Everyone wants a good deal when it comes to making a big purchase like buying a house. It’s really a no-brainer as Living on the Cheap notes – when there are more houses for sale than people who want them, there is usually room for negotiation and vice versa. That’s the best time to score that bargain, but these tips are all important to consider for getting the best deal possible too.
Find a Good Real Estate Agent
Having a professional, experienced real estate at your side for advice and assistance, is nearly always the best way to go to find the right home at the right price. Not only do they know the industry well, but they’re also familiar with comparable properties and how to analyze them to get you the most bang for your buck. It can spare much of the headache that comes with buying a home to have a middleman there doing the leg work for you.
Don’t Purchase During Peak Season
The majority of homes are purchased and sold during the spring and summer, so if you can hold off on buying until the colder months of the year when sellers tend to be more desperate, you might find an excellent deal. Even if there’s less inventory on the market, there will also be less competition, and there are good odds that you’ll find something that fits the bill. For example, during the winter it may be harder to house hunt when looking at properties in places like Detroit, Minneapolis, or Vancouver real estate due to harsh weather conditions, but it may also be a great time to find the best deal when houses for sale are getting less traffic.
Find the Lowest Interest Rate
Instead of heading to one bank or other types of lenders, partner up with a mortgage broker to see about getting the best deal on an interest rate. If you only go to one place, you’ll only be offered the rates at that particular venue, but by working with a mortgage broker it will help you to shop around to find out where you can get the lowest percentage interest rate. While rates will generally be similar no matter where you go, even just a slightly lower rate can help you save a lot of money over an extended period of time.
Ask Seller to Pay Closing Costs
While a seller obviously doesn’t want to go too much under their asking price unless they’re desperate to sell their home, they may be more willing to pay for the closing costs as motivation to get moving while providing you with better deal with a lower overall cost. As the prices of all houses sold are made available to the public, selling low can be a matter of pride. This way, you’ll be able to pocket some extra cash and the seller can keep their pride by giving you a better bargain in a less public way.
Think About New Construction
Instead of looking at fixer-uppers, check out new construction developments for a potentially great deal. Developers are often highly motivated to sell a certain percentage of their buildings and may offer some great perks to those who are ready to take the plunge to buy. There are also certain things that can be bargained for such as which plot you want if there’s a better view available and other features.