Negotiating with Real Estate Agents is not always easy, but trust me it is worth spending the time to learn because it could save you thousands or longer.
All of us know that Real Estate Agents have a significant name in the business.
They also have felt so all we will need to do is connect with them like we would with anyone else that you meet on the road.
Naturally, it might be tricky to do this through an open review — particularly when there are groups and groups of individuals coming to inspect the area! In times like this, then all I can say is ask smart questions and request a copy of the contract to demonstrate that you’re interested in buying the property. If you can communicate this message across then it is going to leave an impression with the broker — to let he/she understand that you’re not a time waster.
Let us consider their two main goals:
1. They want to have the ability to market the property at the best price
2. They want to have the ability to sell the house in the shortest timeframe possible. Ideally before the property hits the market, that way they do not even have to do an open review!
So, based on this understanding, they would like to filter out the hot leads — buyers that aren’t time wasters and show outstanding interest in buying the property. In addition to that, if you can ask intelligent questions to show that you’ve already done some homework ahead, then you’ll definitely stick out from the vast majority of other inspectors that walk in, have a look and then depart without a lot of conversation. This is also a good process to go through when selling your home privately.
1.How is the rental requirement for this area? Which sort of demographics does this property attract?
2.Avoid asking questions that are located in the advertisement or online — you do not want to be regarded as a time waster with a lot of questions.
3.Develop the Best offer price, as soon as you’ve inspected a house the first thing you will do is to assess if the property is well worth the advertised price or not.
4.You can usually get these from Revenue Agents, Property Managers or occasionally from the Revenue Listing.
5.Call several property managers to verify the possible lease of the target property. This will feed to your diminished Rent and Upper Rent.
6.Input all of the information collected into the cash flow calculator.
7.Insert in the asking price (and affirm a loan amount) to get the return on the purchase
8.Tweak the purchase price until you reach the best yield that you want to achieve. This will be your best offer price for the broker
9.Evaluate the estimated weekly, monthly and annual cash flow position (before tax) for the proposed property and execute a risk evaluation at a higher speed if required.
After weighing up your research and the likely commission from a real estate agent to sell your home, always keep your options open with alternative method such as selling your home without an agent.