A price far below market value just isn't enough for buyers these days. Today’s buyers are in the driver’s seat and more demanding than ever. They are using their advantage to squeeze incentives out of anxious home sellers all over the country.
A national trend is for buyers to pay the seller’s closing costs. In the northeast, sellers are paying to fill the home's heating oil tank. In the West and mid-west the newest trend is for sellers to purchase a home warranty on the home’s appliances. Amazingly enough, a lucky couple in the South received a two-week Hawaiian vacation as a buying bonus!
In the old days, if a buyer backed out of a deal, he or she lost earnest money. Sellers were once confident enough to expect the asking price or above. Today’s buyers are striking back from the “as is” standard of transactions during the housing boom.
Today’s sales contracts include clauses that protect the buyer at all costs. Purchases are contingent on if a home passes inspection, if a buyer is able to get a mortgage or if the buyer can sell his or her own house. Sellers are paying for high-cost repairs found during the inspection, such as furnaces, air conditioners or even roofs – anything to ensure the buyer closes on the property.
Due to the current state of the market, with slow sales, rising inventory and slow sales, sellers must remain flexible to move property in this economy.