The buying process in the USA follows strict legislation. In order to clarify the procedures and explain some of the terminology, we have compiled a list of frequently asked questions and answers.
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This is a simple enough question to answer. When you sign the ownership deeds at the close of the deal you should receive a copy of these deeds within seven days of the closing date. The original is sent to the Orange County Records Office where the clerk of courts will record it and stamp it.Read more
You might assume that the obvious answer to this question is 'yes'. However, while some experts will always recommend that you view a property in person before buying it, there will rarely be an express reason to do so. Ultimately, it will make relatively little difference whether you visit the home or not and it's therefore very much a matter of personal choice.Read more
Closing means exactly what the name suggests: it's the point at which you close the deal and become the legal owner of an the USA property. It's also your last opportunity to pull out of the deal or to make any last-minute alterations to the transaction.Read more
There is really no such thing as a good tenant, but there are such things as bad tenants. However, with the resources available today there is no reason for anybody to end up with bad tenants in their the USA investment property. Engaging the services of a reputable property management company is the safest way to ensure this.Read more
The fact of the matter is that in most US cities the cheapest properties will invariably be those listed in areas which have a higher crime rates. This is an important point to take on board when exploring potential investment sites and your risk appetite will ultimately play a part in the kind of neighbourhoods you're willing to consider.Read more
Verifying the condition of the property is a standard part of the homebuying process in the USA and most property investors will arrange for a third party to compile a detailed report on the home before they close on the purchase.
Foreclosure properties will often sell at a considerable discount to the typical market rate. There are a number of reasons for this, the main one being that banks want these properties off their books as quickly as possible, meaning they tend to be entered at auction at considerably below their true market value in order to attract the maximum amount of interest.Read more
You'll typically find that there are more obligations involved with being a landlord in the USA than there are in the UK and in most other countries. These responsibilities include ensuring the maintenance and upkeep of the property and that it complies with city codes and other local authority regulations.
Some experts will advise against buying a property at auction, especially if you're a first time buyer; however, there's no reason why you can't. Once again, the decision really comes down to your propensity for risk versus return.Read more
Put it this way: there's technically no reason why you shouldn't buy a foreclosure in the USA and in most cases it would be well within your interest to do so. Foreclosure properties are a surefire way to buy a home at below its true market value and most homes offer considerable appreciation potential. US real estate investors have long since realised this, meaning there is no shortage of demand for closure properties, especially in the USA.Read more