Five Great Buyer Incentives for a Slow Market

The current real estate slowdown has brought out some of the most unusual buyer incentives we’ve ever seen, from fully paid week-end getaway vacations to brand new cars. When it comes to incentives for buyers, though, the simple fact is that money talks. Here are five great buyer incentives that really work in a slow market.

Pick up the closing costs. This is especially effective for first time home buyers who are adding closing costs to the amount they financed for the home – it eliminates thirty years worth of interest on those few thousand dollars.

Contribute to the down payment. Take whatever you would have spent on an incentive and offer it as down payment assistance. When you consider that a higher down payment can result in a lower interest rate, a contribution to the down payment is a powerful incentive.

Pick up the tab for several months of homeowner insurance. Insurance companies will often discount premiums paid in advance, so you’ll get a bargain price. For your buyers, it means extra cash in those first few months when they’ll be settling in and need it most.

Pay for a home fixtures/appliance warranty for a year. For home buyers who are already paying insurance and all the attendant costs of a new home, the added peace of mind will be invaluable.

Offer relocation assistance. Moving costs are yet another expense where most new home buyers will appreciate assistance.

Offer to pick up the tab for the movers.

Marc Rasmussen

Realtor with SKY Sotheby's
International Realty selling
Sarasota, FL real estate