The Importance of Buyer Prequalification in NYC
Having offers come in for your property can be a wonderful thing, but buyer prequalification in NYC is equally important. Here’s why.
Why Buyer Prequalification Is Important in NYC
No matter how good the offer may be, a shaky buyer may not make it to closing. And as a result, you could lose valuable time and opportunity.
For example, if you select a buyer who’s turned down by the board, your loss will be two fold. You’ll have lost the sale itself. And you’ll also have lost all the time that your property wasn’t on the market because it was listed as “in contract.”
Additionally, a buyer who is just barely qualified doesn’t really have much room for things to go wrong with financing. So if you end up with an under appraisal (which is more likely to happen in a rapidly rising market), your deal might be toast. Or you might face the prospect of having to accept a lower sale price to get the deal done.
What You Need to Know
So what do you need to know about buyers?
- You should verify that the person has the financial means they claim to have, especially if they are offering to do a large down payment or all cash purchase.
- You should verify that the person can actually get a mortgage.
- If you’re dealing with a co-op, you should verify whether or not the buyer is likely to meet the co-op board’s financial requirements.
Fortunately, there’s no need to do buyer prequalification by yourself. Your agent can help you screen all interested parties by working with the prospective buyers and their agents to obtain all the information necessary to figure out the items above.
Have more questions about selling your home? Feel free to contact me. I’m always happy to help!