Articles About Real Estate Broker

Real Estate Contract Negotiation

Tips to keep in mind when your negotiation starts

If you are planning to sell your home at some point you will need to negotiate a contract with your buyer. Generally it is the buyer that proposes the contract when they make a purchase offer, however as the seller you need to consider which parts of their offer that you can live with, and where you want to counter and negotiate a deal more in your favor. Here are a few tips to keep in mind as you engage in this process.

1. Although not all contracts are the same, and you generally cannot control which contract a buyer will use to make their first offer, you can familiarize yourself with standard contracts in your area. If you are using a FSBO service ask them for a sample contract. Any good contract template will give you a good idea of the various elements of a contract, all of which can be negotiated.

2. Know what you want before you start negotiating. Negotiating any contract is difficult if you are doing it on the fly. Before you start you should have an idea of how much you are prepared to spend on closing costs, which areas you are willing to compromise on, your minimum price etc. Even if you do not know every last detail, it is still very important to have an idea of what you want to accomplish.

3. Although everyone wants a contract that works to their advantage, it is very difficult to get a buyer if you negotiate on a very hard line. The more familiar you are with the elements involved, and the more you have decided in advance where you can compromise, the more prepared you will be to meet the buyer's demands. For example, if a buyer wants you to pay for a home inspection (which we would not normally want to do) you may counter by agreeing to this if the buyer reduces their inspection period from 60 days to 30 days. This would probably save you more money in mortgage payments than the inspection would cost.

We could not hope to enter into a detailed discussion of all the finer points of negotiating a real estate contract, but as with any other aspect of real estate, research an planning should put you in a good position to negotiate like a professional.

John has been investing with Marcher Properties since its inception in 2003, and was one of the leaders responsible for taking the company on its quick rise to $3 million in asset value in less than 3 years.

Recognizing that this kind of rise is not without risk John committed to outlining some of the challenges that Marcher Properties faced during this time as a guideline for other investors. John also provides information to investors, home buyers and sellers on a wide range of real estate related topics. Visit his websites at:

www.sellmyhouse.mpllc.biz www.marcherproperties.com

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