This article was taken from an interview with a Coldwell Banker Real Estate Broker Associate, Danielle Moy

Buying your dream home is thrilling and exhilarating, at times critical decisions have to be made within days, even hours. Real estate experts help others make these types of decisions everyday and they understand the ins and outs of contracts, but new buyers and sellers should still educate themselves to understand and feel confident about the process.

Here are the top five tips for negotiating buying a house:

1. Timeliness is key – set a goal when you want to respond to a seller’s counter offer. Don’t forget there are likely other offers on the table and new ones potentially being submitted.
2. Communicate – let your realtor know as soon as you receive the counter offer. Undocumented negotiations can lead to serious issues down the line, so write down your response as soon as you make a decision.
3. Ask questions – seek guidance from your realtor regarding the counter offer. Too many buyers make decisions without using resources that could streamline the negotiation process.
4. Build a strategic case – develop an answer for why you’re accepting or countering the contract. Don’t forget to have your realtor review your case. For credibility, have your mortgage lender verify your credit and income with the seller’s realtor.
5. Confirm payment eligibility – have your lender assess and approve your response to the counter offer to make sure you can meet monthly payments.

Here are the top five tips for negotiating selling a house:

1. Review – if you receive multiple offers and are trying to decide which one to counter, thoroughly read the terms of each contract. Find out about the buyers financial plan, how much they are putting down and if they have a house to sell.
2. Respond quickly – buyers have chosen your house out of dozens on the market. A timely response to an offer demonstrates you value their choice. If you wait too long to send a counter offer, they may get buyer’s remorse. It’s typical for sellers to counter an offer the same day it’s submitted.
3. Follow-up – when countering a buyer’s offer, stay in constant contact with your realtor. Make sure they have reviewed and approve of your counter offer. Have your realtor contact the buyer’s realtor if too much time has passed.
4. Confirm – it’s a good idea to have your realtor confirm with the buyers lender to verify their pre-approval information.
5. Assess – take the time to look over your seller net sheet with your realtor. After the deal is secured, you will want to know how much you will receive after your loan is paid for and closing costs are transacted.