Price is vital for buyers and vendors in a property deal. While many factors need to be considered, the price you pay or receive is likely to be the most critical issue for people. Therefore, you need to know what happens in the negotiation process and how to get the best result.
You will likely find there are agents, experts and specialists who suggest having a single strategy when negotiating. However, this isn’t negotiating; this is more bullying! There will be times when you can have a consistent policy, and it serves you well, but there will be times when you need to be more flexible.
You have probably heard advice that buyers should make an offer that is around 5 to 10% less than the asking price. This may get results, but what happens when vendors become aware of this strategy. There has been a focus on estate agents setting a higher asking price than what they may value the home at, but when buyers take a consistent approach to offers, can you blame vendors for adapting their price to counteract this strategy?
You need to pay attention to trends
Current behaviour and trends matter when it comes to the property market, and around one-third of homes see their asking price is reduced when they are on the market. It makes sense to review your local market for homes that have been reduced and whether there is a current trend. This may influence your strategy when it comes to what you do next in the housing market.
Local amenities influence your next action
It is wrong to state a universal approach that works for price negotiations because there is no such thing as a standard house. The level of local amenities influence buyer demand, and this influences the prices on offer. If you live in an area that exists in an affected school catchment area, there are great local transport options, and there are plenty of entertainment and socialising options, the price is likely to be higher.
Also, with demand being higher, vendors know that a buyer is likely to offer them the price they want, so coming in with a low offer won’t appeal to vendors.
Your circumstances and budget will influence how you negotiate, but you need to pay attention to external factors.
With convenient transport links to the centre of Manchester, and significant developments taking place, Stockport is the ideal place to buy, live or invest. As Stockport property specialists, we want to ensure you stay in touch with the latest property news. If you are looking for assistance in this area, give Spencer Harvey a call on 0161 480 8888 or send us an email at info@spencerharvey.co.uk. For a free valuation please visit: https://www.spencerharvey.co.uk/valuation-enquiry.html