Playing the Field
Do not get me wrong, the current economic backdrop in both residential and commercial markets means it is not easy to buy a property at all, much less secure one at the price you want with terms in your favour.
As always, there are specific ways in which you can play the field to make the conditions more favourable to you. Check out our top ten tips for property success.
Ensure you thoroughly search for the latest selling prices wherever you are looking for property. Do not be taken in by asking prices, you want to know what the real world going rate is.
2. Asking Questions
You should be like a child in a toy shop when it comes to asking questions about a property. Target the agent as well as the seller themselves, if possible, especially if you suspect their intentions may differ.
3. Choosing an Area
Where you are looking will have a huge bearing on how you can play the property game. In Central London, for example, you will not be able to tilt things in your favour as much as you could in a low demand, less congested market.
4. Opening Offers
You do not want to insult the seller and scupper any deal before you have begun, so 20% below the asking price should be the absolute maximum you should drop to.
5. Play the Long Game
This can be a risky strategy, however if you are in no particular hurry to buy then it could work for you. Offer low, then if the seller rejects leave it for a while. There is always the chance they need a quick sale and your offer is the only one available.
6. Know the Market
Be prepared to negotiate upwards: the average discounts on residential and commercial properties are currently around 7%, which can seem a big leap if you originally went in 20% under the asking price.
7. Negotiate with Developers
Many people fall into the trap of thinking that developers are non-negotiable, so pay the price on the ticket, so to speak. Developers are like any other seller and, while they may drive a harder bargain there are still significant gains available.
8. Rein Negotiation In
Keep your cards close to your chest and avoid telling people how much you love the property or how well it fits your needs. Agents and sellers will target those with emotional attachments to get the best deal for themselves.
9. Avoid Agents’ Banter
This is where your research will come in handy, especially if an agent is trying to pressure you into an offer because the “property is so popular.” If it has been on the market for months, feign disinterest and you will likely see the price come down.
10. Negotiate Over Everything
If you like the fixtures, fittings, furniture, or anything else in a property, try to tie those into the sale, too. Sell it as saving the seller the cost and time to move it out, and be especially hard-nosed if there are any repairs to consider.
Harworth Estates is one of UKs largest landowners, that offers development and commercial properties for sale.