Tips To Get a Better Deal When Buying A Home
When the consumer sentiment is running high, you can be caught in furious traffic of buyers and investors. Every time there will be noises about how first home buyers are being elbowed out of the race and how owner-occupiers are looking beyond your particular micro-market and yet wherever you go, you will feel an onslaught of buyers.
Turning property deals to your advantage
It is like finding the reservation queue for railways tickets vacant and yet the trains full, each time, every time. You must have gone through that feeling sometime or the other in what represents a typical seller’s market. So what do you suppose: is getting a deal done to your advantage a really difficult job? Well, you may say so and one won’t argue but it is not impossible.
Find out why is the buyer selling?
As a first, you must work doubly hard to find out the pain point of your vendor. Each seller is selling for a reason. If he is doing it because he is a seasoned investor who has mastered the game or happens to be a property flipper, you don’t stand much of a chance.
Contrarily, if the guy is selling because he needs to meet some cost or because he is forced to change cities/suburb or because he has fallen in debt trap, you can use the situation to your advantage. Negotiate hard and give the impression of creating a win-win situation for both the parties.
Comparable sales figures
Conduct your Due Diligence on the Comparable Sales Figure of your prospective neighbourhoods and find out which particular area within a micro-market is keeping low figures. This is a place where buying a home at comparatively convenient rates is quite possible.
Vacancy rates
Learn about the vacancy rates. Those areas which have higher vacancy rates are the ones that crush rental yields and if you are an investor (and not an owner-occupier or a first home buyer) you can always tell the seller how high vacancy rates can hurt your positive cash flow and thus work on reducing the sale price.
You need a seasoned investor on your side to negotiate deals to the best of your advantage. Feel free to talk to me if you want to hit the market for that prized property.
