Relators will tell you that you should not buy a home that is for sale by the owner, they caution Buyer Beware. Then again realtors make a lot of money on commission when they try to sell you residential properties and if you do not use a relator then you save on that cost. As long as you do your homework and research the homes you are interested in then you should be able to purchase a home that is for sale by the owner with little or no problems.
Here are some tips that should help you when buying homes for sale by owners.
One of the first things you need to do is have a plan. Ask yourself; how much house can I afford? Then ask yourself where do I want to live? These two questions go hand in hand as depending on where you want to live controls the cost of the home. Do some research on what residential propertiesare selling for in the area, this gives you an idea of what you should pay for a home that is being sold by the owner.
Getting Pre-approved for a loan is a very important step on your journey to buying homes. This gives you the option of knowing just how good your credit is and just how much you have to spend. Once you know how much you are pre-approved for, remember to keep a little back for any fees or costs you may have, such as title searches, attorneys, inspections and things like that. This also can help you when negotiating a price with the owner of the home you would like to purchase, this gives them the knowledge you are able to afford their home and can negotiate in good faith.
Your next step should be contacting the home owner. Their phone numbers are listed on their for sale sign so give them a call. Arrange for a viewing of the home. Ask questions and don’t be shy. You are making a huge investment in purchasing a residential property and you want to make sure you are getting exactly what you want for the price you can afford. Some good questions to ask;
• How long ago was the roof put on?
• How old is the furnace?
• How old is the plumbing in the house?
• How old is the house?
• Is the electric wiring up to code?
Asking these types of questions can save you a lot of headaches in the long run and gives you a good idea of what you are dealing with. If you like what you see and are truly interested in the home then tell the owner that, but also tell them you would like to have an inspector come in and look at the house. If the owner is on the up and up then they should have no problem with that and it may help you in negotiating the price.go to http://www.forsalebyowner.com/real-estate-help/buy-a-house/the-home-search/buy-home-directly-owner/ for more detailed information.
Once you are satisfied with the home now is a good time to hire a real estate attorney. If you are not too savvy about how to go about buying homes from the owners the good news is there are plenty of people to help you. The biggest thing is you have to do the work of the relator so if you do not go through a relator then you should at least get a real estate attorney to help you with all the paper work involved in buying homes. The good news is a real estate attorney costs far less than the commission you would have to pay a relator, so you can save a lot of money that way.
The real estate attorney can help you draw up the contract for buying the home and add to it any information about the buying of the residential property. Then you can present your contract to the buyer and negotiate any issues that may arise. The real estate attorney can also help advise you on any other information you may need to know depending on your local area and state. They can also give you advice on any special paperwork that may need to be completed between you and the seller.
Basically all you need is your real estate attorney and your mortgage lender to assist you with providing the payment to the seller. Now you are ready to close on your new home, all the seller has to do is sign over the deed to the home and close the deal. The very last step is to get the keys and you are ready to move in to your new home.
It is not as complicated as you may have thought buying a home for sale by an owner. The most important thing you can do is do your research. There are plenty of websites and organizations that can help you in your search for buying homes with plenty of information to get you started on the road to being a home owner.