When a Bainbridge Island home buyer first finds that single-family homes and condominiums have been getting pricier, it shouldn't be a surprise. Nationally, the median sales price is still well below the record $230,400 reached at the height of the housing boom but that gap is shrinking.
If you're a future home buyer in Bainbridge Island, you can take steps to improve the situation. One way is to increase your negotiating leverage - to turn yourself into a highly desirable buyer from the seller's point of view.
Show You're Financially Attractive: Maximize your negotiating power by getting yourself pre-approved for a mortgage loan. This is a step beyond merely becoming pre-qualified. To become pre-approved, a mortgage lender pulls your credit, studies your income, debt and employment history, and determines the size of the mortgage loan you can handle. A seller prefers working with a Bainbridge Island home buyer whose agent can present a pre-approval letter. It increases the odds that a sale won’t fall through at the last minute.
Know the Bainbridge Island Market: You’ll have a better chance of convincing a sellers to lower the asking price if you are armed with the sales prices that similar homes in the market are fetching. If a seller is asking $20,000 more than is typical, your agent will be able to present this fact in negotiations.
Prepare to Offer Something: A seller is usually more willing to come down in price when he sees a concession or two from you. A home buyer can, for instance, agree to a later or earlier closing date to accommodate the seller. You might also agree to overlook some needed repairs. Especially on fixes that might take a lot of time, such a concession can have a meaningful impact on the bottom line.
Be Realistic: Don’t ask for too much. Asking sellers to lop off 30% is more likely to scuttle negotiations than lower the price.
A home buyer in Bainbridge Island will still find some great deals out there. With the short fall selling season upon us, if you’re considering buying, call me today to get the search going!