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According to the Australian Bureau of Statistics, Australian residential housing prices have increased by 23.7% since Dec 2021. This means that as the value of the market increases by the day, the cost of properties also grows, making it partly difficult to negotiate housing prices or get a good deal.
This doesn’t mean getting the best deals on the market is impossible. There’s a way to get around negotiating a good deal, which is this article’s focus.
1. Understand What The Market Is Saying
It is okay to want to buy the best home in the neighbourhood with all the amazing features, great local schools and everything else, but what if there’s a better offer in another neighbourhood that’s just as good or even better?
To get the best price, you must do in-depth research to know what other similar properties in that area are being sold. What is affecting the price hikes, if any? What areas are people mostly buying homes in now? What are housing price variants in terms of states and their capital cities? Etc. Knowing these would equip you to negotiate better and get the best price for your new home. If you don’t have time to research the market, a property buyers agent, such as Locate Buyers Agency can do the searching on your behalf – finding you a house that you’ll love at a fair and reasonable price.
2. Don’t Let Desperation Put You At A Disadvantage.
Desperation makes you seem like you’d be willing to pay the house’s asking price regardless of how outrageous it is. Be ready to explore different options, especially if you don’t feel like the house is the last available house for sale in that area. Get your finances in order, and be ready to walk away until you get a favourable deal.
3. Get To Know The Seller
This doesn’t imply that you should reveal everything about your financial standing in a bid to get an amazing offer. Simply take a few steps further to know who the seller is and why he/she is selling. Do they want a long or short settlement period? Knowing the seller’s situation is important to save some coins. It gives you a bit of an edge while negotiating and will guide you to give a price that works for you and one they cannot refuse.
4. A Clayton’s offer may come in handy.
A Clayton’s offer is an unofficial offer presented to the seller to test the waters. It is not legally binding, and many buyers use it when looking into several properties. It gives the buyer a sense of where the seller’s head is regarding the house price and how much the seller is willing to knock off. If the seller accepts the offer, you can choose to go forward with it or back off if you find a better deal.
5. Don’t Get Attached To A Property.
Have you seen a home you like and would love to make payment for it immediately? That’s great. If your offer is being rejected, lean more towards the initial cost. If the seller is still not receptive and that conversation is not heading in a way that might benefit you, move on to another option. You shouldn’t break the bank hoping to get your dream home.
Property buying/selling conversations have a reputation for being uncomfortable. With these tips, you would surely get the best out of your negotiation and get your dream home in no time.