Mortgage Rates May Affect Your Real Estate Buying Intentions
When you buy a property, you may need to use a power of attorney for real estate buying. A power of attorney is used for one person to authorize another to make certain decisions on your behalf while you cannot be present. A power of attorney for real estate buying can cover many property purchase transactions. This article briefly discusses the four types of powers of attorney that you may use for real estate buying. Use this information to determine which type is most appropriate for your needs.
First, you may use a power of attorney for real estate buying to allow a friend or relative to buy your home on your behalf while you are not there. For example, if you want your daughter to be able to buy her own home while you are not present, you can use a power of attorney to set up a trust account and have the friend or relative purchase the home under your name. You can then have the power of attorney automatically terminated when you become incapacitated or pass away.
Second, you can appoint an agent to help you with the real estate transaction. An agent will negotiate offers, show properties, act as a fiduciary, hire contractors, inspect the property, conduct negotiations, and close the sale. Experts in real estate transactions can help home buyers with the entire transaction. Agents can provide buyers with expert advice and property tips.
Third, you can appoint an individual, such as a family member or friend who is an expert in the real estate market to act as your agent. However, experts in the real estate market cannot be everywhere, so home buyers should select someone from their pool of contacts. For example, if you want to use a real estate agent to help you buy a home during the boom of the housing market in the late 1990s, you should hire someone from that time period, not someone who is experienced in the boom today. Another option is to hire an individual with expertise in the field. Real estate experts are very valuable for short-term and long-term investments.
Fourth, you can make use of a mortgage broker. Unlike a realtor, a mortgage broker is registered with the Multiple Listing Service, or Multiple Listing Services, also known as the Multiple Mortgage Brokers Association. A mortgage broker helps buyers access to mortgage loans and information. Home buyers usually do their research online, so it is best to get estimates from a mortgage broker. A mortgage broker can also help buyers arrange financing.
Fifth, you can contact a pre-approved lender directly. Pre-approved lenders offer special financing rates for qualified buyers. If you search for a pre-approved lender online, you can get a list of these lenders. Once you have identified a lender that suits your needs, fill out a real estate purchase application and submit it to the lender. The lender will give you a rate within minutes, usually in a mailer, and then you will have to check if the pre-approved rate is valid. If it is, you are ready to buy!
Sixth, you can use a real estate agent who specializes in pre-approved loan packages. If you know of an agent who specializes in these kinds of loan packages, contact him or her. Although you might spend more initially to hire an agent, the seller might drop the seller a higher commission once he knows that the buyer has been pre-approved for a specific mortgage.
Lastly, remember that buying a home is a long-term investment. While there are no guarantees when it comes to selling homes, there are plenty of ways to make your home more attractive to buyers. So, regardless of the current mortgage rates, go for a homebuyer’s dream. Buy now and prepare yourself for a long-term investment in your real estate portfolio!