FSBO - A Buyer’s Guide
The number of people who sell their home privately is growing rapidly. These vendors are known as "For Sale By Owner,” or FSBO. They make use of real estate websites to post their advertisements. As a buyer, you can profit from a FSBO deal since the expense required for marketing the house is less for a seller, compared to other means of property sale through an agent.
Here are the guidelines that will help a buyer get the best out of a FSBO deal.
- Identify your dream home from the FSBO listings on RealtyBargains.
- You will find all the necessary contact information of the seller, with each FSBO listing.
- It would be advisable to get pre-approved for a loan. Consult lenders, study and compare costs and interest rates, and be sure to have financing ready to avoid a last minute rush.
- A local real estate agent can give you a good picture of local trends and the various financing options available for you.
- Try to get a better idea of the local market condition and the real value of the property before you start discussing sale price negotiating.
- A real estate home inspector will have the expertise to figure out the exact condition of a home. Arrange a home inspector who is proficient enough to calculate the remaining life of the various systems in the house and the amount of maintenance that could arise in the future.
- In most states, a seller is expected to fill out a disclosure statement. You can ask the seller to provide you a copy of it.
- Make sure to check the home's current insurance record (CLUE report), this could let you back out if you can't attain insurance at rates you find reasonable.
- Make sure the agreement lays down all the points that should help you for a smooth transaction. If you are a first time home buyer, you may hire a professional to help you with the paperwork.
- Any agreement made should be in writing and make sure to get it certified by a home inspector and a real estate attorney before you sign them.
- Consult a real estate agent or an attorney whom you can call at any moment to discuss issues regarding the transaction.
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