I’ve been thinking a lot lately about the emotions of real estate. Much as we’d all like to think we’re cool headed when it comes to buying a home, it’s usually not the case. And why should it be? It’s not only one of the biggest financial decisions of our lives, but one that will impact us every day and night for many years to come.
Often with real estate purchases, timing is everything. Let’s consider this scenario: A couple is interested to buy a home. They decided on a fair price and made an offer. After going back and forth with the home seller, they realized he was stuck on a certain price and wouldn’t budge. They walk away.
What emotions is the couple feeling when they walk away from negotiating for the home they fell in love with? If it were me, I might try to lessen the blow, rationalizing to myself that it wasn’t the right house anyway. I might really convince myself of that, so much so that when the seller came back many weeks later to accept my offer, I no longer wanted the house. This happens quite often.
Often home sellers assume that if they reject a buyer’s bid, they can come back to them in a few weeks or months and accept it. But often that isn’t the case. Even if the buyer hasn’t found another home by that time, they’ve emotionally moved on.
Home seller tip: If you know you’re likely to accept their top price in the end, you may not want to risk waiting too long to see if they’ll increase their bid. If they walk away, you may not be able to get them back weeks later when you’re ready to accept the deal.
Of course every situation is different, and there are definately cases where a seller should stick to their guns. But often enough it’s best to keep the negotiation rolling. If it gets stalled for too long, it can be tough to get it back on track.
Has this situation happened to you when you were buying or selling a home?