Incentives to Purchase Real Estate – Good, Bad, or Indifferent?
Sellers offering incentives to buyers has become somewhat common nowadays due to the economy, but does it really work? And if so, which idea works the best? Right now buyers are looking for an absolute steal or they are looking for a fairly priced home that has all of the nice finishing touches.
The most common incentive is to offer to pay closing costs. Other popular incentives are things like paint, carpet, landscaping or appliance allowances.
However, do incentives that are unique grab a buyer’s attention and make them want to find out more? For example, maybe the seller has a time share in Vegas or owns a cabin in the snow and can offer buyers an all expenses paid vacation for a week. Or the seller owns season tickets to a sports team that are really difficult to get, or has an all exclusive spa treatment weekend the seller can offer potential buyers. Would that persuade you more to focus on that particular home because there is a incentive involved?
How about though, if the seller just lowered their price? Forget all the fancy incentives and details, just lower the price? Fairly priced and nice finishing touches…isn’t that attractive too?
What are your thoughts on Incentives?
And thank you for making me Your Orange County Real Estate Connection.
Michael Caruso, Broker ABR ABRM CLHMS CRB CRS GREEN GRI
Past President, Orange County Association of Realtors (949) 753-7900