The median selling price of homes is 99% of the listing price. If you’re the seller, that’s good news for your profits.
Getting your full asking price or close to it doesn’t just happen, though. You need to know how to approach sellers to make them feel comfortable with the deal. Knowing how to handle a house negotiation helps you get the most money for your home without scaring off potential buyers.
Use these strategies to maximize your sale price.
Get Your Home in Excellent Shape
Prepping your home to get it into the best condition possible helps during negotiations.
Doing small repairs, improving curb appeal, and making your home look nice gives buyers fewer things to complain about or use against you in negotiations.
Offer a Home Warranty
A home warranty gives potential buyers peace of mind about potential repairs. They may be less likely to add requests for repairs or allowances for upgrades if they know they’re getting a home warranty.
Home warranties typically cost between $300 and $600 per year. It’s a small expense that may make the house negotiation process easier.
Don’t Share Too Much
Sometimes you need to sell your home quickly. Maybe you’re moving out of state, getting divorced, or are trying to avoid a foreclosure.
Letting potential buyers know this information may seem like an advantage because you’re showing that you’re motivated. But knowing that you need to sell quickly tells the buyer that you may be willing to accept less.
This can shift control of the negotiations to the buyer and make it more difficult for you to come out ahead.
Hold Off on Accepting Offers
Are you hoping for a bidding war? You can’t guarantee you’ll have multiple offers, but one way to increase the chances is by waiting to entertain offers.
One way to do this is to schedule an open house shortly after putting your home on the market. Refuse to look at any offers on the home until after the open house.
This method doesn’t work well in a buyer’s market. When buyers have plenty of options, they won’t want to wait around to put in an offer. You also aren’t likely to create a bidding war.
Up Your Selling Price to Cover Closing Costs
If a buyer wants you to pay closing costs, cover repairs, or make other concessions, consider agreeing but counteroffer at a higher selling price.
The buyer often asks for those terms because they don’t have enough cash upfront to pay for them. They may be willing to take out a slightly higher loan to cover the increased sale price so they can get those costs covered by you.
Win in a House Negotiation
Heading into a house negotiation with a solid strategy helps you keep your cool. Educate yourself on the process and know what you want out of the deal to increase your final sale price.
Do you want to avoid the negotiation process completely? Contact us for a cash offer on your home.