The purchase of a property from an individual is the essence of real estate transactions in the state of New York, at the expense of auctions, purchasing from banks or promoters.
The key steps in the purchase from a private individual:
1 / MLS, what is it?
In New York, every salesperson has in its portfolio, property for sale mandates that he must share with other agencies through a common system called MLS (Multiple Listing System). This centralization of properties for sale is freely available on the Internet. This is a huge advantage for the buyer compared to other systems, such as France, for example, where you have to tour agencies to see what was in store.
There are many ways to access MLS data, including the sites of some real estate agencies. Attention access is FREE. So Flee sites that offer you to pay for access.
It is noteworthy that the MLS also contains offers for rent.
Please note that the Manhattan area is subject to specific rules and do not have an MLS.
2 / Quote
To have a clear idea of the value of the property on the market, you can visit
Once you have located the property in question, you must provide a written offer, with the first payment of between $ 5,000 and 10% of the amount of the offer. Of course, the money is deposited into an escrow account (Escrow Account) and is fully refunded if the offer is refused, however, provided you have in your sales contract, which provides for the suspension clause.
3 / Inspections
Once an offer is accepted, you can request a detailed site inspection (Home Inspection) at your expense. If the inspection is satisfactory, you will need to place on the same escrow account an additional amount between 15% and 25% good.
4 / Funding
The buyer can obviously choose to either buy the property fully expecting either to resort to financing. In the latter case, obtaining a loan may take some time, between 45 and 60 days. Meanwhile, the lending bank will probably request an estimate of the property in question, with a specialized and independent body. This written estimate (appraisal) is a valuable indicator for the bank, who knows, therefore, if the purchase price you offer is relevant. Knowing that she may end up with your property on the arms if you do not repay your loan, it checks its market value …
5 / The closing of the sale or Closing
Once funding has been obtained, the closing of the sale (Closing) is usually done in the following days.
Therefore came a closing agent (Closing Agent or Settlement Agent) who:
Represents the buyer in the transfer of title and transfer of property of the Seller to the Buyer.
Conducts research on the validity of title.
Offers the assurance of this title (Owner’s Title Insurance Policy). Specifically, this insurance covers the state of title at some point.
Synchronizes the payment of funds through its escrow account.
Closing costs for the buyer ranged from 1.5% (with purchase) and 4% of the purchase price
Hope this helps.