idding for a house you've set your heart on can land you in an emotional and financial minefield, says Jonathan Harington.>
Let the pros do your bidding
Bidding for a house you've set your heart on can land you in an emotional and financial minefield, says Jonathan Harington. Don't we know it?
The man at the sharp end of Knight Frank's property buying department says most people are novices at the negotiating game.
For the past 12 years he has been doing the legwork and using his negotiating skills to track down the houses other people's dreams are made of. Before 1986 he was an estate agent for eight years, so he knows the business from both sides.
While the average Joe Bloggs and his missus are floundering around, wondering how much to offer, enduring sleepless nights and more than likely losing out at the last fence through lack of experience, the professional homebuyer has ten or 12 negotiations on the go at one time and can be reasonably confident of seeing most through to a successful conclusion.
If you're ready to pay £1,000 up front to cover his expenses and two and a half per cent of the purchase price when he secures the house that's your ideal, you're laughing. If you're really lucky he'll have earned his fee by securing your princely pad at a price which is a good deal lower than you'd have paid because the seller would have seen the glint in your eye and held out for top whack.
This week the expert has been letting out a few trade secrets. As he points out, most people live in less than half a dozen houses in the whole of their adult lives. It's not surprising the majority are unaware of the tactics which can make the difference between getting the house we want and missing out.
First tip: Find out what the seller's situation is. If the seller wants a quick sale, pitch your offer accordingly. It could be they'll take a lower price just to be able to seal the deal on the house they're hoping to buy.
However, if the seller is not in a hurry, let the agent know you are extremely interested. Jonathan says: "So many people lose the house they want because they haven't told the agent not to sell it to someone else before coming back to them. It's surprising, even now, how many agents fail to contact the buyer again after a viewing to find out what they thought. Don't let it slip away because the seller and the agent are unaware you are a serious buyer. You won't be committing yourself to paying over the odds. But they will know you are genuinely interested.
Second Tip: Don't gush when you view. "It's amazing how many people go round a house and say how wonderful this is and wonderful that is and Johnny can sleep in this bedroom and it's all wonderful, wonderful, wonderful. Then they get in the car and say 'Wasn't it dreadful.' Don't gush, especially if you don't mean it."
Third tip: Work out your first offer carefully. "There is a world of difference between a reasonable offer and an insulting one. An insulting offer could result in the door being closed permanently in your face."
Fourth tip: When you are negotiating a figure, be aware of all the cards that can be played - carpets, curtains, garden ornaments, the date of exchange or completion.
Fifth and final tip: Don't lose sight of your ultimate aim. If you really want the house, don't walk away from the deal over some minor argument.
For those who would rather let a professional do the haggling, Jonathan Harington can be contacted through Knight Frank's Beaconsfield office on (01494) 675368 Bidding for a house you've set your heart on can land you in an emotional and financial minefield, says Jonathan Harington. Don't we know it?
The man at the sharp end of Knight Frank's property buying department says most people are novices at the negotiating game.
For the past 12 years he has been doing the legwork and using his negotiating skills to track down the houses other people's dreams are made of. Before 1986 he was an estate agent for eight years, so he knows the business from both sides.
While the average Joe Bloggs and his missus are floundering around, wondering how much to offer, enduring sleepless nights and more than likely losing out at the last fence through lack of experience, the professional homebuyer has ten or 12 negotiations on the go at one time and can be reasonably confident of seeing most through to a successful conclusion.
If you're ready to pay £1,000 up front to cover his expenses and two and a half per cent of the purchase price when he secures the house that's your ideal, you're laughing. If you're really lucky he'll have earned his fee by securing your princely pad at a price which is a good deal lower than you'd have paid because the seller would have seen the glint in your eye and held out for top whack.
This week the expert has been letting out a few trade secrets. As he points out, most people live in less than half a dozen houses in the whole of their adult lives. It's not surprising the majority are unaware of the tactics which can make the difference between getting the house we want and missing out.
First tip: Find out what the seller's situation is. If the seller wants a quick sale, pitch your offer accordingly. It could be they'll take a lower price just to be able to seal the deal on the house they're hoping to buy.
However, if the seller is not in a hurry, let the agent know you are extremely interested. Jonathan says: "So many people lose the house they want because they haven't told the agent not to sell it to someone else before coming back to them. It's surprising, even now, how many agents fail to contact the buyer again after a viewing to find out what they thought. Don't let it slip away because the seller and the agent are unaware you are a serious buyer. You won't be commiting yourself to paying over the odds. But they will know you are genuinely interested.
Second Tip: Don't gush when you view. "It's amazing how many people go round a house and say how wonderful this is and wonderful that is and Johnny can sleep in this bedroom and it's all wonderful, wonderful, wonderful. Then they get in the car and say 'Wasn't it dreadful.' Don't gush, especially if you don't mean it."
Third tip: Work out your first offer carefully. "There is a world of difference between a reasonable offer and an insulting one. An insulting offer could result in the door being closed permanently in your face."
Fourth tip: When you are negotiating a figure, be aware of all the cards that can be played - carpets, curtains, garden ornaments, the date of exchange or completion.
Fifth and final tip: Don't lose sight of your ultimate aim. If you really want the house, don't walk away from the deal over some minor argument.
For those who would rather let a professional do the haggling, Jonathan Harington can be contacted through Knight Frank's Beaconsfield office on (01494) 675368
Converted for the new archive on 30 June 2000. Some images and formatting may have been lost in the conversion.
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