If the idea of having to deal with paperwork and real estate negotiations intimidates you, you’re not alone.
As a prospective homeowner, managing all the steps that go into buying a house can be exhausting enough. This is why most people work with a reliable real estate agent.
However, this doesn’t mean you should completely rely on your Camp Hill PA real estate agents. Despite their experience, they’ll still want your input and insight when negotiating a deal. So to educate you on the basics of this transaction, here’s the lowdown on what’s involved.
Understanding Real Estate Negotiations and Paperwork
Be Aware of Extra Costs
When you’re buying property as is, any changes, repairs, or renovations that need to be made will be paid for by you. Especially for older properties, having them inspected before you buy the house is crucial; otherwise, all your money will go into repairs.
Additionally, ask neighbors about weather conditions that affect their property. This will not only keep you prepared, but it’ll also help you understand whether your seller was honest about the property to begin with.
Be certain of the Seller’s Ownership
Is an investor selling the house? Is the owner even aware that their property is being put up for sale? When considering a property for purchase, always be sure that the seller owns the property outright. If the seller is contracting the property while owing money on a mortgage, this can put you at immense risk. If they default on payments, you’ll have a foreclosed property on your hands.
Check for Penalties
Especially for early payoffs! In case you’re partaking in a for-contract sale, it’s better to pay off the property in full so you can have the deed. But before you hand over the sum, always be aware of any additional penalties and whether you’ll need to make any additional payments to shorten the time it will take for you to become the official owner.
Be Cautious of Balloon Payments
If your credit score isn’t good, don’t opt for a balloon payment clause in your deal. Not only will you lose the house you worked so hard toward if you miss a payment, but you’ll also get in trouble with the bank if you took out a loan and weren’t able to pay it back accordingly.
Read the Fine Print
Your name, property taxes, property insurance, conditions for late payments and missed payments—check all the details before signing on the dotted line. It’s these small factors that can save you from a potentially harmful deal.
Work with Us!
Looking for real estate in Camp Hill, PA?
Smith Top Team is a family operated local real estate agents Camp Hill that can help you find your ideal home in Central Pennsylvania.
Contact us today to learn more!