How to Successfully Buy a Home Sight Unseen
Buying a home without ever stepping foot into it is a risky proposition since you won’t be able to gain a comprehensive understanding of what the property looks and feels like. However, modern technology makes it possible to buy a home even while out of state, without taking on too much risk. Each step of this process can be completed virtually via 3D models, images, and video clips. This how-to guide tells you everything you need to know about buying a home sight unseen while minimizing mistakes.
What Does Buying a House Sight Unseen Mean?
If you’re thinking of buying a home sight unseen, this means that you will be making an offer on the property without first touring it in person. Instead of an in-person tour, you could look at the home via a virtual tour that includes everything from 3D images to video clips. Extensive neighborhood data can also be found online.
This particular process has become more common because of the need to purchase a home quickly in a highly competitive market. Many potential buyers have also avoided in-person tours since the beginning of the COVID-19 pandemic.
How to Successfully Purchase a Home Sight Unseen?
When buying a home sight unseen, there are several steps that must be followed to complete this process successfully. These steps are detailed below.
Select a Reputable Real Estate Agent
First, it’s highly recommended that you partner with a qualified realtor or real estate agent who has experience in helping buyers purchase homes sight unseen. When you interview potential agents, make sure that you let them know about your desire to buy a home virtually. You can also read online testimonials about different real estate agents for more info. The real estate agent you hire should have enough knowledge about modern technology to assist you during the home-buying process.
Obtain Preapproval for a Mortgage
Next, it’s essential that you seek and obtain preapproval for a mortgage. Along with giving you a better idea of how much you can afford when buying a home, having a preapproval letter also indicates to the seller that you’re interested in making an offer. Lenders will look at your current credit score, income, and assets to identify what your loan amount can be.
Tour the Property with Virtual Tour Technology
Now it’s time to tour the property you’re interested in with virtual tour technology. The most popular options for virtual tours include YouTube, Instagram Live, and FaceTime, all of which provide you with a fully interactive experience as you view each room of the home. During your tour, a real estate professional may also be on hand to answer any questions you might have.
Obtain a Comprehensive Home Inspection
Once you’ve taken a virtual tour of a home and believe that it’s the right property for you, it’s highly recommended that you request a home inspection. This type of inspection will provide you with a detailed report on the property and any issues within. Some of the common issues that arise from a home inspection include mold problems, water damage, and electrical issues.
Make an Offer
At this point in the process, you can make a sight unseen offer, which works almost exactly like a standard home purchase. If you’ve obtained a preapproval letter, you can now make a decision on what your down payment will be and the amount of earnest money that you’ll put down. Keep in mind that the earnest money deposit indicates to the seller your good faith as the buyer.
The real estate agent you’ve hired can help you create an offer letter. The seller can accept the offer, reject it, make a counteroffer, or request certain changes. Your agent should assist you in crafting a response. Consider placing contingencies into your offer before providing it to the seller.
Contingencies are other criteria that need to be met for the sale to go through. For instance, the most common contingency is a home inspection contingency. If the home inspection results in the identification of undisclosed issues with the home, the buyer can back out of the deal without losing their earnest money deposit. You can now close on the purchase as long as the necessary appraisals and inspections have been finished.
If you want to successfully buy a home sight unseen, you’ll need to choose the right real estate agent, obtain a preapproval letter, complete a virtual, order a home inspection, and make an offer. In the event that your offer is accepted, the due diligence you’ve performed should reduce the possibility that you’ve made a poor investment decision.