If you are buying a home directly from a seller, please read this :
Here are five biggest mistakes buyers make when buying from FSBO
1. Being unrepresented. Sellers may be experienced and may have sold a house before or may be investors or attorneys. Do you have experience buying houses?. You may have bought a house 10 years ago, but laws may have changed. You might want to ask an attorney or buyer's agent to help you with the transaction.
2. Making the deposit check out to the seller. How will you be protected if the seller cashes the check and you do not get approved for the mortgage and seller refuses to return the deposit.? Your attorney or agent wil guide you about the deposit check.
3.Not knowing market value.You might not know what the homes are selling for and may offer more that what it is worth. an agent will help you with the comparable sales in the area. you can probably look up some sites on the interent, but some of them are not accurate.An agent has upto date information. If you think you are saving buying from FSBO , you might want to think again.The FSBO is probably trying to save the commission.Both of you are going after the same savings.
4.Not knowing how to negotiate.You might feel awkward negotiating and making a low offer or offending the seller. The agent can do this on your behalf.If you have a buyer's agent you can negotiate the fees for buying 'sale by owner,' in advance with the agent ,
5. Failing to have contingencies like inspections, appraisals and obtaining the mortgage in the contract.Failing to ask for seller's disclosure is a mistake as well.
If you know the market well, if you are an attorney yourself or will use an attorney you might get some good deals , if not be careful . Remember BUYER BEWARE.
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