In fact, for most people, it never really occurs to them that this should or rather this MUST ALWAYS be the case when they decide to purchase the property of their dreams! They get carried away by the excitement of the moment i.e owning the property of their dreams. So, they indifferently and negligently commit this very deadly mistake which in the long term and in most cases turn out to work to their detriment
THEREFORE, WHAT THEN IS THIS VERY DEADLY MISTAKE NUMBER 3 MOST PEOPLE COMMIT WHEN PURCHASING REAL ESTATE?
Well, dear real estate investor, the particular deadly mistake you may have been committing unconsciously is simply this:
NOT HAVING A QUALIFIED AND INDEPENDENT NEUTRAL THIRD PARTY HANDLING & WITNESSING THE CLOSE OF YOUR REAL ESTATE DEAL!
WHAT THEN IS EXACTLY MEANT BY THIS?
Well, perhaps the following little scenario will help drive the whole point home. When John Mweemba, my traditional cousin, decided to purchase his dream house, he told the seller of his intentions. The seller, as usual, had already prepared an Offer - To - Sale Agreement in advance with his best interests taken care of, making the buyer indifferently and negligently commit deadly mistake no. 1 previously discussed in one of the previous blog posts. And at the time of closing the deal, the seller invited his brother, an accountant by profession, to witness the close of the deal. The deal went ahead and John Mweemba paid the seller for the property in question in the presence of the seller's brother. All the three of them signed the Sale Agreement and John Mweema left as the new owner of the house in question.
WHAT MISTAKE/S DID JOHN MWEEMBA COMMIT?
Well, John Mweemba committed several mistakes in the above narrated little story ; some of which we are yet to discuss in the upcoming blog posts. The particular mistake John Mweemba has committed at stake is Deadly Mistake No. 3 we're discussing today!
You see, the seller's brother although an accountant by profession, did NOT qualify to be an "Independent and Qualified Neutral Third Party" to handle, close and witness John Mweemba's real estate deal. John Mweemba, by allowing the seller's brother to be the closing agent, forfeited the Qualified Nature of his real estate deal should any problems arise out of this very sale.
Therefore, in your quest to buy and/or rent the property of your dreams especially commercial properties, you MUST ALWAYS make it a point to ensure that you have a Qualified and Independent Neutral Third Party to handle, close and witness your deals to avoid any potential problems in the near future.
In John Mweemba's case above, an accountant is not a qualified real estate closing agent. Although a professional, an accountant is not held to be a qualified closing agent when it comes to real estate matters.
THE QUESTION YOU MAY BE ASKING YOURSELF RIGHT NOW IS, "WHO THEN QUALIFIES TO BE CALLED A QUALIFIED AND INDEPENDENT NEUTRAL THIRD PARTY?
Well, dear real estate investor, your guess is my guess! There are quite a number of professional people who pass the test of being called "Qualifed and Independent Neutral Third Parties". These include but are not limited to the following class of professionals, that is to say, Lawyers, Escro Closing Agents, Real Estate Professionals or Agents and/or Archtects!
Therefore, dear real estate investor, the two most important words you must ALWAYS look out for when closing your real estate deals are "Qualified" and "Independent". If you indifferently and negligently allow a real estate deal to take place devoid of these two necessary ingredients, then you are teetering on a tightrope over an investment catastrophe! When John Mweemba, above, permitted the seller's accountant and brother to witness and close the sale, he outrightly broke the requirement for an independent and qualified real estate relationship between himself and the seller. When the seller used his brother and accountant to close the real estate deal instead of either using a professional real estate agent, escro agent, or a legal officer, he forfeited the qualified nature of the deal.
Truthfully speaking, an accountant is a professional but accountants are NOT usually considered to be qualified real estate closing agents!
So, dear blog reader, the next time you go out and settle for a certain piece of real property, You MUST ALWAYS make sure that you avoid committing this particular deadly mistake discussed herein including the previously discussed ones as well as the upcoming ones to be discussed later right here on this very property blog.
So, until next time, go well in your real estate searching endeavors!
NOTE: Read Deadly Mistake No. 4 -> HERE
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