While negotiating an offer this weekend I had some clients that made a great decision and SOLD a vacant older home on terms rather than price. You may ask, “well what does that really mean and when is the best situation to use it?”
Terms vs Price
For starters terms over price means you like the terms of the contract so you’re willing to come down on your selling price. For example, a vacant home that’s older and has been sitting for a while is a great place to use this strategy. The offer price comes in lower but it’s a complete “AS IS” sell with no repairs built into the contract.
This can be more significant than just not paying for repairs. This also means that there will be no home inspection, no repairs, and no worries at all for you as the seller (except for the appraisal). All goes to closing leaving you with no responsibility to make any fixes. Because you can bet if you have a home inspection on a home that’s 50 years old and been sitting vacant for months, there will be issues that arise. So if you can bypass that by taking a few thousand less, then why wouldn’t you? It’s a simpler more solid deal with less stress for the seller!
Terms over Price is probably not best used on a newer occupied home because there shouldn’t be any issues to really be concerned with. And a lot of times, buyers are only doing an inspection as a precaution, not to try to find issues.
Hiring an experienced licensed agent will help you as a seller jump all these hurdles. Call a professional from The Realty Firm today to help assist you with more helpful tips on making your deal as stress free as possible.