Let me show you how to buy Durham Region For Sale By Owner real estate with the least amount of inconvenience. If you follow these simple steps, you will be an educated buyer and have more control over the process.
Start by using some mortgage calculators to determine how much you qualify for. You don't want to waste your time looking at and dreaming about a home you cannot afford. At the same time you can apply for a pre-approved mortgage. You can shop and submit a serious offer knowing that the money will be available when you are ready to proceed with the purchase. Another benefit of having your mortgage pre-approved is that the interest rate will be locked in. If rates go up by the time you buy, you will have the benefit of the lower rate. This alone can save you thousands of dollars.
A real estate owner has decided to sell privately for a couple of reasons. They might want to save paying real estate fees. Some may want to deal directly with the buyer because of a past experience with a real estate agent. For whatever reason, this arrangement can benefit all parties involved in the transaction.
By completing a commission free real estate transaction, the private seller may use some of the savings to reduce the sale price. Both buyer and seller can benefit financially from a private sale.
A For Sale By Owner transaction can run smoother as there is no middle man involved. The buyer and seller can communicate directly with each other. They do not have to depend on calling their agent, who calls the other agent and so on to get the answer to a simple question. If you were buying a used car, would you prefer to talk to a commissioned salesperson or the previous owner?
With your pre-approved mortgage in hand, you can start to search FSBO listings. The Durham Region HomesByOwner.com website provides you with all the details that will help you make your decision. You can also view a slide show presentation of each property.
On the Durham Region HomesByOwner.com website, you can signup for the Buyer's Club. It is free and you will be automatically emailed new and updated listings as they are posted.
Once you have selected your favorites, go for a drive and check them out. Make sure schools, shopping, churches, public transit, etc. that are important to you are close by.
Contact the seller of the private real estate you are interested in. You will find their phone number in the listing. You can ask your questions and book a convenient time to view the property. Try to make the appointment for daylight hours as everything looks different with natural light. Take a note pad and the questions you forgot to ask before.
You will find this to be a relaxing meeting. After all, the seller loved the home when they bought it and it has caught your eye. You have some common ground. You can ask questions about the neighbourhood and get all details about the property you require to make an informed decision. You won't have a commissioned salesperson trying to sell you something.
Now you have found the property you would like to purchase. The best thing to do is meet with a real estate lawyer and have an offer drafted. Although there are real estate offer forms available on the internet, don't waste your time with them. The Province of Ontario has real estate forms that your lawyer will have in their possession.
To determine a price you would like to offer, you have a couple of options. You might find a real estate agent that will do an appraisal for a fee. You can consider having a real estate appraiser give you an opinion of value.
When completing an offer for you, your lawyer will need to know the following.
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The sellers full name(s).
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The address of the property.
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The legal description of the property. This will be ‘Lot xxx Plan xxx'. The seller will find this on their tax bill or property survey. If this is not possible, your lawyer can help.
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The price you are going to offer.
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The amount of deposit you will submit. A deposit shows that someone is serious and in a private sale, should only be held by one of the lawyers involved in the transaction. Under no circumstances allow the seller to hold the deposit.
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The conditions you want to fulfill before proceeding with the deal. These could be financing approval, completing a home inspection and there may be others you require. This is something you will discuss with your lawyer.
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If you have a property to sell before you purchase the new one, you will need a condition to protect you. Your lawyer will help with this.
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The warranties you want from the seller. If the home has a pool, you will want the seller to warrant to you that when you move in, the pool and all equipment is in working condition. If the property has a well or septic tank, you will want these warranted as well.
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If the property has a well, you will insert a condition that a water test be completed. You don't want and your mortgage company will not finance a property that does not have water fit for human consumption.
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Ask for a copy of the property survey. Your lawyer will assist you on this.
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The items you want included in the sale. These could include appliances, window coverings, and electric light fixtures and so on. Make sure you include everything, as it may be too late to add something after the offer is accepted by the seller.
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A list of fixtures not included in the sale. The seller might have something that is attached to the house that they want to keep.
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A list of rental equipment. A common one here is the hot water tank. If the seller rents it, they do not own it, therefore they cannot sell it. The buyer usually assumes the rental.
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The closing date. This is the day title will change from the seller to the buyer. This day cannot be a Saturday, Sunday or holiday.
Have your lawyer make the offer irrevocable for 2-3 business days. This is the date on the offer that creates a deadline that the seller must respond by.
Your real estate lawyer will have you sign the offer, then you can deliver it to the seller. They may deal with it on the spot or take it to their lawyer. If you have discussed all details with the seller, it should be smooth sailing.
I hope this helps. If you have any questions, please call me at 905.718.FSBO (3726).

HomesByOwner of Durham Region
Toll Free - 866.964.FSBO (3726)
Sell Your Home. Keep The Commission.