If you are in the market for a new house, you may find yourself swimming in a sea of confusion very soon. As relocation experts, your Fort Lauderdale professional movers have quite a bit of exposure to the real estate world and hope that this information will serve you well as you may need any guidance you can get. When you plan to move to a house you’ll soon purchase, there is a competitive quality that exists within the interactions you’ll have with the seller of your dream home. If you lack basic understanding of what confusing real estate terms mean, your ‘competition’ already has the upper hand. Buying a house is comparable to a poker game, but it may take years to realize that the seller of your home hustled you out of a fair deal. So here are a few terms spelled out in plain English to get the ball moving on your improved real estate knowledge:
Foreclosure is a term that has become more frequent these days as it goes hand in hand with an unstable economy. What is a foreclosure? To you, a foreclosure can be either a golden opportunity or a financial death-trap. A foreclosed home is one that was repossessed due to the homeowner’s inability to keep up with payments still owed on the property. The advantage here is that there is an urgent desire from the loan-lender (usually a bank) to sell the property quickly. The desire to quickly sell property generally means that the price of the home will be significantly less than a non-foreclosure property. The disadvantages, though, can sometimes outweigh the pro’s to buying a foreclosed property. It is common for these types of properties to require a lot of expensive maintenance due to negligence and/or bitterness from the previous owner. You may even be required to re-do some of the upgrades performed by the previous owner if he or she failed to get proper permits to perform the upgrades. All after you’ve already closed on the house and it is too late to turn back. Be careful with foreclosures!
A deed is simply an official document stating who the owner of a property is. Very similar to the title to a vehicle; the deed will be transferred from the seller to you before you move in.
If you are owed money from someone, a lien is something that can be placed on a property that he or she owns. If you have a lien on a property that is sold, you are entitled to claim the payments from the property that is sold.
Escrow is a term used when a property sale is pending. A third party is employed and entrusted with written agreements and money that, once the sale of the property is final, is delivered to the appropriate parties (seller and buyer). While in escrow, the sale is not yet final. Documents and finances remain in escrow until the sale is final or cancelled.
Real estate is confusing, even if you have an above average grasp on real estate jargon you can still find yourself scratching your head when it comes to buying or selling your house. However; moving is simple! Once you have surfaced from being submerged in chaotic house hunting madness, hiring reputable Fort Lauderdale movers will be one of the easiest decisions you have made in a while. Good luck to all who are in the process of buying a house to move into in Fort Lauderdale. May your thirst for real estate knowledge be fulfilled so that your home-buying experience is a huge success!