It’s Good to Talk

It’s Good to Talk

September 22, 2022

Be prepared to negotiate on the price of your property sale

Selling your home is likely one of the biggest financial transactions you’ll ever undertake in your lifetime. When an offer to purchase your property is presented to you, you have three choices. You can accept it exactly as it is. You can reject it. Or, you can reject it and then counter with an offer of your own.

Offers are one of the exciting parts of the home selling process and are normally part of a negotiation that often includes a couple of rounds of offers and counter-offers before an agreement is made. Your estate agent is legally obliged to pass on all offers to you and send a written confirmation.

Do not feel under pressure to respond

When considering an offer, make sure you take time to think it through, especially if it is lower than you were expecting, and do not feel under pressure to give an immediate response. You are under no obligation to accept any offer. For example, someone may offer the asking price for your property but may not be in a position to proceed. In this case, it may be better to keep marketing to find a buyer that can proceed. 

When you put your home on the market, you should ideally have had at least three different estate agents visit and provide you with a valuation. They will know the local area and the recent sale prices of comparable properties in the area. Therefore, they should all come up with a similar figure, that’s probably not too far from a realistic sale price.

Reject offers below a certain price

If you have very specific criteria for an acceptable offer, you may choose to instruct the estate agent to reject all offers below a certain price. However, if your home has been on the market a long time, or you are not sure they have valued your property correctly, you can always bring in a chartered surveyor to give you a valuation via a HomeBuyer Report.

Where you are in the fortunate position of receiving multiple offers, your estate agent may suggest a sealed bids scenario. Here, each buyer will be given a deadline by which to submit their best and final offer for the property and then you would be able to decide which best suits you.

Quality of the offer is important

There are a number of reasons why it is important to be prepared to negotiate on the price of your property sale. It is important to remember that the value of your home is not set in stone and is open to negotiation. 

By being prepared to negotiate on the price of your property sale, you will be in a much better position to secure a sale at a price that is acceptable to you. When you receive an offer, the quality of that offer is important.

Proceed to a successful sale

At this point you need to consider: Is the buyer ready to proceed? Have they secured an ‘Agreement in Principle’ (AiP) for the mortgage if they need one? What is their financial situation? Do they have another property to sell or are they a chain-free buyer? How does the offer price relate to the marketing price and the minimum price your agent expected to achieve?

By being prepared to negotiate on the price of your property sale, you will be able to avoid any potential pitfalls that could occur during the negotiation process and then proceed to a successful property sale.

What kind of mortgage do you need?

Whether you’re coming to the end of your existing mortgage deal or you’re looking for a new mortgage, we’re here to help you find a mortgage that’s right for your unique needs. To discuss your options, contact The Official Mortgage Company – telephone 01777 809700 – email admin@officialmortgages.co.uk.

Your home or property may be repossessed if you do not keep up repayments on your mortgage.

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