How to Make an Offer on Your Dream Home

Understand the local market. When making an offer, it helps to know the going prices for houses in the area. It’s also useful to know how the similarities and differences of the house you want to buy compared to the others surrounding it.

Get to know the seller’s situation. Try to find out why the house is on the market now, how long the seller owned the house, how the seller needs to close, and whether or not other offers have been made. This will help you determine where your initial offer should be.

Offer a reasonable price. It’s OK to offer a price that’s lower than asking price, but it’s important to be able to justify your offer. Starting unreasonably low can be off-putting to the seller and my make negotiating difficult.

Negotiate! Seller’s may not accept your first offer so you need to be willing to negotiate. It’s a good idea to ask for more than you want during this process--you might ask to keep the window treatments or have the seller replace the carpet. This gives you things to concede during the process.