How can you give yourself extra negotiation power when buying a property?
Before you see the home of your dreams, you might not have given a second thought to the preparation of buying a property. Try these tips to put yourself in a great position to purchase and allow a hard negotiation.
Preparation is the key. If you are prepared ahead of doing something significant, usually, the resulting outcome will be more successful. Buying a property is undoubtedly a significant process, but how can you best prepare for this process? Surely, there is not much you can do in advance, ahead of finding a property and instructing solicitors, right?
Wrong. In fact, there are a few things that you can do to prepare to buy a property before you actually make an offer on one. And it is possible that getting this information in place could actually stand you in good stead for negotiations - maybe even get lower offers accepted.
We go through many different phases when buying a property, starting with searching for the 'one' property you want to live in, then moving into the negotiation, finances and legal process before you finally get the keys and can move in. Throughout each of these phases, you will be expected to provide information, paperwork and evidence to various people, which can be the leading cause of delays in property sales.
So, how can you be prepared?
- Have your ID available - You will be asked to provide a photographic ID and confirmation of your postal address. In a world where almost everything is done via email, you might find it tricky to locate a written letter that is acceptable as evidence of your residential address.
- Get your finances in place and have the evidence ready - as you make an offer for a property, you will be asked how you intend to fund the purchase and to provide proof of such. This can be in the way of confirmation from your bank manager, financial advisor or solicitor. Or, you could simply show a copy of your bank statement and proof of your mortgage promise if you will be using mortgage finance. Clearly, this information can take time to gather, so being prepared could result in the negotiations of an offer moving quickly, and the seller may well accept a lower offer because they can see quickly and clearly that you have the funds readily available and can buy straight away. This will allow you to strike whilst the iron is hot in the excitement of the negotiation.
- Know your timescale - you can not always live by the plan you set out for yourself to the letter, and it certainly pays to have a little flexibility. But, if you know your intended timescale, you can see where you can be flexible and how you can accommodate the property sellers and their onward move.
By being prepared and ready to purchase when making an offer for a new property, you will have a higher chance of your offer being taken seriously. This could, in turn, result in a lower offer being accepted and could actually save you money.
If you are thinking of moving and want to be kept informed of new properties as they come onto the market for sale, register your information today.
