The Art of Settling On a Price Point in Your Real Estate Deal

| Posted: 15-01-2008 | Comments: 0 | Views: 5 | Rating: (50)

(?)

When you are in the process of buying or selling a house, then there is no perfect price, which can be tagged to the house. The correct price would be different in the buyer's and seller's eyes and the perfect price then, would be the price at which you both mutually agree upon.

The price point therefore is the maximum permissible price you could be able to, or are willing to pay or accept for your property. So, if you have seen a property, which has appealed to you, then you will have to decide first as to how much you would be willing to go by to pay for it and also compare it with how much you actually have to be able to purchase it. So, if you end up paying too much to purchase the property, then you will have to pay additional interest on it, if you have taken a loan and you would have a tough time, while selling it. So, there are some ways, which could help you to calculate the right price point for the property.

You could start by checking out the rates in the neighborhood of the location of the property. That would give you an indication of the current rates of that locality. You could even pose as a buyer or seller and check out the property yourself. Check the physical condition of the property, such as the age of the property, the condition and the asking price. That will give you an idea as to the price, where you can slot your property, which you are planning to buy or sell.

If you are planning to sell your property, then ask for a price, which is slightly higher than the market price prevailing. Since, you might start getting offers, which will be lower than the market price, this will provide you some slack to then lower your price a little bit. Negotiating is common between buyers and sellers in any real estate deal. So, you should be well prepared to do just that. Do not take the opposite party's stance personally. Rather put yourself in their shoes and imagine what you would do, if you had to negotiate. Keep calm and be polite, but firm while negotiating.

Do your homework well, in the sense to calculate all the financial angles, such as the rate of interest, the amount of down payment and any other expenses, which are to be done on the property, before arriving at any figure, to be quoted from your side. If any survey or appraisal has to be conducted on that property, then it has to be decided as to who will bear the costs and that too has to be included in the price factor.

A real estate broker would be of great help, if you were new to this type of dealing. He can help you to calculate all hidden costs, which you might not be aware of. Also, your right point might not be fixed and would also depend on whether the buyer of your property is offering you full payment cash down, or if he is offering you part cash and the balance through any financial institution. Keep your options ready and clear in your mind.

Remember, that flexibility is the key in any negotiations, but you should be clear and firm, to be able to resist getting sucked into the opposite party's negotiating web. The final price, which is settled upon should hence, make both of you happy and that you have achieved your respective price point.

Rate this Article:

Current: 0 / 5 stars - 0 vote(s).

Article Tags: Real Estate, Real Estate Investing, Real Estate Investment, Investment Home

Article Source: http://www.articlesbase.com/real-estate-articles/the-art-of-settling-on-a-price-point-in-your-real-estate-deal-305315.html

Print article

Send to friend

Publish this Article

Author feedback

About the Author:

Real Estate Investments in 14 cities are available now. These investment homes cannot be found under a MLS listings as they are part of our private wholesale investment home inventory. To see how we make Real Estate Investing easy visit our website at http://www.realnetusa.com.

Submitting articles has become one of the most popular means of generating quality backlinks and targeted traffic to your website. Join us today - It's Free!

Article Comments

Add new Comment

Great Reasons to Invest In Preforeclosures
By: Kris Koonar | 15/01/2008 | Real Estate

Making the Most of a Real Estate Windfall
By: Kris Koonar | 15/01/2008 | Real Estate

Getting a Start in the Started In Commercial Real Estate Market
By: Kris Koonar | 15/01/2008 | Real Estate

The Keys to Successful Real Estate Investing
By: Kris Koonar | 16/01/2008 | Real Estate

The Essentials of a Real Estate Contract
By: Kris Koonar | 16/01/2008 | Real Estate

Why Does Investing In Real Estate Create Wealth
By: Kris Koonar | 16/01/2008 | Real Estate

The Rookies Guide to Real Estate Investing
By: Kris Koonar | 16/01/2008 | Real Estate

Buying and Selling Investment Condos
By: Kris Koonar | 16/01/2008 | Real Estate

Got a Question? Ask.

Ask the community a question about this article:

Q&A Powered by:

Latest Real Estate Articles

How to Work With Realtors
By: Peter Vekselman | 13/10/2008
How to Work with Realtors

An Overview of Hip
By: Abhishek Sircar | 13/10/2008
Home Information Pack is a source of authentic information about a property that needs to be furnished to a possible buyer before putting it for sale in the open market.

