LOVELAND – Home inspections are an important step in the home buying process. How the results are negotiated can often make or break a deal. As a home buyer, it is important to understand how it works so that you can achieve your goals without compromising the deal. Here are some tips that may help.
Do not use inspections specifically for negotiations
Sometimes home buyers make an initial offer with the intention of negotiating a price reduction after the home inspection. This is never a good idea! You should always act in good faith at the offer stage and be comfortable with the amount that you are offering. Never use the inspection specifically for price reductions as you do not know what may be uncovered and whether a price reduction would even be reasonable.
Separate problems from suggestions
It is common for home inspectors to identify issues as well as make general home improvement suggestions. You cannot reasonably ask a seller to complete upgrades suggested by the inspector. If the home included such upgrades, it would have been listed for sale at a higher price to begin with. Inspections should focus on actual issues.
Prioritize issues and negotiate fairly
A common reason why deals fall apart is that one party feels offended and is unwilling to compromise as a result. Keeping a good working relationship with the sellers will make them more amenable to your requests. Approaching inspection issues fairly is key to doing so. Avoid giving sellers the sense that you are nitpicking. If the list of issues is quite extensive, consider focusing on just the major items and overlooking the minor ones. Your agent can give you valuable guidance on this and help you approach the seller in a manner that increases your chances of success.
It takes both sides to compromise
Both buyers and sellers must compromise to some extent to keep deals together. When one side holds a rigid position, it usually leads the other to do so as well. That’s when everything tends to fall apart. Even if you do not feel that you should be compromising, giving in just a tiny bit can go a long way to staying in a seller’s good graces. As mentioned earlier, when there’s a good working relationship with the sellers, they will be more willing to give you what you want.
More negotiating tips
Every situation is different and may require a unique approach to negotiating inspection results. This is where working with an experienced agent can be a huge help. Agents use their knowledge and creativity in negotiations to help keep both parties at the table, working together to achieve a common goal.
Suzanne Plewes is a Broker Associate at RE/MAX Alliance in Loveland. For real estate questions write to 750 W. Eisenhower Blvd., Loveland, CO 80537, call 970.290.0373 or e-mail [email protected].