Preferred Real Estate

Many people buying Florida property have been attracted to properties listed for sale by owner as a way to find that extra special bargain. The concept is that without the added burden of Realtor fees, the owner will be prepared to deal at a lower contract price. However, things are not always what they seem so make sure you understand the potential pitfalls if you go down this route.

The fundamental part of any sale is the agreed selling price. Almost always a sensitive issue between buyer and seller, when prices were rising regularly and substantially, some buyers were more interested in closing a deal to avoid being shut out of the market than they were in bargaining too much.

But now things are different. Prices have fallen considerably, so its much more important to get the price right. Essential, in fact, whether the property is a home for sale by owner or whether its a real estate agent selling it. And in the case of a for sale by owner home, you must make your own judgment because you have no professional help.

How do you make sure you’re offering the right price? You can check out:

* Recent sales transactions recorded on County records.

* Internet information: search online, for example at realtor.com or zillow.com or housevalues.com.

* Local newspapers that contain classified property ads.

* Realtors: take a note of Realtor phone numbers on properties close to your home for sale by owner and ask them for the price of their listing.

Even though the information you collect by these methods may cover properties very different to the one you have in mind, at the very least you do have some starting data to work with.

After the price, lets now look at the other main things to consider in finding the right home for sale by owner:

1. Will you be able to work with the seller or is he just testing the market without any real intention to proceed?

2. How prepared are you to bargain with the seller? How can you get him to lower his price without causing offense to him?

3. Buying Florida property involves fees additional to the purchase prices – what are the the expenses involved in a for sale by owner purchase and who pays what?

4. Is there a standard form of contract? If so, which parts of the contract are essential and which optional? When are the buyer and seller legally committed?

5. Other legal stuff: Do you need an attorney or will a Title Company be ok?

6. What issues are there relating to the timing – does it matter if you can’t yet finalize a closing date?

7. If the seller won’t proceed even though you have a written legal contract, what happens then?

8. If you are buying property with the aid of a loan, how does the loan company work with you to make sure funds are available when you need them?

9. Most buyers pay for a Home Inspection to check for any faults in the property. When you then find that money is required to pay for repairs, does the buyer or the seller pay for the work?

None of these questions are new and they arise in virtually all real estate transactions, so if you’ve been through the process before or if you know that you can handle the problems, the purchase should hold no concerns for you.

But if the process of buying Florida property is new to you and you are not sure what to do, you should almost certainly consult a Realtor or an attorney to help you through the task. Unless you are one of the minority, getting the purchase right first time and avoiding a costly mistake will make a huge difference to your finances!