After all the time searching for the perfect property, you’ve finally found THE ONE. Now what?
Making an offer to purchase a property is not a step in the home buying process to take lightly. Just because you submitted an offer through your real estate agent does not necessarily mean it’s yours. Keep in mind that the seller does not have to accept your offer if they think it’s too low or contains too many contingencies compared to other offers etc. They can either accept, decline, or make a counteroffer.
The price listed on the home that the seller and their agent decided on is called the asking price. This is not a set in stone number, this is when the power of negotiation comes into play. You should decide on the price your are offering based on help from your real estate agent. One of the great things about using a licensed agent is that they have access to previous and current home sales that you may hear be called “comparables” or “comps”. Hopefully the listing agent used these to help the seller determine the listing/asking price and it should not be too far off. A couple other things you should use to consider the in offer is the current condition of the home and the market conditions in the economy at the time. If it’s a buyer’s market, you may be in luck and have more of what economists call “buying power” and more room to negotiate.
I will drop this link to a checklist of making an offer so you can see the different steps. Make sure when you are sitting down about to make an offer on a property, that you are truly ready. This is ultimately your decision and no one should push you to make the purchase. This is a legally binding document and a big commitment if accepted, do this on your time! Remember every case is not the same, and working with an licensed real estate agent will help reduce risk and help the process go over smoothly and (hopefully) successfully.