Making the Best of a Buyers' Market

A successful real estate investment is dependentthousands of dollars worth of sales incentives
on many things, but one key factor is timing. It'ssuch as free landscaping, appliances, television
all fine and dandy for real estate gurus to chantsets, hardwood floors, club memberships, trips to
"buy low, sell high", but in the real world thingsHawaii, and even swimming pools. Seek out new
don't always work that way.developments with lots of empty homes for the
In today's real estate market, buyers have abest deals.
definite advantage. Attractive interest rates,When negotiating with builders try to negotiate
plenty of inventory to choose from, and best offree upgrades. With existing homes, see if the
all, sellers eager to do business make this yourseller will fix that leaky roof or stained carpet as
time to shine. Here are some tips to help youwell as pay for the home inspection.
take advantage of this rare opportunity known asWhen making your offer, begin with 15 percent
a "buyers' market."below the asking price. It's not low enough to be
This is one clearance sale where you can takeinsulting, and will give you a good place to begin
your time browsing through the merchandise.negotiations. Always request a time frame, such
View plenty of homes, taking notes on each one,as 24 hours for the seller to respond to your
and paying special attention to those that haveoffer. On the other side of the coin, ensure you
remained on the market longer than others.allow plenty of time to have the contract
Take time to check out the foreclosure market.approved at your end and book any inspections.
A good agent will help you negotiate the ins andRequest a written warranty for one year of
outs of these purchases. They can take a littlecoverage on appliances or major repairs. If you
longer than your average sale, may involve morehave it in writing, at least you have something to
paperwork, and houses may need some lovinggo back to. One way to discover the seller's true
care, but don't be too quick to discount thembottom line is to reject the counteroffer. You
because of this; a golden egg may be lyingwouldn't do this in all cases, and you certainly don't
beneath their neglected exterior.want the seller to get his back up because of it.
What happens when a store has too muchYour negotiations should not be restricted to the
inventory? They have a sale and usually offerseller. Your real estate agent may agree on a
incentives to encourage you to buy. The samereduced commission. When shopping for a
goes for the new home market. Builders havemortgage lender, engage at least three banks and
been left with a glut of unsold houses and manysee who offers the best terms, such as lower
are willing to chop prices, and throw in addedinterest rates or reduced closing costs.
perks to boot. In some cases, this can amount to