Buying a house is a big investment, and it can take time to find a house you love that is within your budget. If you find a house you really love that is priced a little higher than your budget amount, you might still be able to buy the house; however, it might require some negotiations. Here are several ways you can negotiate on a house you want to buy.
Offer a lower price
The simplest way of paying less for a home than the asking price is by offering a lower amount. The person selling the house can always reject the offer you make, or the seller can counter your offer. If you do this, you might be able to buy the house for a lower amount, but this will really depend on how badly the seller wants to get rid of the home. If the home has been up for sale for a very long time, the seller might agree to a lower amount. The seller might also agree to accept a lower amount if he or she needs to sell the house quickly.
Ask the seller to pay some of your closing costs
A second option you have is to see if you can negotiate with the seller on the closing costs of the home. When a home typically sells, the seller will be responsible for paying one main closing cost, which is the commission to the real estate agent. The buyer, on the other hand, will have a lot of different types of closing costs to pay. Altogether, the closing costs on a home can be equal to roughly 2% to 7% of the selling price of the house.
If paying these costs puts you over your budgeted amount, you could ask the seller to pay some or all of them for you. The worst the seller could say is no, but there is always a chance the seller will agree to it. If the seller agrees, you will be spending less on the house.
Ask for repairs to be made
A third option you have is to ask the seller to make a specific repair or improvement to the home. If you really love the home but need this one specific task done, you will end up having to pay for it if you buy the house, unless you can convince the seller to do so. To do this, place a contingency in your offer that states you will buy the house if the seller makes this repair.
If you would like to learn more about negotiating when buying a house, talk to an experienced real estate agent today.