Should I Get Preapproved Before Buying Land?
Land Loans
Question: Should I get preapproved before finding that perfect property to buy?
Answer: YES! There are definite advantages to getting preapproved for a land loan.
The number one reason: Money Talks!! Coming to a seller with a preapproval for financing can allow you to negotiate a lower buying price. Why? When a seller knows the buyer has guaranteed financing, he knows the closing process will be faster and smooth which ultimately puts the money in the pocket sooner. The guarantee of a quick closing with guarantee of money to a buyer usually justifies a reduction in price.
Land purchases, large or small, have a lot of detailed and time consuming steps that must be done in order to complete the sales agreement. Removing the time required to get approved for a land loan dramatically increases the likelihood that all other steps will be completed quicker.
One large step is the appraisal process. A quality land loan lender who has already preapproved their client will also be prepared to find a qualified appraiser once a contract is signed. They can also take time to research the area and find several options for an appraisal which usually correlates to a faster appraisal completion at a lower price.
The title work for land purchases can also take some time. If the abstracts and title commitment can begin shortly after a contract is signed, it obviously allows for a quicker completion time. This then allows for the closing settlements to be completed sooner and again allowing for a quicker closing date.
And last but not least, preapproval gives you peace of mind. You will know the exact amount you will be able to spend on a land purchase. This will then allow you to narrow your search and go for the exact property that fits your budget. Often times in the heat of an auction or the power of a real estate agent, a buyer can overspend. When you are already preapproved and know your limitations, those impulse buys are more easily avoided.
So why wouldn't you as a land buyer want to save money on the purchase, dramatically increase the closing process, and protect yourself from overspending? I think the simple answer is that we all would. If you anticipate buying land in the near future, get preapproved now and make your next land purchase an enjoyable one.
Kory Unruh is the Vice President of Land Loan Specialists.com and has helped clients around the nation get low long term fixed interest rates on various types of land loans. Email kunruh@landloanspecialists.com today for FREE loan approval and FREE loan advice or visit http://www.landloanspecialists.com for more expert articles. Land Loan Specialists.com is dedicated to saving you money!
(c) Copyright - Kory Unruh. All Rights Reserved Worldwide.
Source: http://ezinearticles.com/
Added: March 16, 2008
Uncertainty will rule the land until the election - Times Online
Singur deal looks all but done - Business Standard
Sify Singur deal looks all but done Business Standard, India - The two sides will meet again to go into greater detail of a land -based rehabilitation scheme in and around the Singur project site, the Governor said at ... Some signs of breakthrough on Singur Singur issue: Bengal Governor hopeful of outcome by Monday 'Fruitful' talks but no deal to save India's cheap-car plant -Land Of Big Science - Newsweek
CBC.ca Land Of Big Science Newsweek - The Large Hadron Collider is a symptom of America's decline in particle physics and, some fear, in science overall. By Fred Guterl, William Underhill and ... Are we all going to die on Wednesday?