It’s a haggler’s market: How to negotiate down the price of a home

No one is suggesting that buying a house or apartment should be like buying a carpet in a Moroccan souk.

But haggling is now completely normal in either case, especially as the real estate market continues to cool.

After all, as many as one in ten home sellers lower the asking price within 30 days of entering the market to increase their chances of attracting a buyer, according to new research from real estate buying specialist House Buyer Bureau.

The climate is clearly ripe for haggling.

So how do you best negotiate your way to buying your dream home? We asked the experts…

Should I make a very low offer?

Doing this for no apparent reason can cause relationships to deteriorate. So do your research, weighing the condition of the property, the local market and potential demand.

All the little defects give you some wiggle room – “I’d say this is one of the most important things a house hunter can do, especially as a first step in the negotiation process,” says Simon Bath of real estate technology company iPlace Global.

Then, if it’s clear the property is too expensive, don’t be afraid to be robust about making a lower offer, recommends Jonathan Rolande of The National Association of Property Buyers.

However, he advises against going too low, as you’ll annoy the seller and lose your credibility.

“Remember, what you’re offering shouldn’t be based on the asking price, but on what you’ve estimated its true value, then bid below that.”

What makes me an attractive bargainer?

“Cash is king,” says Thomas Goodman of MyJobQuote. co.uk. Cash buyers are the safest option for the sellers because there is no chain.

If you can’t buy a property entirely with cash, try to get as close to a cash buyer as possible.’

Otherwise, it helps to make it clear that you have set up your mortgage. “Put your budget together, collect all the paperwork you need, and be realistic about what you can achieve,” says John Jones, director of residential real estate at law firm Jackson Lees.

Can you trust the broker?

The broker works for the seller, not for you. They are paid when the property is sold.

And the higher the price, the higher their fee. “The broker shouldn’t lie, but they can create an overwhelming need to put in your highest and fastest offer as early as possible.

“So no, don’t trust them — trust yourself,” says Jason Corbett of Rowallan Buying Agents.

Instead, says Jonathan Hopper, CEO of Garrington Property Finders, if you’re going to haggle, ask them if there have been any other offers.

“They should tell you if it is, albeit not the amount, but it’s worth asking for the numbers just in case.”

And consider using a buying broker to deal with a selling broker, Hopper adds.

“Their efforts can often push a large amount off the price, which more than covers their fees.”

Can I negotiate fixtures and fittings?

Fixtures – that is, the things that are attached to the wall – should be included. Fittings, such as furniture, are negotiable.

“You could say I’ll pay you this if you count that,” says Corbett. It can also help to find out where the seller is going.

For example, if they are moving from a house to a flat or emigrating, ask them to leave garden furniture and tools – they are expensive to buy new.

Do I have to disclose my budget?

Never, ever disclose the maximum amount you are willing to pay to the seller or broker.

“Agents like a buyer who says, ‘I’ll offer £90,000 but go to £100,000 if I have to,’ says Rolande. “They work for the seller and are required by law to report all offers, so be careful what you say.”

Dropping into the conversation that you are looking at another property can also help take things further.