Should You Offer Buyer Incentives When Selling Your Home?

By Tammy Jerome

Tammy Jerome is an award-winning broker and host of “Selling Los Angeles” on the acclaimed American Dream TV show, with over two decades of experience and more than 1,500 successful transactions.

Have you ever wondered if offering buyers something extra could help your Los Angeles home sell faster? Maybe your house is spotless, smells fantastic, and looks picture-perfect, but you’re still waiting for an offer. If that sounds familiar, you’re not alone. Many sellers ask if giving buyers a little bonus will help. The truth is, sometimes it can, but it depends on the market and how you do it.

Let’s take a look at when buyer incentives can help and how to use them the right way.

What buyer incentives really are. Buyer incentives are small extras that make your home more appealing to potential buyers. They are like a treat that makes buyers look twice at your listing. Some sellers help buyers by paying part of their closing costs, lowering their interest rate for the first year or two, or leaving behind items like furniture or appliances.

In a market where homes take a while to sell, these small gestures can make your home stand out and get noticed.

How a rate buy-down can help. Imagine a buyer qualifies for a 6% interest rate. You could offer to help lower that rate to 4% for the first year and 5% for the second. That could save the buyer hundreds of dollars each month. For some buyers, that kind of savings is the reason they choose your home instead of another one. It makes buying your home feel easier and more affordable.

When offering incentives makes sense. Incentives work best when your home has been listed for a while without offers. They can also help if people are coming to see your house but no one is making an offer, or if other sellers nearby are offering deals as well.

Some buyers are nervous about high payments or the economy, so offering help can ease their worries. But if your home is in a very busy market where homes sell quickly, you may not need any incentives at all.

Why buyer incentives can work. People love feeling like they are getting a deal. Even a small perk can make a buyer feel excited about your home. Features like help with closing costs or a home warranty can make buyers feel valued. When buyers are satisfied, they are often easier to work with during inspections and the closing process.

Don’t give too much. While being generous sounds nice, giving away too much can sometimes make buyers suspicious. They might wonder if there’s something wrong with the home. The key is to offer just enough to make your home more appealing without going overboard. One or two thoughtful incentives can do more good than giving away too many things or dropping your price too low.

The right buyer incentives. Every neighborhood in Los Angeles is different. What works for a home in one city might not work for homes in another city. The best way to determine what to offer is to consult with a local real estate expert who understands your specific area.

If you’re wondering whether offering buyer incentives could help your Los Angeles home sell faster, let’s find out together. Call 818-903-5854 or email tammyjerome@gmail.com today, and I’ll help you understand which incentives work best, how to use them wisely, and how to attract serious buyers without cutting into your profits.