How to Buy a Home
Improving Your Offer
Without Raising the Offer Price

If you're interested in learning a few good ideas on how to buy a home, how to negotiate a real estate offer, without necessarily raising the price, then read on.

Is it possible to improve an offer without raising the offer price?

Maybe

If a seller is motivated by price alone, which is most often the case, there's not much you, as a buyer, can do. If you want that property, you may have to cave and agree to the higher price demanded by the seller.

However, while negotiating an offer, there are other options available to make an offer more attractive to a seller. Beyond agreeing to the sellers demand for more money, to have the next greatest effect, if you're properly prepared, you could ...

Remove Conditions from the Offer

After the price, this is arguably the best way how to negotiate a real estate offer when you're competing in a multiple offer situation. Hopefully, though, you'll not learn how to buy a home while in a competition. It would be a tough start for you into the wonderful world of home ownership.

If you have a substantial down payment, say 20% or more of the expected purchase price, and you have a pre-approved mortgage, then a condition upon arranging a mortgage may be unnecessary. And I don't mean a simple verbal promise from a lender that they'll lend you the funds. I mean a duly authorized written pre-approval letter or certificate with the terms of approval, and backed by a current credit report and confirmation of down payment and employment income. Seeking one of these should be the first thing you do when learning how to buy a home.

If the home is nearly new, or has been extensively professionally renovated and updated, or is a condominium apartment, then a home inspection may not be necessary. I do, however, recommend home inspections - if not to detect latent or even patent defects, then at least to educate yourself as to what you're actually buying.

Plus they're a great opportunity to learn from a professional how to properly take care of a home. If you want to maintain your investment in good condition, there are responsibilities. Don't let it deteriorate, or else you'll pay a steep price down the road when you want to sell it.

If you want the comfort provided by a home inspection, but also want your offer to be more appealing to a seller by avoiding a home inspection condition, you could elect to have one completed prior to making the offer. It'll obviously cost you the inspector's fee up front, but it will help improve your offer. And if you're competing against another buyer, and you lose the bid, then you must accept the loss of the inspection fee as a price to pay in learning how to buy a house.

And here's possibly the most common condition objection from sellers - the condition pertaining to the ...

Sale of Buyer's Property

If you elect to search for, find and offer on your next home prior to listing your old one, it's common to include a condition on the sale of your old place. Virtually all sellers find this type of condition unattractive, since they consider this type of conditional offer as being not a real sale, but merely like an option to purchase. They believe, and rightly so, that if your home fails to sell, then the seller must start all over again. Further, once a seller accepts this type of condition, many other prospective buyers will be discouraged from even viewing that home. They'll be reluctant to invest their time, effort and emotion into successfully negotiating an offer, and then losing it to buyer number one who decide to exercise their option to waive, or remove, their condition(s) and firm up.

Click how to buy a home when you already own a home, to learn how to handle this type of situation.

Are You a Gambler?

If you can afford to potentially own two homes simultaneously, or if you believe you'll sell your present home in time to close on your new one, in order to make your offer more attractive, or to encourage the seller to even consider it, you may think about not including this type of condition in your offer. How to buy a home without this challenge?

Sell Your Old Home First

The same is true for any other lesser conditions. For example, if you want your lawyer to examine the offer, don't add it as a condition. Just have him or her have a look at it prior to execution and submission.

If you can give the seller their desired closing date, then do so. Don't ask for chattels that aren't included on the listing.

And offer a large deposit because it won't really cost you anything, since it forms part of your down payment. But it may provide the seller with a higher sense of security that you're a serious buyer.

And if possible, eliminate any seller requirements like having to provide a survey, or do any repairs to the building.

How to buy a home and make an offer more attractive to a seller? Look at your offer from the seller's perspective. Would you accept your offer if you were the seller? Be objective.

So, how to buy a home successfully?

Be Adaptable. Be Prepared

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