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The Art of Mastering Properties

Sunday, December 18th, 2016

What You Should Do When Buying a House ‘For Sale by Owner

If you’ve looking for a house to buy lately, you probably have come across a sign in one or a few prospects, saying “For Sale by Owner.” Now supposed you happen to like one of them houses with that sign, you’re probably wondering what it really means and if it is any different to other homes without that sign.

The one thing you need to understand first and foremost is that buying a house being sold by the owners without the representation of a realtor comes with definite benefits as well as some risks.

In the usual case of selling a property in the market, the owner of that property will list his or her home through a real estate agent. In this arrangement, the home seller/owner will also be carrying with him or her the responsibility of paying the realtors’ fees, both to his or her own agent and the agent who represents the buyer. Therefore, in order to save money by avoiding the usual commission or fees to be handed out to a realtor, a lot of people these days who sell their homes or property choose to list and sell their property on their own. That’s why they put up the sign in front of their home for sale – “For Sale by Owner.”

Read the rest of this article for you to learn some important tips on how to deal and handle this kind of real estate transaction.

1 – Know that there are some services you no longer will get due to the absence of a realtor.

Now let’s say you’ve been working with a real estate agent while looking for a new place to purchase, but suddenly you found that one with an “FSBO” sign and you feel like it’s really the one. The thing is when you decide to purchase the home with an FSBO sign, it means you can never continue working with the realtor for the simple reason that the seller won’t be giving any commissions.

2 – Get a mortgage pre-approval first.

If you already have started looking for a house to buy, it means you already have pre-approval for a mortgage. But if you still don’t have one, it means you should stop looking for houses to buy and instead make sure you get a pre-approval first. Talking to an owner/seller without presenting a pre-approval letter will likely turn them off, suspecting that you’re nothing but a window shopper.

3 – Don’t forget home inspection.

Know that even without the help of a realtor, there are certain steps in the home buying process that you can never afford to skip. For instance, doing a home inspection is a must. For you to get the assurance that the property does not have hidden problems that could cost thousands of dollars in repair later, you need to tap the services of a qualified professional to do the home inspection.

So those are just some of the few things you need to do when you’re buying a house for sale by its owner.
Finding Ways To Keep Up With Houses
A Brief History of Sales

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