In competitive real estate markets, some home buyers have to move quickly to get the home they want and avoid being outbid. Some buyers will purchase a home sight unseen, without ever touring the place in person. This can be a good strategy in certain situations but is also risky for the buyer who does not take time to tour the property before making an offer. Here’s what you should know before making an offer. Here’s what you should know before making an offer. Homebuyers who are searching for a home out of town and don’t have the time or ability to view the home in person will use virtual tours as their primary means of viewing a home.
What does it mean to buy a house ‘sight unseen’?
Purchasing a home ‘sight unseen’ means buying it without having toured the property in person first. Typically, someone buying a home sight–unseen will have looked at pictures and videos online and likely taken a virtual tour. While it might sound odd to buy a home without having set foot in it, more and more home buyers are choosing to do so. Homebuyers who are searching for a home out of town and don’t have the time or ability to view the home in person will use virtual tours as their primary means of viewing a home.
Why remote home buying is increasing
Several reasons exist as to why buyers are placing offers on homes without seeing them first. People are trying to avoid potential contact with the [coronavirus], and they do not want to risk having direct encounters with other people who may or may not have been infected by the virus.
How to buy a house sight unseen?
Buying a home without ever stepping foot inside is just like buying a traditional home, except you’ll be using photos and videos of the property instead of an open house or in-person tour.
When is it a GOOD idea to buy a home without viewing it first?
Property location that is far away: If you are interested in a property that is not in your province or does not reside near you, then buying it without visiting it first could be a smart move. You will not need to spend any money or time trying to get there, book accommodations, or pay for any meals while you are visiting. And you won't need to take time off from work or use your vacation days for traveling there and back again.
When the real estate market is hot: In areas and neighborhoods that have high demand but low housing supply, it is not unusual for sellers to find a buyer within days of posting their listing, or even on the same day. Buying a home without viewing it first will let you act fast, and the quicker you can reach the seller with an offer, the more likely you will be to outbid other buyers interested in the home. This approach should only be considered when you have enough real estate experience and are financially capable of taking on the investment and possible maintenance requirements that can arise once you see it in person.
Prioritize location over the state of the property itself: Maybe you've lived in a certain area in the past, or you want to be closer to family and friends, or you need to relocate for work. It doesn't matter what the reason is: You might be willing to prioritize location over the state of the property itself, and you have a budget available to do some minor repairs or renovations. If location is your primary concern, then purchasing a home without first viewing it could be an ideal option.
When is it a BAD idea to buy a home without viewing it first?
One downside to buying a home without having seen it is that you won't be able to get the full details of the property. Even though you could see plenty of pictures and videos, take 3D tours and video calls with an agent on-site, you won't have the real feel for the property unless you actually go there yourself.
Although virtual tours can be staged to show only the good parts of a home, you might find once you arrive that the rooms are smaller than they looked in the pictures or the ceiling is lower than you anticipated.
The seller may view your offer as a risk and reject it. Although sellers want to sell their homes, an offer from someone who did not view the property can be seen as a risky situation. This is because the sale could be delayed due to the buyer needing inspections and appraisals Since they can’t see the home themselves. There is also a higher chance that the deal will fall through.
Whether you would prefer to view properties in person or do a virtual tour at CondoGo Brokerage we offer you all. Fill out the contact us form on our website and we’ll contact you and guide you through the next step of finding your dream home.