No one is suggesting that buying a house or an apartment should be like buying a rug in a Moroccan souk.
But haggling is now perfectly normal either way, especially when the real estate market continues to cool.
After all, up to one in ten home sellers reduce their asking price within 30 days of entering the market to increase their chances of attracting a buyer, according to new research from property buying specialist House. Buyer Office.
Buyer’s market: 1 in 10 home sellers lower their asking price within 30 days of entering the market to increase their chances of attracting a buyer
Clearly, the climate is conducive to haggling.
So how do you best negotiate your way to buying your dream home? We asked the experts…
Should I make a very low offer?
Doing this for no obvious reason can sour relationships. So do your research, assessing the condition of the property, the local market and potential demand.
Any small flaw will give you breathing room – “I would say that’s one of the most important things a house hunter can do, especially as a first step in the negotiation process,” says Simon Bath, of real estate technology company iPlace Global.
If it’s then clear that the property is too expensive, don’t be afraid to make a lower offer, recommends Jonathan Rolande of the National Association of Property Buyers.
However, he advises not to go too low, or you’ll annoy the seller and lose credibility.
“Remember, what you bid should be based, not on the asking price, but on what you’ve assessed to be the true value, and then bid below that.”
What makes me an attractive merchant?
“Cash is king,” says Thomas Goodman of MyJobQuote. co.uk. “Cash buyers are the safest option for sellers because there is no chain.
If you can’t buy a property entirely with cash, try to get as close to a cash buyer as possible.
Otherwise, making it clear that you’ve set up your mortgage helps to haggle. “Set your budget, gather all the documents you need, and be realistic about what you can achieve,” says John Jones, director of residential property at the Jackson Lees law firm.
Can you trust the real estate agent?
The real estate agent works for the seller, not for you. They are paid when the property is sold.
And the higher the price, the higher their fees. “The real estate agent has no right to lie, but they can create an irresistible urge to make your highest and fastest offer as soon as possible.
“So no, don’t trust them – trust yourself,” says Jason Corbett of Rowallan Buying Agents.
Instead, says Jonathan Hopper, CEO of Garrington Property Finders, if you’re going to haggle, ask them if there have been other offers.
“They should tell you if so, but not the amount, but it’s worth asking for the numbers just in case.”
And consider using a buying agent to deal with a selling agent, adds Hopper.
“Their efforts can often significantly reduce the price, which more than covers their fees.”
Can I haggle accessories and accessories?
Light fixtures, i.e. items fixed to the wall, must be included. Accessories, such as furniture, are open to negotiation.
“You could say I’m going to pay you this if you include that,” Corbett says. It can also help to know where the seller is going.
If they move from a house to an apartment or emigrate, for example, ask them if they will leave garden furniture and tools – they are expensive to buy new.
Should I disclose my budget?
Never, ever reveal the maximum you are willing to pay to the seller or agent.
“Agents love a buyer who says, ‘I’m offering £90,000, but I’ll go up to £100,000 if I have to,’ says Rolande. “They work for the seller and must legally report all offers, so be careful what you say.”
Getting into the conversation that you’re looking at another property can also help get things going.
