About Medford Township's Medford Village

As a continuation of yesterday's post, today I'm going to cover the basic things that a home seller should do to prepare for negotiating the sale of their home.

1. First the seller should figure out what their bottom line is. What is the minimum that they would take for the home and still net the amount of money that they truly need. This should always be decided up front because it is when the seller is thinking most rationally , and not yet caught up in the drama of the negotiating process.

2. Then the seller should determine the market value of their home. This should be done with their agent by looking at comparable sales in the area. At this point it is important to set a high, but realistic goal. You don't want to give the home away, but you do want a price that will attract the largest number of potential buyers. Both step one and step two should be done prior to putting the home on the market.

3. Once they receive an offer, the seller should find out as much as possible about the buyer. Are they in a financial position to close on the proposed transaction? Do they have a tight time line due to a move or the sale of their own home? Would they be willing to pay more if the seller financed some of the purchase? Have they fallen in love with the home? The more the seller knows about the buyer, the better the chances of coming to a mutually beneficial agreement.

These are the most basic steps you should take to prepare yourself when selling your home. Check back soon for more tips on negotiating the home-buying/selling process.

If you'd like help negotiating your next home sale or purchase, please feel free to give me a call.

Joseph Cacciapaglia, MLERE
Realtor Associate®
R&I Realty
15 Potter Street
Haddonfield, NJ 08033
Office: 856.795.3111 x268
Cell: 979.218.2286
Jcacci1@gmail.com

As promised, I'm going to spend a little time blogging about negotiating the sale or purchase of a home. I think that the first and most important tip that I can give is to be prepared. I know that this sounds like common sense, but I can't tell you how often I'm involved in negotiations with people who clearly have not done their homework. Let's take a quick look at what the buyer should do to prepare for the negotiating process:

Buyer Negotiation Preparation:

1. The very first thing that a buyer should do is to know what they can afford. This entails getting pre-approved by a reputable mortgage lender. Often times I've seen buyers enter into negotiations on a home that they truly cannot afford, and this is just a waste of everyone's time and effort.

2. The buyer should also educate themselves as to the value of the home in question. The easiest way to do this is to look at the comparable sales in the market place. Occasionally I'll see buyers make an offer on an overpriced home, only to see the transaction fall apart later when the appraisal comes in below the sale price and the buyer can't get enough money from their lender.

3. The buyer should also decide on the maximum price that they would be willing to pay for the property. If this isn't done before the negotiations begin, it is too easy to get carried away and end up paying more than you had planned. How the buyer decided on this price is really up to them. It may be that they want a certain discount to the market, or that they are looking for a specific monthly payment. Whatever the method, it is important to know this up front.

4. The buyer should also know as much as possible about the seller. Has the home been on the market for quite some time, and the seller is desperate? Would the seller be willing to provide financing at a below market rate? Is the closing date more important than the price of the home? Does the seller have reasonable expectations as to the value of their home? It is important to find out the answer to all of these questions and more. The more you know about the seller, the better able you are to produce an offer that is mutually beneficial.

These are the most basic steps for being prepared for the home buying process. I'll address the preparation for the selling side in a future post.

If you'd like help negotiating the purchase of your next home or investment property, please give me a call today.

Joseph Cacciapaglia, MLERE
Realtor Associate®
R&I Realty
15 Potter Street
Haddonfield, NJ 08033
Office: 856.795.3111 x268
Cell: 979.218.2286
Jcacci1@gmail.com

I was speaking with a client of mine this afternoon about negotiating an offer for a home purchase, and it occurred to me that this is a topic that I have neglected to post on my blog. I believe that negotiating a one of the most important aspects of my job when working with both buyers and sellers. I'm not sure if it would be completely fair to call myself an expert negotiator, but I have been negotiating for a living since 2001 and I have also studied negotiations on a graduate level while earning my Master's degree in Real Estate at Texas A&M University. I don't often like to sing my own praises, but this is one area of my job that I believe I'm particularly good at. With that being the case, I will be writing a few posts on the topic of negotiations in the upcoming weeks. Please let me know if there are particular aspects of negotiations, specific to real estate that you'd like me to cover.

Joseph Cacciapaglia, MLERE
Realtor Associate®
R&I Realty
15 Potter Street
Haddonfield, NJ 08033
Office: 856.795.3111 x268
Cell: 979.218.2286
Jcacci1@gmail.com