Vendors and purchasers alike expect that in a private sale, the asking price will be negotiated to take into account the different expectations of the two negotiating parties.
Few realise, however, that attributes other than money can also be subject to the negotiation process for a mutually beneficial result.
As a vendor or a purchaser, it pays to find out as much as protocol permits about the needs and desires of the party at the other end of the negotiation process. After all, a vendor may not need to negotiate as many dollars if the other party has needs that can be accommodated and have value in dollar terms.
Some purchasers may be buying now just so they can secure a property for an anticipated move and may not need to occupy in the normal settlement time frame. A delayed settlement may suit their pocket while giving them the security of a home when they need it.
Vendors too need security, and may need to know their home sale is a done deal before embarking on their next project. They may not be ready to move out from Liverpool (for example an elderly couple retiring to a warmer climate who want to know their house is sold but would like to stay until their ailing dog passes away may even rent from a flexible incoming purchaser until the dog dies and they are ready to make their move).
For many vendors, the security of a ‘sold’ home means they know exactly what they can afford to pay for the property they will move to next and renting until the purchasers needs the property themselves (they may even be buying it as an investment and will never occupy!) is peace of mind and time to research their next purchase.
Purchasers too may be buying in advance of actual need in order to secure a property at current market prices or to be sure of buying in a street they have set their heart on.
Inclusions are another item that is often subject to negotiation. Sometimes a piece of furniture or an artwork is particularly ‘right’ for the house and would be hard to replace – indeed maybe hard to re-locate from the vendor’s point of view! – and so becomes a candidate for inclusion in the negotiation process. An antique billiard table that needs to be taken apart to be moved and is not needed when retirees are scaling down is a perfect example. Or a sideboard that neatly fits an alcove and is such a feature that it would detract from the look of the house when removed (and may not be nearly so ‘perfect’ where the vendors are going).
Many vendors – especially those who are scaling down or who are moving to another state or country – find that an incoming purchaser could be the one who is prepared to pay the most to save the time and energy of replacing special items in the same way that the outgoing vendor is the one who has most to gain by selling to someone who will leave it in place. In other words, it can be a mutually beneficial transaction!
If you are a purchaser it pays to remember not to pay too much for any special items vendors are prepared to include to clinch a sale, especially if you work out that the cost of moving them is greater than their value.
