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6.4
MAJOR
FACTORS INFLUENCING YOUR OFFER PRICE
How
seller motivation affects your offer
Truthfully,
it is rather rare that a seller’s motivation will dramatically affect
the price of a home, but it is often possible to save a few thousand
dollars. The most common "motivated seller" is someone who has already
bought his or her next home or is relocating to a new area. They
will be under the gun to sell the home quickly or face the prospect
of making two mortgage payments at the same time. Since that can
drain a bank account quickly, most sellers want to avoid such a
situation and may be willing to give up a few thousand dollars to
avoid the possibility.
There are also
family crises that can motivate a seller to make a quick deal. However,
when you see a real estate ad that mentions "divorce," "motivated
seller," "relocation," or something to that affect, beware. Although
the facts may be true, that does not necessarily mean the seller
is motivated to make a quick and costly sale. Most likely, the ad
is more designed to generate phone calls and leads rather than sell
the home.
However, there
are times when a seller is truly distressed, willing to make a quick
sale and sacrifice thousands of dollars. With the seller’s permission,
the listing agent will post this information along with the listing
in the Multiple Listing Service. They may also inform other agents
during office and association marketing sessions or by flyers sent
to other real estate offices. Provided this information has been
made generally available to Realtors, your agent should know when
a seller is truly motivated and when it is just "puff" designed
to elicit interest in a property.
The exception
is when an agent is selling a home they have listed themselves or
selling a home that was listed by another agent from their own company.
In such a situation, the agent may be acting as an agent for the
seller, or as a "dual agent," representing both you and the seller.
In such a situation, they cannot legally provide you with information
that would give you an advantage over the seller.
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