When are the Negotiations Over?
The primary negotiation in a home purchase takes place when the contract is agreed upon that includes the price, closing and possession. With inventory down over 19% in the past year and multiple offers being more of the norm than the exception, the first round of negotiations can be challenging. Buyers and sellers alike feel relieved once it has resulted in an agreement, but experienced agents know there is more to come if there are contingencies for financing, inspections, or other things. The competition for the home may be so tough that the buyer waived their rights for what would be normal contingencies. Financing is one of the most common contingencies in normal situations but when multiple offers are involved, the cash offers tend to have the advantage. If you don't have the resources to make a cash offer, the next best position is to be pre-approved with a commitment letter from the lender. Arrange for the lender to confirm the pre-...