5 Things You Can Negotiate When Buying a Home
Written by
David Nadelle
Edited by
Angela Corry
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When it comes to buying a home, “everything is negotiable,” Bruce Ailion an Atlanta-based attorney and real estate agent with Re/Max told Realtor.com. “You can negotiate simple items like fresh paint, new flooring, a new roof, new appliances and closing costs. We have even had sellers pay off buyers’ debts to qualify. No limit.”
In a housing market that favors sellers, there is less wiggle room for negotiating price. But Ailion is right; there’s never been a better time to discuss creative ways to save money when you’re buying a house.
However, when you negotiate things outside of house price, it can complicate the transaction and might turn off sellers — but there’s nothing to lose by trying.
Here are fivethings you should be able to negotiate successfully when buying a home.
Closing Costs and Date
According to Rocket Mortgage, closing costs are around 3%-6% of your mortgage amount. While both buyers and sellers pay closing costs, buyers typically pay more, which are detailed in a Closing Disclosure document that will outline what you need to cover. These can include appraisal, attorney and closing fees, courier payments, flood certification and even pest inspection costs.
There are quite a few opportunities to lower closing costs throughout the mortgage process, and they should be negotiated as you would with sale price. As the Consumer Financial Protection Bureau notes, “You can always negotiate the terms of the mortgage loan up until you sign on the dotted line.”
Likewise, there’s absolutely no reason to close quick to appease a seller. Home buying is a give and take transaction, so ask the seller to take your preferred schedule into consideration.
“Or, maybe the timing doesn’t matter to you, but the seller wants to stay in their home for an extra month,” wrote Liz Frazier at Forbes. “If you give them extra time for the closing, they may give you something in return.”
Fixtures and Appliances
Unless otherwise noted in a contract, light fixtures and major appliances should be included in the sale of your new home. But again, buyers and sellers have a different view as to what is a permanent fixture and what can be taken away upon final sale.
You can squabble over televisions and chandeliers, but according to Tim Elmes, a premier luxury property expert based in Fort Lauderdale, “As a rule, a fixture is something that’s bolted down, and if it’s not, you can take it.”
Home Repairs
After a home inspection, there should be a mutual understanding from both sides as to why a buyer is requesting certain repairs and why the seller may decline those repairs. And even though sellers currently have the upper hand, any maintenance issues should be up for some healthy haggling, especially anything flagged by the home inspector.
As Scott Lindner, national sales director at TD Bank, told Realtor.com, “Make sure to attend and review the findings of the home inspection,. It’s always a good idea to understand any large investments that would need to be made in the home. This can also be a good negotiating tool if there are things that need to be repaired or replaced in the near term.”
Furniture and Decor
When submitting an offer, the buyer and their real estate agent can negotiate the price of furniture and interior (and exterior) decor, if it’s the seller’s to sell and not staged items. It’s totally fair to ask about furniture you’d like to have and you’d be surprised what the seller will part with to avoid moving hefty objects or pieces that don’t suit their new residence.
Landscaping and Snow Removal
Depending on when you move into your new home, it doesn’t hurt to ask if the previous owner will get it ready to move in without having to deal with an unsightly grass jungle or a snow mountain. There’s no harm in asking the seller if they’ll cover yard maintenance for a season, especially if you’re purchasing a large property or one that has already undergone a thorough overhaul.
Less common is trying to cut a deal on snow removal. You can try, but with both of these services, your negotiation skills might be better used bargaining a contract with providers after the home is sold.
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