So, you’re selling your home (house, townhouse, condo, apartment, land,
lot, farm, ranch, etc.), what can go wrong? The sad fact is that a lot
of things can go wrong. However, don’t despair, there are almost as
many solutions as problems. In this article, we look at problems
related to pricing and a buyer’s inability to get a loan.
Price Negotiation
A problem that shows up all too frequently during contract negotiations
is that the seller has left no room to negotiate the price. If the
seller shows no flexibility, they are apt to chase buyers away. Mad.
The solution is simple and obvious, price your property a little higher
than you feel you have to get. It needs to be a reasonable market price
for your home, but you can start at the top of the market. Then, if
your buyer wants to negotiate price, you have built in wiggle room.
Price isn’t the only thing that matters to buyers. Settlement and move
in times are important, too. This is especially true if the move
involves a new employment situation, a new school district, etc. If you
can be flexible on those points, that can tip the choice to your
property over a competing home.
Another sticky wicket during contract negotiations is encountered when
buyers ask sellers to pay all, or some, of the buyers’ closing costs.
Often, sellers’ knee jerk reaction is, “Why should I pay his closing
costs? Mine have never been paid by the seller.”
Whoa! Don’t worry about what the buyer is getting out of it. Look at
what you’re getting. Is your bottom line what you want it to be? Close
to it? Maybe you should consider paying all, or most, of what the buyer
requested.
No matter what the proposal is during contract negotiations, don’t
freeze into a negative position. Think big picture. Think bottom line.
Your bottom line.
The Buyer Can’t Perform
Everything was going along swimingly and then you get a call. The buyer can’t qualify for a loan to buy your home.
Check to be sure the buyer has approached a lender who will make loans
to people with less than perfect credit. If that doesn’t work, write it
off as a mistake. The next time someone wants to write a contract
offer, make sure they have a letter from the lender saying they’re
qualified to buy your house.
The key to selling your home is to stay calm. There will be hiccups and
bumps, but don’t let them overwhelm you. Typically, the buyer really
wants the property. Work with them and a solution can usually be found.
