What’s Your Game Plan For Buying a House?

 

Yesterday’s 100th Grey Cup we saw the Toronto Argonauts celebrating a win in the final game of the season.   Certainly skill and talent got them to the game, however the biggest deciding factor was having a strong game plan.  Both Toronto and Calgary established at strategic game plan long before the coin flip. With a game plan both teams knew:

  1. The opponent`s individual and team strengths and weaknesses
  2. The type of game each likes to play (defensive versus offensive)
  3. Their depth of play options with a precise and practiced response
  4. The teams ability to anticipate an opponent`s play then successfully counter it
  5. How to  protect a lead position

When talking with my clients I always stress at the beginning of our relationship how it’s critical to establish a strong home purchasing plan at the start.   Think about it, if we don’t have a strategy and a plan of action then  who will be dictating and determining your home search…your realtor, sellers, or maybe nobody.

1.  You have to have a detailed picture of today’s Toronto real estate market…this means more than whether it’s a seller, buyer or balanced market.   You have to have a solid grasp of the statistical market, which means looking at a minimum what has been selling in your specific Toronto neighbourhood of interest over the past 12 months.  It’s in these numbers where you can identify a window opportunity which will tell you the best time to buy.

2. You have to understand your seller.  Determine if the house is priced right for market.  This is where you have to do your research and try to build a profile of your seller.   Access to social media and Google  provides an excellent tool in probing into a seller’s motivation.  You would be surprised how much information I can find regarding a seller and their real estate agent.   Remember – With knowledge comes power.  Check out earlier blog on getting more information from a selling agent.

3.  Once you decide to put together an offer make sure you allow room to move around.   Build a couple of potential scenarios where you expect the seller to counter with and pre-determine what your response will be.

4. This works in tandem with #3.  Using your practiced playbook you can then respond to whatever seller’s counter offer with a defined tactical action as opposed to scrambling and making a quick emotional decision.  Get emotion off the table.

5. As you negotiate, protect any key issues regarding the house.  Once in agreement then move on to the next negotiation point (don’t re-open points all parties have agreed upon).  Use conditions, irrevocable times or other key issue to keep the agreement to purchase weighted in your favour.

With a strong strategic home buying plan you will have a clear picture of the Toronto housing market. You want to be able to manoeuvre around the landmines and come out a winner.   Go Argos!!!