The home inspection contingency is a critical moment in almost every transaction. After all, more offers fall apart during this contingency than at any other time -- so how you and your agent negotiate your inspection can either make or break your sale. Below we offer 4 practical tips for sellers who have a home inspection contingency written into their offer. These are tried and true tips that come from experience earned over hundreds of transactions.
4 inspection negotiation tips for sellers
Before the home inspection
Setting the stage for a successful negotiation actually begins well before the inspection takes place. Start by hiring a listing agent who has a pricing and marketing strategy that will attract offers from at least 3 well-qualified buyers. Attracting multiple offers will give you the leverage you need when it comes time to negotiate the inspection. Your buyer will think twice about asking for repairs when there are other buyers who love the home.
Once your home is on the market and the offers start rolling in, we recommend going with a buyer who has a strong emotional attachment to your home. If your buyer loves your home for strong personal or family reasons, this can be the glue that holds your deal together when defects are found during the inspection. Your listing agent can help you learn more about each buyer's reasons for wanting to buy your home, and help you choose the one who is most committed to closing.
After the home inspection
After the home inspection results are in, do your best to keep your cool and always keep the big picture in mind. It's human nature to feel offended and defensive when an inspector finds issues with your home. Your home is your pride and joy, and you've invested so much of your time and money into it. But it's important at this stage to stay calm and make good decisions. Don't be the seller who cancels an offer over $500 worth of repairs -- from a buyer who is willing to pay $10,000 more than anyone else. Don't let your pride cloud your ability to exercise your good judgement.
Last, we recommend you rely on the guidance and advice of an experienced and savvy agent. A good listing agent will bring objectivity and perspective to your negotiation and help you problem-solve when surprises pop-up during the inspection. We're big believers in the notion that there is a solution for every type of problem. When you're feeling stressed and emotional during your negotiation, we'll help you identify solutions and make smart decisions that will get you to the closing table.
Do you have questions about selling your Madison area home, condo, or investment property? Please reach out to one of our full-time real estate professionals. We are here to offer you our best advice and help you make sound decisions throughout the entire home-selling process.
This article is published courtesy of: Dan Miller, REALTOR Mad City Dream Homes & RE/MAX Preferred