Are you thinking of buying a property in Mexico? Do you have the opportunity to attend an open house? This could be actually great since you’re able to visit the property and know if it is exactly what you’re looking for.
Nevertheless, when attending an open house, there are many factors that need to be addressed. It’s hard not to get caught up with all the excitement and anticipation of what you have read in the brochure. However, going into a property that could potentially spark a definite interest needs some type of agenda for you to follow that will aid in making a sensible decision.
The following questions will help eliminate any second guessing, apprehensions leading to a lost opportunity or buyer’s remorse. If you get answers that meet your criteria, then you know you can make a sensible offer and feel good about it.
1. Why is the home/condo for sale?
One of the first questions that should come to mind when attending an open house is why are the sellers selling. There are many reasons why people want to move and/or relocate. The real fact of the matter is trying to understand the seller’s motivation. Knowing this could possibly help when making an offer. It could also affect the date you want to take possession. Are they looking to buy a bigger home, scale down or relocate? Do they have another place picked out or under contract?
This information will help you determine if the owner is serious about selling or just seeing what the current market is bearing. Do you really want to waste time looking at a property where the seller isn’t sure if they want to sell?
2. Do the owners live in or near the home?
You should ask the realtor if the owner is in the area. Dealing with a seller who lives abroad could potentially extend or prolong the sales process. If you have a time frame in which you need to take possession, paperwork can get a bit cumbersome, especially if you are dealing with an absent seller. What was supposed to be an easy closing, could turn into long periods of time waiting for paperwork to arrive.
3. How long has the property been on the market?
Find out how long the property has been listed. Homes that have been on the market or listed for long periods of time usually signal some sort of problem. Maybe the sellers don’t want to negotiate on price – then look for other compensations like furnishings. Are there problems with the home’s structure and/or are there needed repairs? Are there title issues? If so, be prepared to come up with additional money. Probe the listing agent for more information.
4. What is the homes’ history regarding remodels and minor/major repairs?
Ask the listing agent for a maintenance history. Don’t be afraid to ask certain questions like how old is the water heater, the appliances and, have any major repairs been done? All sorts of issues could crop up before, during and certainly after the sale. Just like anywhere else in the world, property is sold “As isâ€. You can request a disclosure form, but don’t assume it is completely accurate.
5. Is there any movement on price?
Most people are hesitant and/or afraid to ask if there is any room for negotiation in the asking price. When making such a large purchase, money is relevant and getting the best price possible can save you thousands of dollars. It’s your money so be very smart with it.
If you have a seller that is adamant about their asking price, tell your realtor to do some research – comparable pricing on similar homes/condos in the area. Show the information to the selling agent and ask them to have their client reconsider their thinking. This is all part of doing business. Remember, don’t be afraid to exercise ‘walkaway’ power. Don’t pay more than what you have budgeted.
6. Has there been much interest or offers made?
The selling agent can inform your agent regarding past interest and even offers made. Knowing past results can benefit you immensely. If a property’s asking price is $200,000 USD and offers of $180.000 have not been accepted, then you know there’s a price point that spans somewhere between those two figures. Don’t be afraid to test those boundaries in $2,500 to $5,000 USD increments.
7. When the house sells, how soon can you take possession?
Ask the selling agent when the current owners are planning to turnover possession. When price negotiations are in there final stages, make sure you have a “take possession†clause included in the contract.
8. What is included and not included in the price?
Have the open house agent point out or better yet, provide a list of inclusions. Make sure that you understand what stays and what goes. This includes, but not limited to wall art, furniture, appliances, housewares, and textiles of all kinds.
9. Are there any HOA or community fees?
Take notice where the open-house is located. Reassure yourself by asking the agent if there are any HOA (Home owners association) or community fees of any kind. If so, ask for a copy of the bi-laws. Find out if there are any assessments coming up and/or due now or in the near future. Also ask what is included in the HOA fees.
10. What is the parking arrangement?
This is a key question when looking at a condo, especially if you own a vehicle or scooter. Ask how many total spaces you have ownership to. Is there covered parking available? Is there additional storage on-site? In some cases, parking isn’t offered or may be purchased at an additional cost in certain condo complexes.
Summary
Again, don’t be afraid to ask questions. An open house is an invite for the public to see what is offered. It also educates the potential buyer on what is available in certain price ranges. You need to take into consideration the location, what the community offers, and what amenities are nearby. It is suggested that you take a pen and paper when visiting an open house. Taking notes allows you to compare properties and track what you saw, what you liked and where it was. Taking pictures is also a good idea when seeing multiple properties.
All of the above provides you with information that will help you make an intelligent decision.
We specialize in helping Canadians and Americans find the perfect home and purchase safely in Mexico. Remember, at Top Mexico Real Estate… We make it happen!
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