I'm a Real Estate Agent: 5 Tricks To Negotiate up to 20% Off the List Price
Maybe you’ve always dreamed about owning your first home. Or perhaps homeownership has only recently appeared on your vision board. Regardless of when you realized you wanted to buy a house, you’re likely looking for any advantage you can get, like shaving up to 20% off the list price. Negotiating a hefty discount isn’t always as easy as you’d like it to be, but it’s not impossible.
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MoneyLion connected with Darren Robertson, founder and real estate agent at Northern Virginia Home Pro, to get insights into how it might be done and which types of homes and sellers might be more open to negotiation.
His answers may surprise you.
1. When the Seller Is Under Pressure, They Might Be Open To Negotiate
"Under Pressure" isn’t just the name of that classic song with David Bowie and Queen. It’s also how certain home sellers may feel about their situations. They could be very much under pressure to offload their properties and move on, making them potentially more likely to negotiate.
How do you know if a seller could be under pressure? Robertson said there are a few signs to watch for.
"The general rule of thumb when realistically searching for homes with considerable discounts is to look for properties where the seller is under pressure," Robertson said. "This approach can include scenarios where the owner inherits the property and wants a quick sale, the home needs extensive repairs, or there is an oversupply of housing in weak markets."
Robertson has seen fixer-uppers, in particular, discounted by as much as 78% of their market value in certain cases. But he also advised that sometimes even well-maintained houses that have simply been on the market for a long time can continue losing value while listed.
Given that sellers don’t always advertise that they urgently need to sell, Robertson added that finding these deeply discounted homes can be tricky.
"However, property research tools can help uncover data that may indicate the seller is under pressure, such as the number of days on the market," Robertson said.
2. Sellers Ask How Quickly They Can Close the Deal
While Robertson explained that there’s no universal sign a seller is open to a steep discount, he said there are some indicators that negotiation could be very fruitful. Typically, one of those signs involves sellers asking how quickly they can get the sale over the line.
"They might come back with quick counteroffers, ask questions about sale timelines and offer little resistance if you change terms," Robertson said. "While not always the case, these small things can signal that a seller is motivated to dispose of the property and may be willing to accept a steeper discount."
3. Negotiating Power Lives in the Small Details
Sometimes, you can find big negotiating power in the smaller details of a listing. Robertson said that days on market is one of the most valuable metrics that can put negotiating power back into the buyer’s hands. If the property has been on the market for more than 90 days, it may signal a homeowner is eager to sell, giving a buyer more leverage when negotiating price.
There are a few other small details Robertson advised paying attention to.
"Details such as price cuts and the listing’s quality can also signal negotiating power. Price cuts, especially multiple cuts, signal that seller urgency is increasing," Robertson said. "Listings that lack decent photos, detailed descriptions and have limited showings can suggest the property is less desirable or neglected."
4. A Little Empathy Can Go a Long Way
Ironically, one of the most overlooked negotiation tactics doesn’t involve reviewing listings with a fine-tooth comb or crunching data. It involves basic human empathy. According to Robertson, you shouldn’t forget that a seller may be emotionally attached to the property.
"That means they might assign more value to the property than buyers do, which is why they don’t see a need for a price cut over minor details like repairs," Robertson said. "Instead of aggressively negotiating prices based on observations or inspections, try asking for concessions to reduce seller burden, such as repair credits or coverage of certain costs to help move the sale along more quickly."
Robertson added that showing kindness to sellers by emphasizing speed, convenience and stress relief in negotiations could make it more likely for them to accept a lower asking price.
5. Renegotiation Can Also Work to Your Advantage
Robertson said that buyers can often renegotiate most effectively after a home inspection has been completed, since that is "when uncertainty becomes documented risk." You’re not making vague complaints; you’re bringing professional evidence of real problems to the table.
"Those could include roofing issues, foundation problems, plumbing defects or general safety concerns," Robertson said. "Sellers also know that if the current deal falls apart, future buyers will likely discover the same issues, which weakens the seller’s leverage."
He added that this kind of leverage is especially powerful when homes have already been on the market for a while or when the seller seems motivated to close quickly.
The Bottom Line
Buying a home can feel like a complicated dance between buyer and seller, especially when the buyer is hungry for a deep discount. But if you keep smart advice and human empathy in mind, you could shave some of the cost more easily than you think.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal, or tax advice.
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