Sometimes a buyer is looking at a home and there are extra incentives offered. These could include decorating bonus, flat screen televisions, etc. Although all of this may sound like a good idea, there are some things to think about before offering.
- Determine reason for offering
- Don't use it to mask a too high asking price
- Determine if it is legal to do so
- Do use them to set your house apart (still make sure it is priced well)
- Can help to make up flaws in the house
If you do use to make up for flaws, please heed this warning: You will spend less money in most cases doing the work ahead of time rather than paying the incentive.
As an example, in a medium-sized kitchen with adequate counter space, putting granite in may cost just a couple of thousand dollars. Instead, the seller offer a $3000 allowance. Those two thousand could possibly net you much more than that in the overall sales price.
By the Numbers:
Did you ever wonder what percentage of listing price homes are getting? Here you go:
0-100K: 100.7 percent
100-125K: 98 percent
125-150K: 95.9 percent
300-350K: 98.6 percent
350-450K: 99.6 percent