How to Make Long-Distance Home Buying Work for You
The process of buying a home is an exciting adventure – from the beginning of the home search all the way to moving day and beyond. But what happens if you’re planning to buy a home sight unseen because you’re currently living abroad or perhaps you’re in the military and deployed overseas? Yes, you can go through the home purchase process without being physically present – but it doesn’t come without its own unique challenges. Here are a few considerations to weigh if you plan to buy a home from afar.
Get your finances in order
Arguably one of the biggest challenges of buying a home remotely is handling the financial aspect. With so much paperwork to pass back and forth with your mortgage lender and needing to collect past financial statements and information, things can get tricky fast! Take the time to find the right mortgage lender for your needs, one who can help make the process easier for you despite the fact you aren’t able to physically be there throughout the buying process. Once you’ve found a great lender, find out what financial documents they’ll need right away so you can begin gathering the necessary information.
Hire a great real estate agent
Having a knowledgeable real estate pro at your fingertips is important, no matter where you’re located. However, it’s especially important to have a trustworthy, experienced agent when you’re hundreds or thousands of miles away from your potential new home. You need an agent who will be your advocate through the buying process and be willing to carry a bit more of the load since you aren’t physically there.
Know your wants and needs
So you’ve started the conversation with a local real estate agent – congrats! You’re one step closer to buying a new home. The next thing you’ll want to do is determine what exactly you’re looking for in a home. What features are non-negotiable, and what could you live without if it means getting something else you deem more important? Discuss these with your agent so he or she can help narrow the list of potential suitors and save you some time during your home search.
Let's get visual
Traditionally, one of the next steps for potential homebuyers is to compile a list of homes to tour and schedule time to visit each of them – but that’s easier said than done when you’re not local to the area. While photos can’t replace actually visiting a home in person, paying close attention to the images can help you narrow your list a bit. Nowadays, it’s also very common for home listings to include a video walk-through, which can help you better visualize yourself living in the home.
Do your research
Don’t underestimate the power of a simple internet search, either. You can find out a lot about your potential neighborhood and local area with just a few clicks. If you happen to have family or friends near the home(s) you’re interested in purchasing who know your preferences, have them meet with your real estate agent for a home tour and to scope out the neighborhood and surrounding area.
When in doubt, plan a visit
If you’re having a hard time committing to a home without seeing it for yourself, consider planning a quick trip to meet with your real estate agent and walk through your top home choices (if you’re able to!). Even if you only have 24 hours, it can ease your mind to see the homes for yourself to make the final decision.
You found the one....now what?
So you’ve found the perfect home and your offer was accepted – great! You’ll want to be sure everyone is on the same page ahead of time regarding your absence at closing. These days, it’s easier than ever to handle real estate transactions electronically, but it’s essential to plan ahead so there are no surprises on closing day.
Digital details
Because a majority of the process will be handled electronically, you’ll want to be sure you stay on top of your email to ensure you don’t miss any important documents coming through. Also, keep your phone handy in the event your agent or lender needs to get in touch. If you’re in a different time zone, it’s especially important to be aware of deadlines for returning signed paperwork.
Fortunately, most lenders try to make documents as digital-friendly as possible, but in some cases, you’ll still need at least one physical signature – which can usually be handled with a notary public or power of attorney.
Signing from a distance
Taking out a VA Loan? If you’re military personnel deployed during the buying process, you can typically work it out with your lender to have a notary public notarize your signed documents that you’ll send back to your lender. Looking for a notary? You can check with your lender or a local bank – or you can visit an online notary search site to find one near you. You’ll likely need to return the notarized documents to your lender via next day mail. Some states have different requirements, and may require you to obtain a Power of Attorney if you’re not able to attend closing. This should be organized well in advance of closing day, though, to ensure necessary requirements are met. The home-buying process is complex in itself, and handling it from a distance can surely create more stress for you. However, with proper planning, organization and working with knowledgeable and reliable real estate and mortgage professionals, finding your new home can be a pleasant experience, even from afar.