The Offer: There's More to It Than Just The Price
Fixating on price in real estate may cost you the deal:
When a buyer makes an offer to purchase a house, condominium unit or commercial property, the purchase price is a prime consideration, but it represents only part of the total value offered to the seller. Problems may arise for both sides of the transaction when this fact is forgotten.
Value Elements in an Offer
The value expressed in a buyer's offer to purchase, or in a seller's offer to sell, involves 5 key elements -- a financial package:
Yes, price matters, but there's a lot more involved in creating an offer that demands to be accepted. That's why an experienced real estate professional is a valuable contributor to success. Professionals can calculate, or at least estimate, the seller's net proceeds after costs related to the offer and deduction of commission. This information helps the seller accurately evaluate an offer to purchase. Understanding cost and benefit for all elements of an offer helps a buyer intent on ownership to create the best financial package possible.
Tip: Re-read this article when you are ready to make an offer, counter an offer or accept one. This will ensure value is visible to you on all levels before you decide to walk away or sign on the dotted.