5 key points for negotiating the right house price

Since negotiating is an art, and not one you're born with, here are our 5 sure-fire tips for negotiating the purchase price. How much can you reduce the sale price of a house or apartment? Let's get started!

1 - Prepare your negotiation by studying the local market

Before you start negotiating, remember to take stock of the current local real estate market. An inventory of current prices is essential. There are several ways of doing this:

• Consult the price per m2 of real estate agency ads,
• Consult the prices of houses for sale on private websites,
• Check prices of properties sold nearby.
• Find out about prices per square metre in your area,

Studying the price of properties for sale/sold nearby is essential for negotiating the sale price, and will provide you with comparisons that you can present to the sellers or the real estate agent.

It's also important to review your financing file. The more precise it is, the more you'll have on your side to ensure your negotiation goes smoothly: take stock of your possible down payment, call in a broker, run loan simulations, find out about bridging loans...

Highlighting your financial capabilities is a plus that can't be overlooked when it comes to lowering the sale price. You need to be sure of the financial solidity of your file in order to demonstrate your seriousness. All the more so if the owner receives several offers. The key word here is anticipation.

2 - Find out how long the property has been for sale

This is an important aspect of your negotiation, because the longer the property has been on the market, the greater the chance that the owner will be open to negotiating the price. So don't hesitate to offer a lower price... time is on your side.

If the ad has been online for more than 3 months, the ground will certainly be more favorable to negotiation. If the property is slow to sell, this may be due to a number of factors:

• To the current situation,
• The fact that the posted selling price is above the market price (overvalued),
• Potential loss of value of the property (location, brightness, need for refurbishment, etc.),
• Too high a purchase price from the seller...

To do this, don't hesitate to discuss the matter with the owner during a counter-visit, for example, or to turn to your real estate agent who, don't forget, is also there to help you in this process.

To optimize the negotiation, make a note of the various unfavorable points of the property (work to be carried out, price higher than the market, noisy neighborhood...) and when you're ready to make an offer to purchase, discuss the various negative points in advance.

3 - Talk to the owner before negotiating

When negotiating, remember not to ignore the human aspect, and try to show empathy, as this can work in your favor. Try to understand the seller: his reluctance to lower the price, to keep his property above the market price, to want to sell quickly or not to be in a hurry.

Try to find out his precise expectations by talking to him during your visits, and by taking an interest in his project. This will provide you with important additional information to prepare your negotiation. Don't forget that trust is a noble ally. It's an important real estate purchase for you, but an important one for the seller too.

Be transparent and respectful in your dealings with the seller, and tell him or her about your plans, your plans for your family in the house... don't forget the human side, which is essential in any negotiation.

Worth knowing: At BrickSquare, we regularly observe that many sellers pay particular attention to buyers' profiles. They are often more flexible in negotiating if the profile appeals to them... They probably want the best for their property!

4 - Real estate negotiation: Give yourself room to manoeuvre

You've finally calculated your envelope, you know your budget perfectly (including notary fees) and you're ready to make your offer. But be prepared for a possible counter-offer from the owner, who also knows the ins and outs of negotiation.

So don't hesitate to make an offer a little below what you can afford to invest, to leave yourself some room for negotiation. Don't forget: even if a negotiation takes time to prepare, you still need to be reactive.

You're not necessarily the only potential buyer interested in the property and its asking price. So be sure to contact the owner or real estate agent as soon as possible to express your interest in the property, discuss local real estate prices, ask for the technical diagnostic file, the estimate for any work carried out...

A successful real estate negotiation often requires several offers and counter-offers. A seller who says yes right away often shows that you could have negotiated more...

5 - Negotiating agency fees

When an ad is sold by a professional, the price of the property will be heavily impacted by agency fees! Agency fees represent 3% (excl. VAT) of the property price. It's worth noting that agency fees are entirely negotiable, especially when the property is for sale under a simple mandate, and is being sold by several competing agencies. To ensure a minimum income, real estate agents are sometimes open to lowering their own fees.

Don't forget that the real estate agent has the same interest as you: to move the sale forward.

It's important to remember that not all properties for sale need to be negotiated, and it's important to know how to position yourself quickly and without negotiation when you spot a good opportunity.

Now you're ready to tackle your negotiations with confidence!