Better to offer less money or more money but ask for closing credit?

[Gurleen B.]

Hi all,

Looking at making a final offer on a property and wanted some input on two options I have in mind:

Is it better to make an offer for $519,000

or

Is it better to make an offer for $544,000 (his counter-offer) but ask for $25k in closing credits which I can use to buffer any potential issues with repairs/upgrades/renters not being happy with rent increase, etc?

Thanks in advance!

[Hersh Shah]

@Gurleen B. If the counter offer was for $544k, thats what the seller wants to net after concessions. You giving him $544k and then asking for $25k in closing costs is the same thing as a $519k offer for the seller. If you want to get the deal done, you may have to give and take a little depending on the competition for the property and how bad you want it.

If the numbers work for you, don't lose because of concessions that you don't even know if you will need. There will be an opportunity to inspect and see if there is anything that needs to be addressed (assuming you have a due diligence period).