Buying real estate is not as simple as paying the price on the tag and assuming ownership of a house. Acquiring property, whether you are doing it for the first time or you have several under your belt, is a long and complicated procedure that often takes weeks or months to complete, depending on the circumstances of the sale.
When you find a house or apartment that you want to purchase, there are many things that have to happen. You have to open accounts, make an offer and negotiate terms, secure financing, conduct inspections, negotiate some more, then file paperwork–lots of it.
If you have never purchased real estate, the process may take longer for you as you may tend to do everything sequentially. Fortunately, there are certain things you can do to cut your wait times, even if you aren’t familiar with many of the document-heavy steps. Here are some tips that to help you to close a real estate deal faster:
Keep your options open
You might have your heart set on buying a particular house, but it may not work out in your favor. Don’t put all your eggs into one basket. That is, you should have at least one or two alternative properties that you will be equally happy to own in case the owner of the first one decides not to agree to your offer. A seller can also drag negotiations on for weeks, which will consequently push back the rest of the steps of the transaction. Put offers on two, perhaps three, houses at the same time, so you have options to choose from in case an owner decides he isn’t ready to part with his property with the terms of your offer.
Study the market prices and set your limits
Knowing how much the property prices are in the vicinity of your target property can help you make offers that will likely be accepted by the seller. This cuts down the number of times you or real estate agent has to go between the owner and seller to discuss prices. Before you make an offer, decide for yourself the upper limit on what you are willing to pay. Setting a hard limit can make it easier for you to decide when its time to walk away and move on to the next.
Get pre-approval for financing
One of the surest ways to speed up the acquisition process is to apply for pre-approved financing. By doing this out of sequence, you will have more confidence when you make an offer. Some people mistakenly make an offer only to find out later their borrowing capacity isn’t enough for the price. Because mortgages rates can change frequently, you also won’t want to do this too far in advance. However, if you know you are going to buy a house within the span of the next few weeks or months, you can get pre-approved for a mortgage so you know whether or not you can afford to buy the house you have in mind.
Work with a real estate agent
While you can probably use the internet to scan for properties and see property listings, an experienced and capable real estate agent can speed things up with their knowledge of the ins and outs of the process. They can give you insight into property prices, access to better financing rates. They can also help you through the documentation-heavy parts like contracts, insurance applications, as well as coordination with the local registry for title transfers.
Closing a real estate deal is an arduous exercise but you can save yourself some precious time with any of the options mentioned above. Take some time to research your options, do some things out of sequence, or consult real estate experts so you can get the most out of your deal in the shortest time possible.
Do you need assistance with your real estate investment? Our agents have 35 years of combined experience in the real estate market. We can guide you through the process of acquiring property in Kentucky. Get in touch with us today and see how we can help you.