We have all heard the term but rarely in the context of real estate. It is amazing though how much it applies in this market. It is commonplace for banks to turn their noses up at full price offers on foreclosure properties only to turn around and accept a lower offer for cash. Once a property makes it through the lengthy process of foreclosure they are anxious to write it off their books. They are all too aware of the pitfalls that await financed homeowners in bringing the deal to a close. It is for this reason that I make the following recommendation to anyone hoping to cash in on the deals on Fort Myers FL homes. It is indeed wise to work out financing before you start shopping.
One way to accomplish this is to borrow against other assets. Do you have equity in your primary residence? Do you own a piece of property that has ample equity? Better yet do you already have a Line of Credit in place that you can utilize? Borrowing against other assets is wise for other reasons. Other costs associated with the purchase of a new home can be avoided. First and foremost is the Doc Stamp tax on the mortgage. Another is that an appraisal is optional. Add to that a price that will surely be thousands of dollars less and you quickly begin to understand my point. The money you save will pay any costs associated with procuring the loan. Add to that the fact that you can close in weeks instead of months.
What is that worth in saved aggravation? Planning ahead always makes sense, in this case it makes money. Plan ahead and take advantage.