Making an Offer
Before the offer to purchase is created, it is very important that you have been pre-approved by a lender.
After you have found the right home, it is time to prepare the offer. This is often a time sensative part of te process, be sure to be available and ready.
Put everything in writing.
When you are buying a home, there are many problems that the seller is obligated to disclose. For example, it is illegal to withhold information about major physical defects on the property, but, these disclosures don't always paint the entire picture of the home. Here are some questions you may want to ask that can offer additional insight about the prospective home before you make a final decision.
1) Why is the seller selling the house? This question may help you evaluate the "real value" of the property. Is there something about the house the seller does not like? If so, you may be able to adjust the purchase offer accordingly.
2) How much did the seller pay for the home? This question can, in some instances, help the buyer negotiate a better deal-maybe even get the seller to carry part of the loan. However, it is important to remember that the purchase price is influenced by several factors, like the current market value and any improvements the seller may have made to the home. The original purchase price might not have anything to do with the current value of the house.
3) Has the seller had any problems with the home in the past? It is also a good idea to ask the seller if he or she has had any problems with the home while living there. Has the seller had problems with a leakage from the upstairs bedroom in the past? If so, even if the leak has been corrected, the floor and walls around the bathroom might have been damaged. You should also check that these items were repaired properly.
Next, be sure to have a real estate professional conduct a comparative market analysis. This report should be comprehensive and complete with communtity information like recent solds, expireds and active competition. The end result should be an approximate value for the home.
Knowing all you can about a prospective home, not only helps you decide if it's the home of your dreams, but what offer to make as well. Your real estate professional can help you get your key questions answered and give you advice on how to evaluate your findings.