Housing Authority:
Click on each step to view what it entails.
Making Your Offer
Congratulations!
You have reached a significant milestone in your home-buying journey. Once you have found your dream home, the next step is to make an offer. Before submitting your official offer, stay calm and do not make any hasty decisions. Keep yourself informed, and be sure to consider the following:
Compare with Recent Nearby Property Sales: Were there any recently sold properties in this area? What price did they sell for? When comparing recent nearby property sales in the same area/locality, you should also consider the property’s characteristics
Professional Guidance: Hire an architect to examine the property and ask for feedback on the price and whether it has any significant repair and maintenance costs. The architect should also verify whether the plans comply with the planning and sanitary regulations and whether any modifications or extensions made to the property have all the necessary permits. In the case of any irregularities or illegalities, the promise of sale agreement can include an obligation for the seller to resolve these issues. You should also identify the potential for development, not only of the property in question, but also of neighbouring properties and those nearby. Gathering information about the area’s designation (e.g., residential, commercial, or mixed-use) is also essential, as it can significantly impact potential long-term changes in the area.
Market Analysis: See other properties on the market with similar characteristics and their asking price. Does your offer align with current market prices? Do not forget that location and the standard of finishes, among other factors, can significantly affect the property price.
Other Interested Buyers: Find out if there are any other potential buyers interested in purchasing the property or if there have already been offers received by the owners that have not yet been accepted.
Asking Price: While conducting your research, also consider the property’s asking price. Remember that the asking price is rarely the closing price—there is always room for negotiation.
Now that you have considered the above, you are ready to make your official offer. The owner may make a counteroffer on the price. If you are buying the property independently, this is where your negotiation skills come into play. If you are using a real estate agent’s service, be clear with the agent about how much you are willing to pay, and they will negotiate on your behalf. Finally, when you make an offer, always inform the property owner that it is subject to bank loan approval should a loan be required.
Step-by-Step Guide for First Time Property Buyers
This step-by-step guide is also available for download through the button below.
