Buyers Guide: Concessions Beyond The APS
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Loading... - Venita Mitchell
- 20 Mar 2023
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What Are Concessions?
Real Estate Concessions are not unlike other concessions.
In broad terms concessions can be defined as items that are granted, especially in response to demands; a thing given up or traded in favour of something else or a perceived greater good.
While we’ve all heard the phrase “cash is king”.
This, when applied to a real estate transaction, may inadvertently give people new to the market or revisiting it after a hiatus the impression that there only “wheeling and dealing” that can happen is around a property’s purchase price. We, at Canadian Real Estate Wealth, are here to tell you that that is simply not the case.
To help us make a case in favour of concession beyond the almighty dollar amount of the purchase price, we’ve enlisted the help of two fantastic, talented and veteran REALTORS ®, Tony Sbrocchi and Aleksandra Nowak. Nowak and Sbrocchi work in, what is arguably the most competitive market in the province, if not the nation; the Greater Toronto Area.
Why Consider Non-Monetary Concessions
These are important considerations for both the buyer and the seller in any real estate transaction.
We asked Aleks and Tony for their expertise on why considering concessions beyond the offer price is important. Here’s what they were able to share with Canadian Real Estate Wealth readers:
“Negotiating goes beyond price, so considering concessions can be the difference between getting the property or not. Any negotiating that has no cost but improves an offer is always a win.”
A buyer may be at the top of the budget and simply has no more room to give, financially speaking, to make their offer more desirable to the sellers. Conversely, the seller may have a certain dollar amount that they must clear in order to ensure the stars align to carry them to their next big chapter.
Alternatively, either the sellers or the buyers may have other pressures, non-financial considerations that, if the other party is willing to examine, may translate to an improved bottom line and a happy closing for everyone. Read More…
