Dynamics

Real Estate – Getting Qualification Documentation

Selling a house with the help of a real estate agent is easy but if you insist on doing it on your own, here are a few suggestions that may come to your rescue. Over the last decade, many companies have sprung up to help FSBO sellers. You might be looking at one in your area as well. These companies not just list your house on newspapers and magazines but run television ads at the seller’s request. However, they may not go to the length of bringing the prospect to your door-step; that part is left to you. They place advertisements for your single family, condominium, wooden portable buildings or commercial land wherever you need them – on Sundays newspapers, local magazines and so on. They will send out fliers – maybe a specially decorated ones and offer to direct the prospects to you for an additional fee. What services you receive depends on the company. You can find them on the internet and yellow pages from your city department. Note that, whatever needs to be done to seal the deal is your responsibility, so don’t just rely on these companies for everything that should happen in a sale.

Now let us get to some more tips for FSBO sellers. You have a buyer who is very interested in the property and has visited at least thrice to check on the details of the house. There is an offer that closely matches with your asking price as well. Now what? The next step is to categorize the buyer as “qualified” or unqualified. What this means is that you need to know the combined gross annual income and whether or not he or she can afford the house. Simply accepting the offer is not enough to move forward with the sale. Doing so will not only cost you time but money as well.

Every real estate broker firm tells its agents to qualify the buyer which means assessing buyer’s assets and liabilities. The debt part could be student loans, other home loans, child support or alimony to be paid. The agent or the seller needs to come up with the number the buyer can afford on a monthly basis. Most of the qualifying task is done by the bank or lender who approves the mortgage. This information gives the seller a clear idea of where the buyer stands, and if the house will sell. Many inexperienced sellers will stop at the offer price and hesitate to ask questions regarding the buyer’s qualifying terms. The result is that many sales fall through before the closing date. That money spent on open house interior decoration is gone. The time and money involved in cleaning and sprucing up the place is gone. Everyone is frustrated and hurt especially the seller. Do not let this happen to you. Instead ask the buyer to come back with the lender approval documentation before even accepting the offer. The lender will gladly furnish this documentation upon request.