Savvy investors agree that you make your money when you buy your home, not when you sell it. If you don’t buy right (below market value) it’s much harder to realize profit later. Investing in real estate introduces you to a host of professionals – bankers, appraisers, loan officers, insurance agents, and home inspectors—all of whom will require your attention.
In doing the deal, first you make an offer. The seller may counter offer and that’s when negotiations begin. Your broker earns his or her money here. They will help you through the process. Always make sure any contract you sign has two contingencies. One should let you out of the deal if the house doesn’t pass inspection and you and the seller can’t agree on a resolution for that. The second contingency should be the ability to exit the deal providing you cannot obtain appropriate financing following a certain time line.
In hiring a home inspector, make sure you are able to be with the person when the inspection is conducted. Ask questions; make sure you are well educated on what happens during this process.
There are a number of factors included for the buyer in the “closing costs” category. These include a current survey, appraisal, insurance binder, pest inspection, loan points, property taxes, and title insurance. Each is important, and each will require you to become aware of how they affect the purchase. Ask your agent/broker about these and make sure you are up to speed on all aspects of closing costs. You’ll be glad you invested some time in gaining that knowledge, especially if this is your first real estate venture.
Before closing, make arrangements with utilities to have your name put on the accounts and the day before, arrange a walk through to confirm everything is in working order.
A good broker will shepherd you through this entire process and act as a go-between for your loan officer, and the seller’s broker.
Please note that this Scottsdale Real Estate Blog is for informational purposes and not intended to take the place of a licensed Scottsdale Real Estate Agent. The Szabo Group offers first class real estate services to clients in the Scottsdale Greater Phoenix Metropolitan Area in the buying and selling of the best Luxury homes in Arizona. Award winning Realtors and Re/MAX top producers and best real estate agent for Luxury Homes in Scottsdale, The Szabo group delivers experience, knowledge, dedication and proven results. Contact Joe Szabo at 480.688.2020, info@ScottsdaleRealEstateTeam.com or visit www.scottsdalerealestateteam.com to find out more about Scottsdale Homes forSale and Estates forSale inScottsdale and to search the Scottsdale MLS for Scottsdale Home Listings.