Proven Tips To Turn An Offer Into A Solid Contract Fast
When the bid is presented to you, listen to the offer, even take notes — but don’t respond until the presentation is complete. You have three choices: (1) accept the contract as presented; (2) reject the contract; or (3) make a counteroffer. Most often, sellers choose the third alternative. The choice is yours, but we can advise you every step of the way.
Art Of The Counteroffer
If you find some items in the proposal unacceptable, it’s time to negotiate. It’s also time to call on our experience and training. This is when our professionalism really pays off. We will guide you through the contract maze of small print, explain what each item entails, and help you evaluate the bottom-line impact of price and terms in the bid, as well as suggest possible responses.
Often, time is of the essence. Avoid delays. Although you may want more time to think over the offer, be aware the buyer could withdraw the offer any time before you sign it. The best time to decide what terms and price and timetable you will (or will not) accept is while preparing your house for sale, so you can respond quickly when a contract is presented.
Consider seller-paid points.
It’s good to know before you begin negotiating that paying points for your buyer’s loan is a powerful double sweetener. That’s because seller-paid points save the buyer out-of-pocket cash, AND serve as a tax deduction for the buyer. As we work together, we will clue you into other important negotiating tools.
Do it in writing.
Make your counteroffer in writing on the original contract form, initialing changes you propose. Contract negotiations may go back and forth several times, with each party giving and getting something each time as you zero in on common ground. Don’t negotiate by phone and, even if it looks messy, don’t retype the contract as long as it’s legible. Something could get left out or inadvertently changed.
Consider a contingency kick out.
If the buyer offers a contingent contract, you could consider including a kick-out clause. The clause allows you to accept another offer after a stated time, such as 45 or 60 days, or requires the contingency be removed within 48 to 72 hours. Occasionally, sellers require a higher sale price when accepting a contract contingent upon the buyer selling their present home. Often, a home-inspection contingency is added by the buyer, so having an inspection before you list your home can prevent costly repair surprises after the contract is negotiated.
Rely on your agent.
We can recheck comparable sales, compare offers if you receive more than one bid, and compute how much you will net from the sale. We can also help you focus on the buyer’s creditworthiness and whether the buyer can afford to buy your house.
Remember, everyone has the same goal: you want to sell, the buyer wants to buy, and we want to help close the transaction. Together, we’ll turn your counteroffers into an art. Call or e-mail us right away.
(courtesy of The Gooder Group)