If you’ve found a property that you love and want to make an offer, then you should know where to begin. No one wants to pay more than the market value, so find out how you can get the best deal with these considerations.
Research, Research And More Research
Before making an offer, it’s important that you do a ton of research on the property you’re interested in buying. You’ll naturally want to check these factors to make sure you’re making the right purchasing decision:
Crime rate in the area.
Whether the neighbourhood is suitable for your needs. (For example, schools, public transport and workplace proximity).
Lifestyle facilities like available in the neighbourhood.
Median price range of similar properties in the area.
Access to CBD, airports and train stations.
Demographics of the population in the neighbourhood.
Access to medical facilities.
Ask your Bank or Mortgage Broker for a Comparative Market Appraisal report on the property, so you get a better understanding of the estimated valuation before you make an offer.
Get Into The Seller’s Mind To Understand His/Her Selling Motivation
Try to get into the seller’s mind to understand his/her motivation for selling – it may just give you the advantage you desire during the negotiation process. Some sellers may want to sell the property urgently because of financial necessities or the need to relocate for work. These motivated sellers may be willing to bring down the asking price, so you can negotiate a better deal for your desired home.
Consider The Prevailing Market Conditions
Consider the market you’re buying in. If the home has been on the market for a long time, then buyers may have the upper hand. But in other circumstances, sellers may call the shots. If possible, wait until the market is good for buyers to negotiate a good price with the seller. This way you may be able to get great value for money on your new home without much effort. Talk to your real estate agent about good times to buy a home.
Understand The Process Of Making An Offer
Making an offer for a home can be slightly tedious, but a thorough knowledge of how it works will make your life significantly easier. If you’re going through a private treaty, you will need to begin by making an offer on a home in writing through a sales contract. This offer can be accepted, rejected or countered by the seller. If you’re in an auction, you will need to complete all your home inspections and terms before. Your offer must contain information about the sale price, terms of transactions, deposit amount, deed type, closing date and other requirements. Keep in mind that once you make an offer, you may need to pay an expression of interest deposit. This takes you one step closer to owning the property.
Making an offer on a home is always a big decision and should not be taken lightly. This guide helps you in your quest to consider vital factors when making an offer on a potential new home for you and your family.
If you’re looking to buy a property in Sydney, register to buy to be notified when a property matches your criteria.