10 Absolute Steps To Close A Real Estate Deal With Ease

Technically, the ‘closing’ of a deal occurs when you sign the papers that make the property yours. But before that can happen, there are some things that you need to know. A little working knowledge on how the real estate transactions work can go a long way.

1. Walk Through The Property

Better safe than sorry! Inspect the house once more to ensure that it is in a proper condition as agreed upon by all parties. During the walk through, make sure that all the conditions required by the agreement like appliances and furnishings, have been met.

2. Secure The Required Insurance Policies

In order to obtain a mortgage, most lenders require the buyer to purchase a homeowners’ insurance policy. A homeowner’s insurance policy protects both the buyer and the lender, in case something happens to the house in the future.

3. Open An Escrow Account

An escrow account is an account that is held by a third party on behalf of the two parties in a transaction. This makes things easier and more comfortable, as there are many activities required to complete a home sale. Moreover, an escrow account is the best way to prevent either the seller or the buyer from any kind of fraud, as the money and related documents are with a neutral third party.

4. Lock Your Interest Rates

Since interest rates are unpredictable and fluctuate multiple times a day, you need to monitor the interest rates and lock them if you haven’t done that already. Keep an eye on the market, and lock your interest when the rates are at the lowest, and most affordable.

5. Get Pest Inspection Done

A pest inspection involves a specialist who ensures that your home does not have any wood-destroying insects like termites or carpenter ants. Even a small termite problem can spread and destroy the entire house. So, treat any minor pest problem immediately, if it exists.

6. Obtain Title Insurance

A title insurance policy is a policy that protects the buyer and the lender when there are problems with the land after the sale closes. While obtaining a title insurance policy, learn which policy offers the best protection for the least amount of money.

7. Consult An Attorney

It is difficult to create legal documents and confirm the laws relating to the real estate market. Hiring an experienced attorney will make things easier, and will aid you with the closing documents.

8. Renegotiate Your Offer

If your inspection reveals any defects or flaws in the property, you may want to reconsider the offer to reflect the cost of any repairs you may need to make.

9. Finalize Your Finances

Prior to closing the deal, sort out all your finances and make sure that you have the money you need to pay the closing costs and your down payments.

10. Schedule And Attend The Closing

Sign the towering paperwork, and see to it that both parties are present for the closing. Also, make sure that the interest rate on the papers is correct and there is no prepayment penalty. If you have hired an attorney, then he/she should be present at the venue with you, to ensure that all the paperwork is completed successfully.

Closing a real estate deal can be tedious business, but once the deal is closed, you can heave a sigh of relief. If you ever are unsure about what you are doing, then consult a real estate expert or an attorney to help you out.

Answer These 5 Questions To Procure The Best Real Estate Deal For You

Understand that you need a lot of knowledge if you want to emerge successful out of a deal with seasoned real estate professionals. If you can answer these 5 questions comprehensively, you can rest assured that will you have received the best end of the bargain.

Q 1) What Does The Real Estate Sector Point To?

This is one of the most important questions to help you with the pursuit of your buying/selling experience. More often than not, you will be dealing in a market that is more inclined towards being profitable to one of the parties, i.e., buyers or sellers, due to fluctuating demands in the real estate scenario. Do some research. Gather information. This will help you stay prepared and keep you well equipped to deal with this situation efficiently.

Q 2) Do You Have The Details About The Property?

When you are buying/selling a property, it is not enough to know just the dimensions and the general specifications of it. You need to know the premises inside and out, to be able to make the pitch convincing or devise a plan for necessary modifications depending on the side you are on. An advantage of having the details at your disposal, is that you can use them to bargain with your buyer/seller for the deal that you want.

Q 3) Who Has The Advantage?

This is where the deal can go both ways; in your favour or the other party’s favour. For instance, sellers that have 8 buyers lined up can sit back and watch as prospective buyers fight to get the deal they want. This is done while they make immense profits no matter to whom they sell the property to.

Q 4) Can You Negotiate?

Negotiating is a skill not everyone can master. The better you are at it, the worthier deals you get. Usually, buyers/sellers have their own brokers who can negotiate the better end of the deal for them and their clients. If you are pitted against them, there is a definite chance that you will get the negative side of the deal. Hence, it is recommended that you figure out what you want and stick to it.

Q 5) Have You Got The Capital?

Capital is the most necessary part of the deal closing process. If you are buying, you need to sort your finances out and find the money to make the buy. If you are looking for lenders, remember, they don’t offer you the loan before taking a peek at the property themselves.

