Florida Sam's Home Buyer "Tips"
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Buying A
Florida Home - Making an Offer to Buy
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Can you buy homes below
market? |
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While a
typical buyer may look at five to 10 homes before making
an offer, an investor who makes bargain buys usually
goes through many more. Most experts agree it takes a
lot of determination to find a real "bargain." There are
a number of ways to buy a bargain property:
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Buy a
fixer-upper in a transitional neighborhood, improve
it and keep it or resell at a higher price.
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Buy a
Foreclosure Property (after doing your research
carefully).
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Buy a
house due to be torn down and move it to a new lot.
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Buy a
partial interest in a piece of real estate, such as
part of a tenants- in-common partnership.
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Buy a
leftover house in a new-home development.
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What is the difference
between list and sales prices? |
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The list price is how much a house is
advertised for and is usually only an estimate of what a
seller would like to get for the property. The sales
price is the amount a property actually sells for. It
may be the same as the listing price, or higher or
lower, depending on how accurately the property was
originally priced and on market conditions. If you are a
seller, you may need to adjust the listing price if
there have been no offers within the first few months of
the property's listing period. |
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Are low-ball offers
advisable? |
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A low-ball offer is a term used to
describe an offer on a house that is substantially less
than the asking price. While any offer can be presented,
a low-ball offer can sour a prospective sale and
discourage the seller from negotiating at all. Unless
the house is very overpriced, the offer will probably be
rejected. You should always do your homework about
comparable prices in the neighborhood before making an y
offer. It also pays to know something about the seller's
motivation. A lower price with a speedy escrow, for
example, may motivate a seller who must move, has
another house under contract or must sell quickly for
other reasons. |
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What contingencies should
be put in an offer? |
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Most offers
include two standard contingencies: a financing
contingency, which makes the sale dependent on the
buyers' ability to obtain a loan commitment from a
lender, and an inspection contingency, which allows
buyers to have professionals inspect the property to
their satisfaction. A buyer could forfeit his or her
deposit under certain circumstances, such as backing out
of the deal for a reason not stipulated in the contract.
The purchase contract must include the sellers
responsibilities, such things as passing clear title,
maintaining the property in its present condition until
closing and making any agreed-upon repairs to the
property. |
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Who gets the furnishings
when a home is sold? |
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It depends.
Fixtures, any kind of personal property that is
permanently attached to a house (such as drapery rods,
built-in bookcases, tacked-down carpeting or a furnace)
automatically stay with the house unless specified
otherwise in the sales contract. But anything that is
not nailed down is negotiable. This most often involves
appliances that are not built in (washer, dryer,
refrigerator, for example), although some sellers will
be interested in negotiating for other items, such as a
piano. |
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Whose obligation is it to
disclose pertinent information about a property? |
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In most
states, it is the seller, but obligations to disclose
information about a property vary. Under the strictest
laws, you and your agent, if you have one, are required
to disclose all facts materially affecting the value or
desirability of the property which are known or
accessible only to you. This might include: homeowners
association dues; whether or not work done on the house
meets local building codes and permits requirements; the
presence of any neighborhood nuisances or noises which a
prospective buyer might not notice, such as a dog that
barks every night or poor TV reception; any death within
three years on the property; and any restrictions on the
use of the property, such as zoning ordinances or
association rules. It is wise to check your state's
disclosure rules prior to a home purchase. |
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What are some tips on
negotiation? |
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The more
you know about a seller's motivation, the stronger a
negotiating position you are in. For example, seller who
must move quickly due to a job transfer may be amenable
to a lower price with a speedy escrow. Other so-called
"motivated sellers" include people going through a
divorce or who have already purchased another home.
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Remember,
that the listing price is what the seller would like to
receive but is not necessarily what they will settle
for. Before making an offer, check the recent sales
prices of comparable homes in the neighborhood to see
how the seller's asking price stacks up. Some experts
discourage making deliberate low-ball offers. While such
an offer can be presented, it can also sour the sale and
discourage the seller from negotiating at all. |
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Do I need an attorney
when I buy a house? |
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In some
states, you do need an attorney to complete a real
estate transaction, but in others you do not. Most home
buyers are capable of handling routine real estate
purchase contracts as long as they make certain they
read the fine print and understand all the terms of the
contract. In particular, you should be clear on the
terms of any contingency clauses that will allow them to
back out of the contract. If you have any questions at
all, it may be advisable to consult an attorney to avoid
future legal hassles. In looking for an attorney, ask
friends for recommendations or ask your real estate
agent to recommend several. Call to inquire about fees
and to check on their experience. In general, more
experienced attorneys will cost more, but real estate
fees as a rule are small relative to the cost of the
property you are buying. |
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Florida
Sam has the experience you need to help guide you
through the real estate transaction. She's been doing it
for over 25 years and is a senior real estate
professional. Have Florida Sam assist you in
buying Florida real estate. |
