Before Buying A Property Sight Unseen Please Do This
Buying a property sight unseen, often far out of your area, has now become very common. It can produce some big wins, as well as deep losses. It’s all about being sure you’ve done your homework before signing at closing.
The Advantages Of Buying A Property Sight Unseen Out Of Area Property
For most investors, buying out of area property is an essential part of their financial plan.
It means the ability to add vital diversification to your business and portfolio. To operate in the most profitable markets. To always be able to find deals and buyers, no matter what’s happening out there.
It also keeps you disciplined as an investor, and keeps your investing more objective than emotional.
Success is all about paying attention to the details. Here are some of the gotchas to watch out for.
Property Tax Increases
Property taxes almost invariably go up every year. Even more so when a new real estate transaction occurs. Big jumps can really throw off your numbers, and derail deals for your end buyers. Today, most counties will offer insight to this on their websites, as well as calculators to estimate the new taxes after you buy.
Current Condition
You can’t rely on online listing photos, seller provided photos, or even out of date Google maps or Street View images.
There could be major construction impacting your hopes for the deal, a recent natural disaster, or changes in the condition and types of property next door, and within view.
Today, you can hire remote assistants to go take current photos and video of the property very affordably. Not only before signing an offer, but for your walk through the day of your real estate closing too.
Changes In Community Trends
Crime can really change a community and the value of property fast. It can tank the values in one neighborhood as people feel unsafe, or that they are being driven out. While dramatically boosting the value and demand for other communities nearby.
Your Seller
Have you at least Googled your seller? Do they have any fraud convictions? Cease and desist orders? How about negative reviews?
Worst Case Scenario Costs
Whenever you make an offer on a property, you should know the worst case scenario. Then decide if you can stomach that risk. That not only means the wort case cost to renovate a property, but what if you have to tear it down, and carry it for months instead of days?
Violations And Permits
Don’t just assume that a good looking property is violation free or up to code. Have building permits been pulled for recent improvements that are being advertised? Is the property violation and lien free?
Top Funding News Testimonials
“I can’t thank you and your company enough for providing funding for our latest project, and right at the last minute. You came through with funding in less than 24 hours and coordinated with the closing agent and attorneys like you had been involved with our project the entire way. I’ll know exactly where to call for the funding we’ll need for our next project.”
– Dave Pricken, Real Estate Investor, NJ
“Thank you so much! I just had a talk with our Realtor on both properties and told him amazing things about your company!… Normally I rehab the houses and re resells them. I just don’t have the patience for that work anymore. This [transactional funding] is such a better way for me and less stress.”
– Steven Kupecz, Real Estate Investor, TN
“We want to thank you for the exceptional customer service you provided. No one comes close. We had contacted a competitor the same time we contacted your company. Your company responded with in a few minutes while the competitor has yet to respond weeks later even after multiple phone calls and emails. Thanks again for the unmatched customer service.”
“We had looked into several transaction lenders for a couple properties we were trying to flip. Your company was the most responsive and had the best pricing. Even though we had logistics issues with the B/C lender, your company acted very professionally and handled our requests beyond our expectations.”
“Thank you for your commitment to an excellent customer experience.”
– Phoenix Properties, LLC, Ronald Destefani, Investor, PA
“I was studying on how transactional funding works and you guys had the best and most thorough explanations posted so I could fully understand the details in back to back closing. I’d already started setting everything up but your video confirmed that I’m on the right track.”
– La’Donna Turnipseed-Scott, Investor, LA
“….a few months back, I happened upon a video, on your site, regarding the use of transactional funding with Hud properties; and I found myself replaying the video over and over because of the value that I saw in the message…it actually explained the process, step-by-step on how to submit a Hud deal by using transactional funding. Once I completed the video, my initial response was to take immediate action by duplicating what I had learned from the video into real time. So I did some research on properties in a market where I knew I had buyers; and put together a hud deal. I then located a realtor able and willing to submit my bid online and within a couple of days, to my surprise, received a call telling me that I had won – my very 1st Hud bid.”
“To you I say, ”KUDOS to Best Transactional Funding and Thank you for providing the education and services to Real Estate Entrepreneurs like me. Please keep up the good work!'”
– T. A. Davis, Investor, NJ
“You each deserve high marks for your wonderfully quick response time to each of our questions and requests! You hit home runs with us! Your application system was easy to use. Our deal met your qualifications and every time Rob Kozak or any member of Mystic Properties, LLC phoned, we received a “real” person dialing back to speak with us.
Your patience and persistence were exceptional in dealing with our business interests. Thank you for such great customer service! We look forward to working with your staff, again, in the future. We like referring people to you, as us, our team would have missed-out on an excellent earning opportunity.
Your help negotiating with our title company made our back-to-back deal, finally happen. People noticed on settlement day how effectively and efficiently your part of the transaction was organized and executed. Again, thank you for truthfully being the “BEST” at what you do!”
– Diane McAdams, Mystic Properties, LLC, Real Estate Investor, Pennsylvania
“Boy, you guys are impressive! I can’t thank you enough for scrambling and getting my deal done at the last minute like that. You and your team were awesome!”
– Donna Bauer, The NoteBuyer Inc., Real Estate Investor, OH
“Thank you so much for working so diligently with me. Your services really are the “BEST”. I look forward to working with you in the near future!”
– Ericka B., Real Estate Investor, CA