Should You Go For FSBO Properties As An Investor?
Home hunting or searching for properties to buy as an investor is a very important part of the overall process and in fact, for many people looking to buy property for investment purposes, the idea of seeking out FSBO properties is one that you should definitely consider. FSBO (For Sale By Owner) properties are simply properties that are being sold by the owner not a real estate broker or agent. Although though the idea of buying directly from the owner is highly recommend and can bring big returns and discounts, there are some important things that you should keep in mind to make your investment worthwhile.
Important facts about FSBO properties
The current economic crisis in the world has had a significant effect in property prices. For many property owners it is much more profitable to sell a home on their own to caution themselves from commissions. In addition to this fact, the idea of finding a home for sale is not as hard as it may seem. There are a lot of online listings where any interested buyer can find a home to buy. The current demand for housing has also remained high compared to the existing supply. However, despite the fact that the seller owns the property, as a buyer you will want to have an agent that represents your interests in entirety albeit this will come at a 3% commission.
For many people looking to invest on a FSBO property it would be best to take heed of the following tips in the process. All these tips are designed to make you investment as reasonable as possible.
The first thing to always know is that it is the obligation of the seller and the property owner to revel important information regarding the house. This may include recent repairs, ground pollution and even mould problems.
In a FSBO, quite often the buyer's agent may be forced to fit in the role of a seller's agents and perform the various task associated with the same. This is still on the three percent commission fees and in most cases, you may find that agents may pull out or reject an FSBO property sale.
When buying a For Sale By Owner property, it is also important to hire your own personal inspector to check and ensure that the home you are about to buy is at par with the set standards. Although real estate agents may have their own inspectors, quite often they are not aggressive enough to pick out any problems.
When buying a FSBO, you should also know that a real estate agent has vast knowledge on the regulations that need to be followed by the seller before a property is listed for sale. However, in sales that do not involve agents this information may come during the close of the sale which to be fair it's too late.
Finally, you should know that the moment you hire a real estate agent to help you buy the property, the fact is at least there will be one professional who knows and understand the process of property selling and the regulations involved therein.
For Sale For Lease are a FBSO website that help home owners sell their properties and property investors to search and buy properties online without the need for a Real Estate agent.