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I'm sorry, I don't get it. Why does it matter to the seller how I am financing the purchase? Or how much I'm putting down? This seems to be somewhat useful to realtors, but I don't see how it is relevant to the seller, especially if I'm the only buyer at the moment. Yes, on multiple equivalent offers they may prefer one buyer over the other based on the probability of closing, but with the property listed for a long time, and no buyers at all for a couple of months (this I know to be a fact at at least one property), there is no reason whatsoever for the seller to avoid verbal negotiations.
You don't think a seller cares how you are financing your offer? Or how fast you are looking to close?
I'm sorry, I don't get it. Why does it matter to the seller how I am financing the purchase?
Or how much I'm putting down?
Because even if you plan to pay cash in full...
the seller has legitimate self interest in being sure you can follow through.
And in the event that you don't follow through (it happens) that they have recourse.
Can you really not appreciate this?
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...there is no reason whatsoever for the seller to avoid verbal negotiations.
oi. not this again.
One might do the petty inclusions (drapes, riding mower, etc) verbally...
but one can't do the price itself or other significant factors that way.
Because even if you plan to pay cash in full...
the seller has legitimate self interest in being sure you can follow through.
And in the event that you don't follow through (it happens) that they have recourse.
And I have legitimate self interest to see which seller is more willing to negotiate.
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Originally Posted by MrRational
One might do the petty inclusions (drapes, riding mower, etc) verbally...
but one can't do the price itself or other significant factors that way.
It's the opposite: the price will be written down in the contract, so can be verbally negotiated about beforehand. Things like drapes, on the other hand, are usually mentioned in the contract as something "attached" and not itemized, and so many sellers often "detach" these items, regardless of whatever they had verbally agreed to.
And I have legitimate self interest to see which seller is more willing to negotiate.
...the price will be written down in the contract, so can be verbally negotiated about beforehand.
Oh. So... how's that approach been working out for you?
Wait ^^ maybe that clears up what I was saying....sorry if I misunderstood. Are you saying your Sellers tell Buyers with that Addendum "thanks but no thanks"?
No the way it works is we add a third signature to the contract. There is the buyer's initial signature on their offer, the seller's signature of acceptance, and then the buyer does a final signature confirming they have ceased negotiations with others and have officially accepted the seller's acceptance of their offer. So you delay mutual acceptance via the addendum to the final confirmation signature.
And no...I won't post the verbiage for it. I paid my company attorneys to craft the addendum for my company.
And I have legitimate self interest to see which seller is more willing to negotiate.
It's the opposite: the price will be written down in the contract, so can be verbally negotiated about beforehand. Things like drapes, on the other hand, are usually mentioned in the contract as something "attached" and not itemized, and so many sellers often "detach" these items, regardless of whatever they had verbally agreed to.
The net to a seller is what matters. So in an offer you need to include whether or not you expect the fridge or free standing range to convey. You need to clarify if you want closing costs. How fast do you want to close? A fast close might mean a seller has to pay for storage and they need to factor that into their net acceptance price. Out here for acreage people ask for riding lawnmowers, tack equipment as part of offers all the time. Those things have value and need to be considered along with the price.
Price isn't everything. I don't see how you can possible "negotiate" with just price. That just seems ripe for a sale fail to me, but I realize east coast real estate is totally different than west coast real estate.
(2) Another point many of you make is that "the offer is much more than a price". I called my agent today and told him to send me the contract to review. He was adamant that the contract is standard in NJ and that there is nothing to review - "just type in your name, the address of the property, and the price", and that any additional conditions are to be discussed with the lawyer during the attorney review. So if the contract is standard, then the offer is indeed only about the price, and thus can be delivered and reviewed verbally.
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Originally Posted by Silverfall
Price isn't everything. I don't see how you can possible "negotiate" with just price. That just seems ripe for a sale fail to me, but I realize east coast real estate is totally different than west coast real estate.
I'm having a difficult time believing any agent in any state would tell the buyer this. If it is, I would fire the buyers agent.
The experienced agent, who has worked both buyers markets and sellers markets will know the strategies that are likely to work best.
In cases where there are multiple offers on homes, the sellers may ignore the time deadlines because they're getting other offers in, and it's to their advantage to wait. They know that if the buyer wants the house, and the seller responds with an acceptance after the deadline, that the buyer will probably agree to extend the deadline. If not, then they'll go to the next buyer.
On the other hand, if the seller has two identical offers, one with a deadline that has passed, and the other with an open deadline, the seller will likely chose the one with the open deadline.
So in these multiple offer instances, the deadline means little because the offer, with or without a deadline, is only good until withdrawn by the buyer anyway, and all it takes to withdraw an offer is to have the agent email an offer withdrawal notice to the listing agent.
This agent did NOT meet the standards you describe. The deal was made despite her mistakes on a number of fronts, not because of her expertise. She's sold very few houses in recent years. I understand your point but it didn't apply in our situation. And in OP's situation he definitely needs to rethink his strategies and to get better informed but he does NOT need to complicate the process by not putting time limits on his offers.
This agent did NOT meet the standards you describe. The deal was made despite her mistakes on a number of fronts, not because of her expertise. She's sold very few houses in recent years. I understand your point but it didn't apply in our situation. And in OP's situation he definitely needs to rethink his strategies and to get better informed but he does NOT need to complicate the process by not putting time limits on his offers.
Putting a time limit of 6, 12, 24, 48, 72 hours, or not putting a time limit, are options to be considered in any offer, given the market conditions at the time. I don't say that any one of those will work for everyone all the time. They are just all options that should be considered, and a good agent knowing the local market well, and having a good feel for the listing agent and seller, should be able to recommend the best option. The seller, of course makes the decision.
Not putting a time deadline doesn't complicate things in my opinion. First of all it's probably only used when there are multiple offers and the seller is not going to respond right away no matter what deadline is set, and the house is going to be sold for certain within a few days. In that case it's possible for a seller to pass over any offers that have passed the deadline. It's simple for the responsible agent to stay on top of the situation so the buyer can withdraw the offer at the appropriate time.
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