Once you’ve found the condo of your choice and secured financing, you’re ready to place an offer on the unit. But before you do that, go through the checklist below.
- Look at the unit’s sales history
Research the building’s sales history and pricing information on similar units that have been sold prior. This will help justify the price stated in your offer letter.
- Find out why the unit is being sold
Is the seller under any pressure to sell as soon as possible? If so, it’s the kind of information you can use to your benefit at the opportune time.
- Ask if other buyers have made offers
If there are other bidders, you’ll have to make an offer that’s close to the listing price. However, you should still withhold your true level of interest to retain the upper hand.
- Keep your finances confidential
Avoid talking about financial information in the presence of selling agents. This might give them the impression that you can afford more, or that you’re not qualified as a buyer.
- Don’t make lowball offers
Making a really low offer could offend the seller and dissuade them from doing any business with you. Consult with your Realtor to make an informed offer.
- Set a ceiling
Determine how much you’re willing to pay for a unit. This will guide your decisions, and will let you know when to walk away from negotiations.
- Avoid seeming too eager
Remain neutral during talks with the seller. This keeps the other party from thinking that they can appeal to your emotions when negotiating.
- Don’t give your best offer right away
Putting everything on the table at once will make the seller think that you’re hoping to get more than you can expect. Proceed with your offer and concessions gradually.
- Discuss the counteroffer with your Realtor
The amount of the counteroffer is an indication of how low the seller is willing to go. Talk to your Realtor and come up with a price you think is fair.
- Don’t ask for additional concessions
If the seller agrees to lower the price, don’t push your luck by asking for more concessions. Arrive at a compromise in order to close the deal.