After the price, there's more to go in the "negotiation" of the sale of a home. While price is the major and first item of negotiation, once a contract is accepted by both the buyer and the seller, there's a lot more activity to get to closing that can result in difficult negotiations and even failed deals.
The major sticking point can come after home inspections and when the list of deficiencies is presented to the seller with a demand for corrections. While realistic buyers will not expect nor demand "perfection," many will want costly items taken care of before closing, as they don't want to pay for or deal with them once they're in the home. This can include:
- Plumbing, heating and electrical repairs.
- Corrections of current code violations.
- Appearance items, such as cracks in walls, broken windows, and tile problems.
- Major items like roof repairs or foundation issues.
Most situations involve a document from the buyers accompanied by the inspection report and requiring a laundry list of repairs to be completed at the seller's expense prior to closing. Deals fall through at this point, many times because the seller has their back to the wall after accepting a price that doesn't allow them room for expensive repairs.
Buyers who pursue an aggressive home price negotiation should be prepared for possible "line in the sand" reactions from the seller. While their real estate professional should prepare them for what could be coming in the way of repair demands, that isn't always the case ... or they just may not have listened, needing that signed contract so they can move on.