Peter Brooks, Barclays’ behavioural finance expert revealed his top ten tricks for negotiating when making a house purchase.
Mr Brooks shared his tips after a Barclays Mortgages survey revealed over half of those who had bought their first property in the last five years regretted not trying to hammer out a better deal.
He said: “Buying a property is the biggest investment of most people’s lives and it’s imperative that the negotiation process is approached with a healthy combination of pragmatism and fearlessness.
“The biggest mistake many first-time buyers make is to rush into decisions and then panic once they have been made.”
Sharing his rules for negotiating, Mr Brooks said:
- Be clear and assertive. When buying a property, many parties are involved meaning miscommunication is common. Being clear, decisive and assertive will ensure a faster process which the seller will ultimately appreciate.
- Be a good listener. An estate agent is always looking to secure a deal. They will often share insights into the seller’s thinking, providing tips on their priorities and clinch points to secure the sale.
- Do your research. Many online tools allow prospective buyers to see average selling prices, school catchment areas and crime rates in the local area. Buyers can use this knowledge as negotiation ammunition.
- Know your limits and stick to a budget. Save money for hidden costs – including surveys, insurance, removals and solicitor’s fees.
- Be patient. Buying a new property can be time-consuming and frustrating. It can take time to find the right mortgage rate or property. It can be easy to forget that both parties want the same outcome – a successful sale.
- Do not take it personally. Buying a new home should be seen as a smart investment. To help reign in emotions, invite someone else to view the property with you to provide a more practical opinion.
Peter Brooks shared his tips as it was revealed house prices across the UK have fallen for the first time since 2009, but sales are…