Negotiating Offers

Thinking About Selling

Negotiating Offers - Negotiate the Best Terms Possible

After discussions with you, I will know the minimum conditions, acceptable closing dates, and lowest price you'll accept from a potential purchaser. Also, it is a good idea that I know if there is some leveraging power with chattel(s) you may be willing to agree to in the offer.

By knowing your parameters, I can work with the potential purchaser's agent to create an offer that will hopefully be acceptable to you. Often times, it comes down to bargaining and persuasion. Remember this – when working with me, you will never lose control of what is acceptable to you! Leave the front-line negotiating niceties to me. We’ll talk methodically about the pros and cons of an offer, in privacy and behind the scenes, and without sales pressure on you from the other side.

Sometimes, the purchaser's agent will want to personally present their client’s offer and sometimes the purchaser's agent may say things you don’t like to hear and sometimes apply sales-pressure that is uncomfortable. Note: I am to always be present and no other agent should have access to you without my knowledge first. We’ll talk about our strategy more when we meet. It is my commitment to look out for you and your best interests. If at anytime you are uncomfortable, for any reason, about anything in the selling process let me know so that together we implement an amicable solution that works for you within the confines of the law.

The Offer from the Seller's Viewpoint

Interested buyers will submit an offer to me through their agent. As mentioned above sometimes, the purchaser's agent will want to personally present their client’s offer and you and I will talk with you about strategy before hand. In privacy, I will take you through the offer to ensure that you understand all aspects of it. Before you accept or sign back the offer, you may wish to take the offer to your lawyer and make certain that ever detail is legally accurate and in your best interest.

Your offer will contain:

The names of the potential purchaser.
Your name.
A description of the property.
The conditions they wish to attach to the purchase:
    - Price
    - Closing date
    - Chattels
    - Survey
    - Home inspection
An irrevocable date (you have until this date to accept, or sign back a counter offer).
It may also contain mortgage details (for instance, the purchaser may wish to assume your mortgage or may wish you to discharge it).

Very often, the first thing vendors look at is the offer's purchase price. Remember that it is not all yours. You'll have to pay your:

Lawyer
Real estate agent
Bank (for the balance of your mortgage and for any prepayment or discharge penalties)
Taxes (if there are any outstanding)

On the bright side, you'll probably have pre-paid a number of things like utilities, and taxes, so you'll be getting additional funds as well.

Your Lawyer

Here's what your lawyer will do to assist you in making the sale of your home hassle-free:

Do a complete review of the purchase agreement.
Provide answers to the purchaser's lawyer regarding title.
Prepare transfer of title documents.
Review any mortgage transactions.
Close the transaction.
Pay the appropriate commissions.
Pay any outstanding claims against your property.
Pay off your mortgage (if necessary).
Forward the balance of the money from the sale to you.
Provide a complete statement reporting all transactions.

Evaluating the Offer

Before the first offer even comes in, you should have in mind, how low you'll go on price, what conditions you'll accept and what terms would be agreeable. Then, when an offer comes in, you have a set of criteria by which to evaluate it.

Scrutinize all of the details, chattels, closing date, conditions, address and description of your property, provisions and deposit.

You and I will thoroughly go over every detail. If there's anything you don't understand, ask!

Accepting the Offer

Once you're satisfied that offer has met your criteria, you'll want to accept it. To ensure that your purchaser won't get cold feet, you'll want a deposit. The deposit is typically held by the listing office, in this case RE/MAX New Lifestyles, in their Trust Account and when the deal is closed it will be applied to the commission owed and any remaining balance is forwarded to your lawyer to be applied to your account.

Forward: Closing

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