Three Terms You Must Know When Dealing with Real Estate Agents

Buying or selling a property can be a jargon-heavy process. With acronyms and legal terminology flying all over the place, cutting to the heart of the matter is tough. Despite all this, real estate is fairly simple and, with some guidance, may even be understandable. Below, we have picked three terms that we think you need to know before dealing with real estate agents. 

As-Is 

The term as-is means it is sold as it is seen. It is now used much further afield than just real estate. It generally implies a product is slightly imperfect, and the seller understands that. However, the price will remain, and no repairs will be conducted. 

When you are buying an as-is property, you are usually looking at one that needs some repairs. Check them thoroughly and get an expert to survey them for you. Those few minor problems may be something deeper, and you don't want to find out after the sale. Companies like RICS can help you find a trusted professional. 

Luckily, once an offer is made and signed, the as-is condition must remain. If something happens to the property to make it worse, the seller must return it to the condition it was at when a price was agreed. The cost for this must come from them. If not, the seller should allow the buyer to back out of the sale with no financial repercussions. 

For those selling a property as-is, cash for home companies like We Buy Any Home are a solid option. They will provide offers almost immediately, and sales can be turned around in as little as seven days. This cuts down the time a property is in your hands and may require further work. 

Due Diligence 

Due diligence is time allotted to a customer or professional to perform necessary checks. It is also used further afield than real estate, often in medical and business discussions. 

When it comes to buying a property, you will be given this period to check the property. At this time, you may want to get experts to help. From here, the buyer can decide if they want to make an offer, negotiate the price, or back out entirely. Due diligence is vital, and as a buyer, you should never skip it to save funds. 

Escrow Holder

An escrow holder is vital to the process of property buying and selling. They are a person who is allotted the money, documents, and other items related to the sale. The people involved in the buying and selling will reach an agreement on when the sale is complete, and at this point these items will be released. This will provide one person with the property and the other with the funds. 

Escrow is not just used in real estate, but is now a common part of many financial and business transactions. During a real estate transaction, it is often the bank that is the escrow holder, so it could be Barclays or Nationwide depending on who provides the finance. 

No doubt you will encounter many more terms as you negotiate your home sale or purchase. It can be stressful, but all these steps are necessary. With a basic grasp and the right estate agents in place, you should find a new home in no time.