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| 9858 Clint Moore Road, Boca Raton, FL 33496 | Caesar: (561) 715-8630 or Eileen: (561) 271-1311 |
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During Negotions, Terms Over Price
The bottom line in contract negotiations is not always the bottom line. Obviously, how much you're going to pay for or gain from the sale of a house is on the top of the spreadsheet; however, there are a certain percentage of contracts that fall apart because of the terms or non-sales price parts of the contract, rather than the financial bottom line. Let's take a $350,000 offer on a house listed at $350,000. You would think that's it. Full price contract, what more is there to talk about? Well -- seller subsidies, sale of home contingency, settlement date, financing, earnest money deposit, inspections (and who's going to pay for them), appraisal, third-party approval, just to mention a few. Any time the buyer starts asking for things, the seller has to sit back and weigh the costs -- both financial and other. Seller subsidies, definitely affect the bottom line. In fact, most agents will say that a contract of $350,000 with 3 percent seller subsidy is really a contract of $339,500. The $10,500 difference is the cost of the 3 percent in dollars. Thus, it affects the bottom line. While many of the above items come with some sort of financial link, not all do, and that's where some buyers and sellers can't come together. Settlement date is a big one. A "quick" settlement can sometimes be more of a curse than a blessing -- especially if the buyer expects the seller to move out at that time. A contract written on the 1st of the month, for instance, requesting a settlement in three weeks (by the 22nd), can cause a lot of havoc in a household. If all we had to deal with were the financial ramifications -- no problem. Quick settlement, though, really means -- find a home of choice, in the location you really want, for the price you want, with the amenities you want, convincing the home seller to your own negotiations, get it financed, get packed up, and moved in less than three weeks. Can that happen? Sure ... but with quite a bit of panic and stress. To locate the perfect home or condominum, Boca Raton FL Homes offers a three-tiered building home to 42 condominium units that are simply sensational. Caesar Parisi is available to help you be an informed home buyer or home seller in today's changing Boca Raton FL real estate market. click here for article |
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