The real estate market has been heating up in many places in the US. Because of that some have become seller’s markets, meaning that there are more buyers for the available properties listed. In a hot market like that sellers will find that there are three things that can be negotiated more easily than if it was a buyer’s market.
One important thing that can be negotiated is the closing date
Typically, closing happens in about 45 to 60 days from a completed contract (meaning both buyers and sellers have signed it). In a seller’s market you can negotiate a shorter or longer closing period, depending on your needs. If you need to find a new place to live, negotiate a longer period of time. If you have already entered into a contract for a new property and need to settle fast, negotiate a shorter period.
Another item that can be negotiated happens if the contract amount is over the appraisal amount. Instead of losing the contract, negotiate with the buyer to have them bring a bigger deposit to the table. Since most mortgage companies won’t lend over the appraisal amount, a lot of the time if that happens the sale is lost. If the buyers can do it, have them bring that difference with them to the settlement table.
A last item that can be negotiated in a sellers market is an “as is” sale
An as is sale is when you sell the home in the condition it is in, with no repairs or updates necessary. If you found a buyer who wants your home, and there are others lined up behind them, you are definitely in a position to tell your buyer “I’m not fixing anything, the sale is ‘as is’ or I’ll move onto the next person.” The only time this may not work is if it is an FHA sale. The federal government will require certain repairs if found in the inspection. That said, you can still negotiate the amount you would be willing to pay to fix them.