What are the necessary steps when buying home that is for sale by owner? How can I protect myself?

Your best bet wuld be getting a listing agent, they would then come in, and write the offer for you, to avoid any kind of legalities.What are the necessary steps when buying home that is for sale by owner? How can I protect myself?
Hello and congratulations on engaging a home purchase.





I purchased an investment property through the owner and it was quite easy. Here are the steps to follow:





Step 0 - Get you financing in check. Secure loan, etc. Ensure you have the necessary funds.





Step 1 - Get a real estate lawyer. No real estate agents are required they just want to get some of the action which could potentially raise the asking price for the home to off-set the commission.





Step 1a - Have your lawyer present an offer letter with conditions to 1b. The real estate attorney firm will perform the title search for you.





Step 2 - Get a home inspector that will provide a report.





If all goes well you will close on the property within a several weeks. Be patient and if it falls through it was not meant to be. There are plenty of other properties out there.





Good Luck!!!What are the necessary steps when buying home that is for sale by owner? How can I protect myself?
First, to the advertiser, please read the Yahoo policies agains advertising.





Second, you do NOT need a real estate agent - they make mistakes too, and they don't all necessarily read all of the contracts.





If you buy a house for sale by owner, you can get one of the ';stock'; contracts that realtors use that is valid for your state. You want the sale to be contingent upon a favorable home inspection as well as being able to secure a mortgage. You want to specify what is included and not included in the house - generally speaking, anything that is permanently attached to the house stays, anything else goes - so the drapery rods stay, but the drapes go (unless they're specified in the contract). Same with appliances. You want a holdback clause to do an inspection the day of the closing, in case they trashed the house at the last minute.





The title company will make sure that you have homeowners insurance up to the value of the house, you'll want to make sure that there are final readings for gas, electric, water, so you don't end up finding out that they jacked up the utilities. When you buy title insurance, they'll make sure that the title is clear - the mortgage company may refer you to someone, don't use them, there is usually a kickback. Generally, your loan agent will make sure that the agreement is ok, just remember:





NOT WRITTEN, NOT SAID - if it's not in the contract, it is NOT enforceable.





This includes occupancy - if they live in the house past closing, they should be paying 1/12th your mortgage, insurance, taxes, and all utilities. They should give you at least 30 days notice, and take at least 60 days of occupancy payments in escrow.
Yes, you need to have an attonrey look over the documents. There are too many mortgage scams going on right now. This house could have some major problems! Not only that most people don't know how to fill out a binding contract on a house, please be careful. I am in the industry, and I have seen it all. That is why realtors go to school and get certified to sell homes. You always need to have a lawyer on your side. I provide a service where you can contact an attonrey 24/7 and send documents for review as part of the plan. Click the link below to see..





Thanks,





Jon
Two things that you absolutely must do :





1. Make sure the house has a clean title





2. Do home inspection ( by a professional )