Negotiations and Inspections

TLDR
After contract, the common stages are inspection, inspection resolution, appraisal, and closing. Do not accept every price or repair request automatically. Give your agent a real explanation to carry to the buyer’s agent.

Table of Contents

A house goes under contract, then usually moves through inspection, an inspection resolution, appraisal, and closing.

The First Price Negotiation

Suppose the house is listed at $350,000 and the buyer offers $320,000. I would not accept it automatically. I also would not necessarily answer with “$350,000 or nothing.” In the lesson, I used $340,000 as a pushback that still keeps the talk moving.

My belief is that a buyer who wants the house was ready to pay near the list price. The exception is a low offer made only to steal a deal. The buyer may still walk, but I am willing to push instead of giving up the price at once.

Sell Through the Other Agent

You are usually communicating through your real estate agent, who is communicating with the buyer’s agent.

That means your explanation matters. Give your agent the real reason for the price. Your agent can persuade the buyer’s agent, and the buyer’s agent can influence the buyer.

The same idea starts before the offer. In a tough market, I want my agent to call the other agent before the showing. Point out the parts of the house the buyer should not miss. The buyer’s agent can carry that into the tour.

Carry the Reason
The seller usually does not negotiate with the buyer directly. Give your agent a clear reason that can survive the handoff to the buyer’s agent.

Inspection Resolution

After the inspection, the buyer may ask for repairs or a credit. Do not respond with an automatic yes or a hard no. Play some hardball and evaluate the actual request.

Market conditions affect how much room you have. A buyer’s market may require more compromise. In a seller’s market, another buyer may give you more ability to refuse.

FAQ

Does the $340,000 response apply to every $320,000 offer?

No. It is the lesson’s example of pushing back on a $320,000 offer against a $350,000 list price, not a universal counteroffer formula.

What should the listing agent say before a showing?

In the lesson’s tough-market example, the agent calls the buyer’s agent and points out features the buyer should not miss.

Should I accept every inspection request?

No. Evaluate the request and the market. The lesson says a buyer’s market may require more compromise, while a seller’s market may give you more room to refuse.