Negotiating
The Home Sale/Purchase:
It is in the past that we find the quaint efficient way to handle the
negotiations of the real estate contract.
The simple concept of 'in good faith' has (over time) been strengthened
by the holding of earnest money.
Earnest Money and Faith are held hand
in hand.
Hence, the seller and the buyer have typically agreed to
earnestly act in good faith in order to make a real estate deal happen.
The Realtors and the real estate attorneys involved in the transaction
take on the roles of coach and referee, while the mortgage lender
provides the ball. Pulling a fake out will be grounds for a penalty, so
remember to act earnestly (and always) proceed in good faith.
The subject at hand, has to do with today's real estate market.
The market has had a huge shift in prices, and reasonable sellers have
lowered their expectations along with their prices. It took some time,
but the adjustment seems to have taken place across many real estate
markets.
Unfortunately, the adjustment has not made it over to the buyers side.
Rumors and misinformation have filled the minds of reasonable buyers and
turned them into vultures looking for road kill.
There is a supposition
that all sellers are in foreclosure and desperate to sell their homes.
The news media reiterates this information daily.
And, here, below, is a look at how this type of transaction works in
real life:
The sellers get the offer, it's 30% below list price.
NOTE: The sellers have already priced their home 30% below market value
(what they would have received a year ago. Their home is adjusted for
what is now current fair market value.
The sellers counter offer looks something like this:
"We will reject your offer. See, we are not desperate. We just want a
reasonable offer, not a low ball offer 30% off our asking price. Okay,
to be fair, we will counter the offer.
Absolutely, counter it at full price, not a penny less."
The buyer then cops an attitude:
"There are plenty of homes on the market and I will just keep looking
until I find someone who wants to actually sell their home."
The Realtor, interjects:
"The sellers have made their home sparkling clean, model perfect; they
have packed up most of their daily possessions; they have brought the
home to new current market values...they have had the home pre-inspected
and are offering a home warranty with it as well. It should handily
appraise. The sellers aren't in foreclosure, what information are you
basing your offer on other than you were told all sellers are desperate
and they will accept any price? "
The buyer:
"This is a buyers market and if the seller is going to be unreasonable,
I will just keep looking."
A thought about this. The sellers may be facing a difficult selling
market, but unless you are a cash buyer, the seller has to take it your
offer on good faith; that you will earnestly march forth and provide the
lender with all the documents that they may need to get you (the buyer)
through to the closing table.
What if sellers took the stance that all buyers were unqualified because
of new strict lending policies or looming layoffs. Yes, you may qualify
now, but rumors that the ax is falling on more jobs means that you may
never close.
The negotiation of real estate purchases is still a two way
street.
People typically buy houses to make them into a home. If you are an
investor, stick with the foreclosures. If you are honestly looking for a
house for you and your family to call a home, then proceed in such a
manner.
Again, from the sellers:
"When you get serious about offering a negotiable price, we can move
forward. We are not overly proud nor are we desperate. If you don't want
the house at a fair price, and don't want to act in good faith, maybe
this house isn't for you. We are looking for someone to work with.
Someone who will love our home, the moment they enter it. Not someone
looking for road kill. In the mean time, we are going to seek other
buyers."
This conversation, sprinkled with a little attitude and you have a
perfect recipe for a terrible sandwich. One that will leave a bad taste
for real estate in everyone's' mouth.
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A Home Quiz for you:
Have you heard any of these sayings before?
Home is where the heart is.
Home is where my honey is.
Home, sweet home.
Real estate is a good sound investment. The home buying and selling
transaction is like none other.
It is tied to heart strings...emotions.
If you find a home you love, proceed forward with your negotiations, and
be realistic.
Eventually, the shoe will be on the other foot, and
someday you will be the home seller.
You will find yourself hoping that
someone will come along and buy your home, and that they too, will love
it like you do.
A Real Estate Win
You win when you choose a solid agent to represent you.
You win because with your new found protagonist, you will have a better
footing.
Your elected agency keeps your interests at front (not
the rear).
You win because you are represented by a professional. Not a
friend or family member's advice(unless they are a Realtor).
But you mainly win because you made a conscience decision that
you would not do this alone.
Face it, without professional representation you risk more than you know.
Would you go it alone on a $100,000 law suit? Or would you hire an
attorney?
Would you go it alone, if your taxes were in question and your payout
could be in access of $100,000?
Why would you purchase (or sell) the biggest investment in your life,
without professional guidance?
We are trained to be real estate guides, the sounding board, and the helpful adviser.
Winning, simply put, has no surprises.
It is the culmination of actions
put into place that have proven results.
Why Buy Charlotte Real Estate Now
I've never seen a better time to buy. Thirty year
interest rates are at all time lows, (almost 5%), housing prices are about
as low as they can get.
So if you want to get in on the best deals in a decade, sleeping
on this or sitting on the fence is not advised.
If you remember laments of old "If I had only bought back then" then you
realize that the time to act is now.
Call me. We are ready, willing and able to
assist today.
IF you are one of the lucky ones ready to buy, then congratulations!
Count yourself as one of the winner's in this new economy.
Don't By Shy! Call Us~704-975-1733
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