Currently, the country is largely experiencing a seller’s market due to a combination of strong buyer demand and limited availability. However, even though sellers may be in charge, they still need to bargain in order to receive the greatest price and offer. Therefore, it’s crucial for sellers to understand the negotiation tactics that will accomplish that for them. Continue reading to learn how to haggle over bids when selling your house in Sacramento.
Counter at Your List Price
Real estate offers and counteroffers are frequent, and purchasers anticipate some back and forth discussion. Countering at your list price is a strong negotiating strategy when selling your house in Sacramento.
Since first offers are frequently less than the asking price and frequently less than what buyers are actually ready to pay, it is uncommon for a house seller to accept a buyer’s initial offer. However, because they are worried about losing the prospective sale, the majority of sellers “will make a counteroffer with a price that is higher but still below their list price. To complete the transaction, they want to appear open to compromise and adaptable. As thousands of sellers can attest, this tactic does in fact work to sell the property, but it’s not always the best way to get top dollar.
You should reply at your list price rather than making a counteroffer lower it. “A person that is serious about buying will keep in touch and make you a greater offer. If you’ve first priced your property fairly, countering at your list price indicates that you are aware of its value and that you aim to obtain the compensation you are due.
Just be aware that some customers may be put off by this tactic and walk away because they perceive it as a lack of willingness to compromise. Before taking any action that would jeopardise the transaction, make sure to speak with a Sacramento agent. Call (916) 507-2502 to learn more about this.
Set an Expiration Date for the Counteroffer
Another effective strategy used to negotiate offers involves putting an expiration date on the counteroffer.
Your home will sell more quickly if your counteroffer has an expiration date. “This tactic forces the buyer to choose, so you can either get your home under contract or find another place to live. Though you shouldn’t make the deadline any shorter than what is provided by default in your state’s standard real estate contract, you might want to think about doing so. You could change the default expiration from three days to one or two days.
Selling your house in Sacramento more quickly with a counteroffer that has a deadline offers an extra benefit. Additionally, your house spends less time on the market. “Your home is effectively off the market, despite the excellent counteroffer. A lot of purchasers will hold off on making an offer while another negotiation is going on. Additionally, you’ve extended the official number of days your house has been on the market if the deal falls through. Your home becomes less appealing the longer it is on the market, increasing the likelihood that you will need to reduce your asking price to find a buyer.
Reject the Offer
If you’re bold enough, you can try one of the more extreme tactics to negotiate offers, one that is riskier than countering at your list price. You simply reject the offer and don’t counter at all.
You request the buyer to submit a fresh offer after rejecting the initial one. The buyer will typically continue playing the game and make a larger offer if she is sincere and genuinely interested. “This tactic conveys more strongly that you are confident in the value of your property and the price you are asking for it. Unless the buyer decides to play hardball and submit the same or even a lower offer, they will need to increase their offer if they resubmit.
And thus is the risk: if you reject the offer, the buyer might not make a higher offer or might just walk away. However, since you haven’t countered and are morally and legally “locked into a negotiation with a particular bidder,” you can accept a higher offer if one comes up. You should probably speak with a Sacramento agent at (916) 507-2502 before using such a drastic measure, though.
Ask for the Highest and Best Offer
Invite purchasers to submit their highest and best (also known as best and final) bid at the beginning as a final negotiating strategy. By doing this, you can acquire better bids immediately away and steer clear of the offer-counteroffer cycle’s hassles.
“Using this strategy as a seller means that you won’t negotiate with every prospective buyer that submits an offer. Instead, you want customers to provide the best possible sale conditions and the greatest amount they’re ready to pay. A deadline by which potential purchasers must submit their highest and best offer is often included in this strategy. Making this request lets buyers know that you’ve received several bids, which usually leads to more aggressive offers.”
Lean on Your Sacramento Agent’s Expertise
These are a few efficient negotiation techniques, although there are others, and not every technique will be successful in every regional market. Because of this, the majority of sellers must rely on their local agent’s expertise to negotiate offers and obtain the best price. And we have skilled agents who can assist you in doing just that. Contact us at (916) 507-2502 if you wish to successfully negotiate offers.