Buying Real Estate Online: Some Precautions
by Jon Arcy
Online real estate auctions are starting to become popular. There are now quite a few sites where you can buy and sell homes, land, commercial buildings and so forth. Ebay, for example, where people, after all, sell almost everything, is no exception --you can find extensive listings for all kinds of real estate from all over.
People often wonder, however, if it's really safe to buy something as high-ticket as a home or parcel of land over the internet. Nightmare scenarios are easy to imagine. You could, for instance, buy a home you've only seen online, only to find when you see it in person that it's about ready to topple over.
In all business transactions, there is a phrase that has become increasingly well known --due diligence. This is something that is especially essential when considering a real estate purchase, whether on or offline. People have, after all, fallen victim to fraudulent real estate deals long before there even was an internet. In fact, the computer actually makes it easier in many ways to do your homework.
You should realize when browsing real estate listings that a bid in this case is not considered legally binding. When it comes to real estate, the various laws governing such transactions remain valid, and your online bid is not legally more than a showing of interest. While you still should not bid frivolously, it may make you feel safer about the whole process.
While it can be very convenient to find property online, especially if you are searching in locations far away, there is no reason not to do some serious fact-finding once you locate something you are interested in before committing yourself to a purchase. For example, you could fall in love with a house that is 1500 miles from your present location, bid on it and, before the online auction is even over, have some crucial facts checked out.
Before completing a transaction, you may require the expert help of lawyers, real estate agents or home inspectors. This is no different from buying real estate in the traditional manner. Fortunately, responsible online auction sites such as Ebay, as well as the leading payment processor Paypal, offer safeguards against fraud; check user policies. With Ebay you can also check a sellers' feedback rating before bidding.
When shopping for real estate online, you have to use the same, if not more, judgment you would use when looking in person. You have to ask questions about the title, liens, the condition of the property, plumbing, electricity, sewer system, well, any zoning issues, property taxes and so forth. Also know something about the location you are considering. You can usually find out crucial facts about any town, county or city with a few clicks of a search engine (climate, population, average income, schools, crime, etc.).
No matter how trustworthy you feel the potential seller is, do not assume that they are giving you 100% accurate information. In some cases, they may not even know certain things. You can always verify vital facts by calling local municipalities regarding legal matters or, again, hiring the relevant experts.
If you are a seller, the process is much simpler, as all you have to do is list the property, Here, too, you have to be careful, though. For one thing, find out if the potential buyer is financially qualified. Even honest sellers, especially with something as complex as real estate, can leave out crucial information simply because they didn't think of it when writing the ad. Or they unintentionally misrepresent something. Be sure to find out anything about your property that you may be unsure of, such as zoning restrictions or property lines.
Before writing an ad, check with a local real estate office or newspaper to see how properties are described. Try to be specific rather than vague in your wording. For example, give the actual dimensions of rooms rather than saying simple "spacious."
When you take these precautions, you can view online real estate auctions as a valuable, time-saving convenience in your search. They should not, however, be seen as a complete one-stop solution where all you have to do is find something you like and pay for it!
If you'd like to explore the world of online real estate auctions, take a look at some properties for sale as well as many investment properties Get your own completely unique content version of this article.
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