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In the world of buying real estate, it is important to know what you’re doing to ensure that you don’t get taken for a ride. That’s exactly where a lot of study on real estate purchasing protocol comes in handy. Follow these ideas to help you receive an excellent deal when acquiring real estate and to prevent scams.
Remember that you will get what you pay for with a foreclosed property. Purchasing a foreclosed home is not the same as a regular purchase. The bank will have to have a pre-approval letter prior to agreeing to the sale. The most important thing to consider is basically get what you pay for: there probably won’t be any room for discussion with regards to price, and the house comes “as is”. You’re going to be responsible for any repairs.
Be straightforward with your broker. If you’re not really serious about buying or if you are not buying a property soon, it is best to let your realtor know. Tell your agent regarding your down payment circumstances or if you are using more than one Realtor.
Don’t overlook closing costs. Your bank could have approved a set amount they may lend you, but settlement costs are expected to be available from you up-front. These fees comprise origination fees, title and settlement fees, taxes and homeowners insurance, etc. You can find calculators on the web that will allow you to get a overall idea of settlement costs where you live.