Water Wells and Rural Living
By: Peter Gooding | 13/10/2008
You’ve found your rural Shangri La; unspoiled acreage with breathtaking views, a comfortable drive from home, and close to a charming small town. There’s one catch, however; no water company serves the area so you’ll have to rely on your own well for water. While the seller assures you “the groundwater is sweet and abundant,” you know nothing about water wells. So, you hesitate to commit to your dream property.

Miami Real Estate - Buying Pre-Foreclosures
By: Hector Lesende | 13/10/2008
A pre-foreclosure is when the owners are not making their mortgage payments and get a notice of default from the bank. They have a very limited amount of time to try selling the house or get caught up in their payments before the bank forecloses on the property. Every investor...

Condo Hotels for Your Vacation Home
By: Kuldip Goyle | 13/10/2008
Condo hotels provide hurdle-free vacation home ownership. The management organizations take care of all upkeep, maintenance and interaction with renters.

Information on Real Estate Development in Metro Cities of India
By: Matinez | 13/10/2008
Over the preceding three years or so, prices of real estate in Indian metros have witnessed a quick mount, with a return of nearly 40 per cent annually being rather common. Even though there seems to be a little quantity of haze still left, prediction of some experts suggests that prices will either remain steady or go down in 2008.

In Comparison: Apartment Vs. Condominium
By: phoenix06007 | 13/10/2008
Wondering if condominium living could be right for you? Almost in ever corner of a highly urbanized city, a high rising condo towers the street. The fame of state-of-the art living has captured almost the attention of city dwellers to shift from the traditional apartment to condominiums.

Exclusive International Property Sale
By: Kuldip Goyle | 13/10/2008
Overall, it will help you extremely and speed up the process purchasing an international property if you to improve understanding between you and the other parties you will deal with can only be good.

More from Kris Koonar

Your Guide to an Excellent Commercial Truck Driving Education
By: Kris Koonar | 02/09/2008 | Careers
Companies are always looking reliable and skilled truck drivers to deliver their products anywhere in the country. This may also include packers and movers, and other companies not dealing in any specific product types, but services.

Look To A Bright Future In Commercial Truck Driving
By: Kris Koonar | 02/09/2008 | Careers
If you're good and have a clear driving history, you wouldn't look for a job, but the company will look out for you! Never before has the outlook and thrill of a career in truck driving been better.

The Benefits Of A CDL Training
By: Kris Koonar | 02/09/2008 | Careers
To drive those huge vehicles, it is required by law to complete your CDL and go through the process to train for a career in driving trucks.

Finance Tips For The Graduating High School Student
By: Kris Koonar | 02/09/2008 | Finance
When it comes to money, planning plays an important role. Take help from elders to manage your finances and advice when it comes to spending.

Preparing For Your Commercial Truck Driving License
By: Kris Koonar | 02/09/2008 | Careers
You cannot drive a truck without a CDL, let alone any heavy vehicle. Therefore, the bottom line is that if you want to establish yourself in the truck driving business, obtaining a CDL is essential.

Commercial Truck Driving Schools- How To Choose The Best
By: Kris Koonar | 02/09/2008 | Careers
While choosing the truck driving school, you have to consider whether the school is certified, and able to meet requirements and standards needed in the trucking industry.

How To Get The Right CDL Training
By: Kris Koonar | 01/09/2008 | Careers
You may need to find out Institutes or training companies or schools to pursue in your CDL training and receive driving certifications. You could contact various drivers, who would give you the best information from their network.

How to Get a Commercial Truck Driving Job
By: Kris Koonar | 01/09/2008 | Careers
Commercial truck driving is a lucrative and secure career these days, making it a much sought after option. Before you can become a certified commercial truck driver, you must pass a few tests.

Article Categories

Article Marketing

Article Notepad

Stop Duplicate Content

Term Papers

Need Help?

Sign up for our email newsletter

Receive updates, enter your email below

Use of this web site constitutes acceptance of the Terms Of Use and Privacy Policy | User published content is licensed under a Creative Commons License.
Copyright © 2005-2008 Free Articles by ArticlesBase.com, All rights reserved. (0.32, 17)

The Art of Settling On a Price Point in Your Real Estate Deal

Article Comments

Related Articles

Got a Question? Ask.

Latest Real Estate Articles

More from Kris Koonar

Need Help?

Site Links

Webmasters

Business Info

Sign up for our email newsletter