The legal term due diligence is used to describe several things. As a home buyer, you might hear it used to describe the things that need to be done before the home closes. To find out more about due diligence, read on.
Schedule Some Appointments
It can be surprising to call for some professional help only to find out that they are booked for several weeks in advance.
- House inspectors
- Home appraisers
- Pest control inspectors
- Homeowners insurance representatives
- Home loan lenders
Nearly every aspect of buying a home can suffer from delays because of the busy real estate market. Although things are beginning to settle down a bit in some areas, buyers should still be on top of setting things up as soon as they can to avoid delays.
Homes Inspections
While you might expect almost any home to have issues, knowing what to expect is invaluable. If a very expensive issue with the home arises because of the inspection, you will need time to get things figured out if you still want the home. In some cases, a seller will hack some off the price of the home in recognition of the repair work that must be done. In other cases, they will have the work done themselves before closing.
A bonus of having an inspection performed is that buyers can hang around (if they don't get in the way) with the inspector and see first-hand any problems or issues. You can find out where the electric panels are, the location of the water shut-off value, how to access the attic, and more.
Home Appraisers
If you are applying for a mortgage, you must have a professional appraisal performed. This means the home is valued based on its size, number of rooms, construction materials, location, and more.
Pest Inspections
The laws concerning things like termite inspections vary. However, if you have any wood in your home at all, this should be a must. The presence of raccoons in your attic is also a good thing to know about.
Homeowners Insurance
This is another requirement if you are financing your home. Many insurers send third-party inspectors out to eyeball the roof and more before they will issue you a policy.
Lending
It can take several weeks to get a loan approved and this is the most important part of the due diligence process. Get your loan application in immediately and submit any additional documentation right away to speed the process along.
Keep these tips in mind when looking for homes for sale near you.
