5 Reasons You Should Not Buy/Rent Homes Directly from Owners

Buying a home is a dream-come-true for many. It is a huge decision that can be confusing and overwhelming. The first question that may come to your mind is, where do you begin? Do you just take a walk in the neighborhood and look for those FSBO (For Sale by Owner) signs or should you contact a real-estate agency? On the face of it, it might sound like buying direct from owners is a simpler option, but there are several pitfalls to it. Here are 5 reasons why opting for a house that says “for sale from owner” is not a good idea.

Professionalism

The owner of a home is just that, an owner. They are not aware of how to aptly deal with potential customers. They might show you around the house minus the nooks and corners that they have not repaired for years. They are not bound to any form of code of ethics. Realtors, on the other hand, are professionals who can show you houses without the need to hide anything. Besides, when you just visit one house on a day, it might take up a lot of your time before you select and buy. But when you let an agency handle your house-hunting task, they usually can show you several houses at one go through their multiple site listings.

Documentation

Let’s face it. Buying a house is not like buying groceries. There is a ton of paperwork involved, especially if there have been repairs done in the house, or taxes that needed to be paid, assessments, and so on. When you buy a house through an agency, they take care of all the documentation because they have access to every record of every house on their listings. Owners, on the other hand, might not even have those documents ready.

Finances

A lot of work goes into settling the financial matters when it comes to buying or selling a house. The asking price, the bids, the closing price, the closing date, daily occupancy rate, and such items are just the tip of the iceberg behind the cost of buying a house. When an owner sells directly, they might not be able to negotiate on the deals and the prices. Trust a real estate agent to do this job because they are experts at negotiations. They know how to turn things around so that you, the buyer, get the best possible deal and do not end up unnecessarily losing money.

Legal Hurdles

There are strict laws to be followed when purchasing/selling a house. A homeowner may not even be aware of all the laws, but a real estate agent worth his salt will know in a minute whether a certain contract is legal. An agency, being well versed in the proceedings of the industry, also takes away your headaches of finding a notary, an architect, and other valuable contacts that come handy through the buying process. Additionally, they will ensure the contract is registered with the housing authority and all the paperwork is authorized from MEPA.

Inspections

A thorough inspection of a house is a must whether you are planning to buy it or rent it. Even though renting is a simpler process than buying, when you rent direct from owners, the challenges are the same. The owner might hide certain imperfections before you start living in it and then hold back your security deposit when you wish to leave. With real estate agents, this question does not arise as they do a proper inventory before you invest or move in. Even if a portion of the roof or a door looks fine but needs replacement at the earliest, it goes down in the inspection document so that you do not unknowingly lose your money later. This process protects the owner as well, as the tenant cannot hope to break something during their stay and hope to get away with it saying it was already broken.

Your Dream Home Hunt Begins

Choosing the right property does not have to be a harrowing experience. It is always better to hand over your home buying/renting worries to a professional so that you can simply sign the deal, take the keys, move in, and decorate. Buying or renting from owners can be a tedious experience and may leave you exhausted and demotivated. If you are planning on purchasing or renting anywhere near Malta, consider Home Rental Malta, who would be happy to do all the legwork for finding your dream home.