Making an Offer
Time for nervous anticipation. You've found the home you want, and you need to act fast. Yet you don't want to offer too much and feel you've over paid. This might be when you realize the expertise an EWM Sales Associate can give you at negotiating time is truly priceless. You can tell yourself "If it's meant to be, we'll get it" but that won't help you feel good about your offer if you are not realistically bidding on the home's true value. Knowing that the price you are offering is on target might also get you the home of your dreams versus risking losing it to a higher bidder because you bid too low unrealistically hoping to 'steal' it or not having the knowledge of the true value of the property.
Be prepared for counter offers. Don't let the pressure get to you. Remain patient, and let your EWM Sales Associate act as your liaison with the Seller or the Seller's Agent. You may need to be flexible on price, closing date, appliances, and repairs.
Beware of putting contingencies in your purchase agreement. They weaken your offer. However, if you currently own a home, your offer may need to be contingent on it selling. Or, if you're uncertain about the structural integrity of the home, you may want to have a home inspection contingency. Just be aware any contingency could take you out of the running if a non-contingent offer is presented.
Negotiating the Buy
The expertise an experienced EWM Sales Associate can give you at negotiating time is invaluable. Their knowledge of the true value of the property gives you the knowledge to be confident in your offer and the likelihood of acceptance.
Once your offer is accepted, be prepared to seal the deal with earnest money. Usually a percentage of the home's purchase price that indicates you're serious about the purchase and indicates your good faith, it's generally applied to the purchase price (but may be forfeited to the Seller if you fail to complete the purchase). Contact your Realtor® to determine the amount of earnest money you should be prepared to pay based on your target home price.
Many first-time Buyers are taken by surprise when it comes to earnest money, especially if they have to make a fast offer. Be sure to discuss with your Realtor® the appropriate amount of earnest money you should be prepared to pay based on the price range of properties you're looking at. You should have this amount available in your checking account so you can write out a deposit check on the day you sign your purchase agreement. Earnest money is held in an escrow acount by either the Buyer's real estate brokerage company or the title company (chosen by the Buyer).