Dealing with real estate transactions is a tough and tricky business, where you need to play your cards right. One false move can practically leave you with nothing. Make sure to be extra cautious when dealing with property investments.

Real Estate Text Messaging Benefits When Marketing FSBOs

Due to the rising popularity of robust smart phones, real estate agents who utilize text messaging systems can benefit, substantially, from an exposure and lead generation perspective. On a “for sale” sign, your text messaging code can help you share information about properties with people that pass by through a message that sends out detailed property specs and photos. Chances are that the vast majority of passers by who notice a property you’ve listed will have a cell phone and by texting the system right then and there, they can quickly receive detailed listing information on a home. As soon as they do, you’ve gotten a lead that you can follow up with on that property or another listing. Did you know that this could also work to your advantage with FSBO (for sale by owner) properties? Read on to learn how.

Many realtors have realized the potential benefits of marketing through mobile messaging. By subscribing to a real estate industry messaging service, you can market to people via their cell phones. Not only can this tool help you market through properties that you are listing but you can also extend this ability to help you market through properties that you’re not listing. Any realtor that sees a FSBO sign can take that as an opportunity to build their brand and get new leads as well. Approach the homeowner and position the messaging service as a free and valuable marketing tool and you could both benefit.

If you already use real estate text messaging services, you know that it can help you capture new buyer leads. But did you know that you can also use your account on more than just your own listings? By offering use of the service to homeowners attempting to sell their home on their own, this could benefit in several ways:

Build Relationships with FSBO Homeowners

By offering to share your lead generation service for free with FSBO homeowners who don’t have the benefit of marketing and exposure offered by a real estate agent, you can build a relationship that results in business and / or referrals. For example, if the homeowner that is trying to sell without a realtor is unable to sell the property on their own, they may turn to you for assistance later on. It costs you nothing to share your service with the homeowner and in the meantime, if people text for info on the FSBO property and they don’t buy it, they become a lead for you.

Branding

Increased exposure in your area is always good, especially if you’re focused on a community that is highly competitive. People who get text messages from properties on your subscription will learn about you. And, they may or may not choose to look at that FSBO property but even if they do, they may also want to look at other neighborhood listings (that are listed by you). And, if the lead doesn’t already have a buyer’s agent, this is an opportunity for you to extend your services.

Lead capture possibilities of real estate text messaging are substantial. By utilizing this service and by offering use of your service as a free marketing tool to local homeowners, you can increase your exposure, build relationships, and sell more homes.

Real Estate FSBO Scripts

So you have decided to sell your home the For Sale By Owner (FSBO) way. You have already learned the steps necessary for you to do this. What about the things YOU should say to a prospective buyer? What is important for them to know about your home? How do you overcome objections and answer all their questions? The best way for you to do this is to develop a script for yourself. This article will talk about exactly that.

To start with you can listen to the sales pitches of professional real estate agents. They earn a living selling homes, so surely they must have some pretty successful techniques. Then do the same for other successful FSBOs in your neighborhood. In the case of each group, study what they say and the methods they use when preparing their scripts. One way to do the above-mentioned step; without directly encroaching on the jobs of actual real estate agents, is to go online and observe several videos. Combine that with learning about what prospective home buyers for your town are looking for. Study all of that information, then use all of that information to develop a script of your own.

Another thing you can do after you develop your script is practice it. Have your family or friends act as a prospective buyer. Then practice your script on them. Encourage them to play Devil's Advocate with you and ask you all sorts of tough questions. You know the old saying – practice makes perfect! Nowhere is that more true than if you are an FSBO.

Some things you might want to be able to tell a prospect for an FSBO buyer include: is the property you are seeking actually available to you? Sometimes people will forget to take down their signs after it sells. Other times a seller might think they have a deal, but then it falls through at the last minute. Therefore, this is a legitimate question that could be posed to you. You must be prepared to answer it honestly and completely.

Other questions may pertain to the structure, type of property, and your neighborhood. Questions such as: how large is your home? How big is your yard? Is there a Homeowner's Association? What type of community is it? How are the schools there? Again, you must fully answer these questions as related to YOUR home. Better yet, include them in your script to begin with. Then prospective buyers will not need to actually ask them.

A great idea to begin with when it comes to writing an FSBO script is to prepare your skills and knowledge ahead of time. By that I mean – educate yourself! Take a class in selling real estate, or in preparing a real estate pitch. If you lack the time to go to an educational facility, do it over the Internet. At least watch and take notes on pertinent videos. Talk to experts, find out how they are successful. The more education you have on this, the better your chances of success will be.