Sep 5
common issues a buyer faces while buying Real Estate
- Categories: real estate
- Tags: real estate
One major issue facing corporate real estate managers is how to effectively manage the real estate assets in the current market environment.Secondly, real estate agents provide information about utilities, zoning, schools etc. But two common issues a buyer faces while buying are :
1. Will the property provide the right environment we want for a home?
2. Will the property have a good resale value when we are ready to sell?
Another important issue that any buyer/investor faces is the legal issue. Real estate laws vary from state to state. One must consult an attorney licensed to practice law in the state in which the property is located.
At times, the property a buyer is seeking is available but not properly advertised. It may take you some time and effort to search for and locate the right property.
The important issue of finance. We must know our financial reserves plus our borrowing capacity. If we know about our current savings, income and debt, then we can take help from lenders; banks and mortgage companies, which offer some choices according to your financial capability.
In America, some real estate association and commissions have sponsored regulation that require all real estate brokers to provide a minimum level of services which forces sellers to buy services they do not want or need.
There is the issue of rebates on transaction fees. Some states in America allow rebates of commissions or fees on real estate transactions but some states have legislated regulations which prohibit rebates.
Next is the issue of consumer participation. The consumer federation of America released a study that real estate boards and commissions are dominated by real estate practitioners and they recommended greater participation by consumers; which is opposed by practitioners – this works against the interest of ordinary buyers and sellers.
Last but not the least, a lot of hoopla has been floating around in the news media about the ‘bubble’ theory of real estate and that the real estate market is going to burst – this may have a psychological impact on the potential buyer or seller.
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