Set Your "Best and Final Offer" - Start with your best home offer and then negotiate from there.
Be sure to do your research and some due diligence before you start negotiating. Read up on the average sale price of the homes and neighborhoods that you are interested in. The first step in the Arizona home buying process is researching the average sale price of homes in that neighborhood. Market Reports will give you an idea of the market rate for homes.
Are you looking for a new home? Your real estate professional will be the best person to help you find what you need. That's why it's so essential for them to understand your needs and wants and then provide you with the information that will help you make an educated purchase.
Know what other people are willing to pay for a home like yours before you go into negotiations.
Buying a house can be stressful. You want to be sure that you are getting the best deal but do not know what other Arizona home buyers are willing to offer for your type of home. Your agent can help you with neighborhood market reports and buyer home evaluations. This information can help you get to win with the correct offer amount and conditions.
Make sure that your offer is fair and is what you can afford, but also make sure it's not too low.
Consider What You Can't Afford - Know what you can't afford and don't overbid the house to get it.
Assume you've been in your home for a few years, and you're ready for a change. You want to find a new home, but you're not sure where to start. Whether you are looking for a home in the city or looking out in the suburbs, there is one thing that everyone needs to keep in mind.
It may seem like common sense, but it bears repeating: don't overbid on a home! You could be going well over budget and not even know it until after the seller accepts the offer! That's because so many things can happen when you place a bid on a property, from appraisals to inspections to financing.
To avoid getting yourself into trouble with mortgage lenders or sellers who have other offers on the table, if your budget allows up to a $400,000 home, don't look at homes over $380,000 in this market. Leaving yourself room if the seller does a multiple counter offer asking every buyer to make their highest and best offer.
Be Flexible With Your Offer - Prepare to be flexible with your offer to make it more appealing to the Arizona home seller, but make sure to stay within reason.
Be prepared to be flexible with your offer if you want to make it more appealing to the seller. But don't overbid. Consider allowing a more extended closing for the seller to view homes and make a purchase they can afford while making an aggressive offer.
Many people think that if they have a more substantial or better offer, they will have a higher chance of winning negotiations. In reality, it is not about having one firm offer but rather having the best chance at a successful closing.
You are making sure you are pre-approved and pre-qualified. It shows the seller you can close the transaction with the least amount of bumps in the road.
Show Off Your Strength, Not Your Weaknesses - Emphasize all of the reasons why you are a great buyer to see if they can be satisfied without any further negotiation required on their end.
Buying an Arizona home is one of the most significant decisions that you will make in your lifetime. You want to be confident that you are making the right decision for your family.
One of the most critical factors to ensure your success is getting pre-qualified and pre-approved. This gives you three main advantages:
1) You can save time by not wasting time with lenders who aren't willing to work with you.
2) You can save money by giving yourself a better negotiating position on the purchase price, terms, and conditions.
3) The seller will see you are ready to go.
4) Be ready to make some repairs and updates.
Sometimes letting the seller know that you will be doing an inspection but probably not asking for repairs can be helpful.
Some buyers will inspect the home and ask for every repair. This is a seller's market, so if you are willing to take on a few small projects and let the seller know, he won't be burdened by this. That can help the negotiations. Never waive the inspection. You have to look for significant repairs or dated items. That way, you will know the cost of ownership and negotiate according to the home's condition and age of major appliances.
Look at homes in suburbs or further away from Phoenix with less real estate activity at your price.
The suburbs and the city of Phoenix itself offer some great homes. If you're looking for a more suburban lifestyle, some affordable homes in Surprise may be more your speed. Also, if you desire a somewhat closer home to Phoenix and all that it has to offer, Scottsdale may be a better fit for you.
You can also try looking at homes in the suburbs. Getting further away from Phoenix may not be in an as aggressive market. Homes may be less expensive and also be a way to save on your mortgage. One downside is that you might have to take a longer commute, but it could be worth it if you're saving money.
If you are looking for a little more peace but still want access to metropolitan areas, you should consider going a little bit further out of town. Towns in Arizona like Surprise or Chandler offer a quieter lifestyle in a more affordable price range.
Bottom line:
Talk to us about your desired new home location and goals way before you start your home search and pre-approval. This way we can help you through the process as smoothly and efficiently as possible.
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