site states.
Investopedia.com says even in declining markets it is extremely important to be cognizant of comparable properties, and to price one’s home to entice potential buyers to view it and ultimately bid on it.
That site says sellers should reject the temptation to hold out for top dollar, or to price the home at the upper end of what the market will bear. To get a sense of what similar homes are selling for, Investopedia.com recommends:
- Attending open houses
- Perusing the newspaper for local listings
- Ask a real estate agent to print up comparable listings on the multiple listing service (MLS)
This post has been authored by Eric Slifkin, REALTOR® serving South Florida’s Treasure Coast. You can reach me at 888-288-1765, or visit my Web site. As your resource for information on new or resale homes throughout the Treasure Coast, please be sure to contact me about any home you may find on the Web, yard sign or ad and I will research the property, arrange showings and handle all the details.