4 Steps to a Luxury Property Acquisition

Posted by Steph Kaye on Thursday, April 14th, 2016 at 12:30pm.

Luxury home purchases require a more elevated approach in basic transaction processes than ordinary homes.  A high price does not necessarily qualify a home for luxury status.  In order to successfuly acquire a luxury home, Lang Premier Properties suggests four simple, yet crucial, steps to a smooth luxury real estate acquisition.  

1. SECURE FINANCING

Perhaps you are intent on purchasing a luxury home soon.  Your first step in the transaction process should be securing adequate financing.  If you anticipate purchasing a mortgage, it is best to seek preapproval in order to expedite the purchase of your luxury property.  If sellers are aware that you have already secured a mortgage and your preappproval letter is availble for submission upon presenting an offer, you will likely be considered a stronger candidate than other potential buyers who have yet to achieve this step.  A preapproval letter reflects that you are a legitimate buyer and will not be wasting any time in moving forward in the purchase process.  Loan preapprovals provide detailed information as to the type of loan you are qualified to obtain as well as the necessary down payment for which you are responsbile and exactly how much home you are able to purchase.  

Check with your lender of choice in order to learn whether you may need a jumbo loan.  Jumbo Loans differ from other loans as government sponsored mortgage entities will not purchase these loans and the banks must keep them on their books.  Jumbo loans are no better nor are they worse than conventional loans.  While banks are free to sell these loans to other financial instituions, they will require a more stringent lending criteria in terms of credit rating, borrower asset profile, and down payment requirements.  Jumbo loans usually maintain interest rates that are marginally higher than conventional loans.  

Make an appointment with a qualified mortgage specialist today in order to best proceed in your luxury home purchase process.  

 

2. SELECT AN EXPERIENCED REALTOR

The home search process in and of itself can be quite challening.  Searching for a luxury property is an even greater challenge and internet tools such as Zillow and Trulia are guaranteed to fail you in your quest for the perfect luxury home.  Zillow does not present accurate home values and fails to update listings in a timely manner.  In fact, Lang Premier Properties suggests you not limit your home shopping venture to sites such as Zillow.  The best recourse for a successful luxury real estate search lies in the experience and expertise of a professional LUXURY real estate agent.  

Often times, luxury properties are sold before they are formally listed on the market.  The only way to learn of such opportunities is by communicating with an experience luxury property realtor.  Luxury realtors are on the "in" with high ticket property owners and such realtors are often the only people allowed the courtesy of a preview of these properties.  The majority of luxury real estate owners are uninterested in officially listing properties on the market as they are not open to the prospect of holding open houses and inviting countless nosey strangers into their homes.  Luxury property owners often speak with a qualified realtor in order to obtain advice as to how best to prepare their home to sell.  The only home a buyer has in obtaining those types of properties is by contacting a realtor.  

Your realtor will aid in establishing home search strategies in keeping with your criteria, notify you the second a new luxury home becomes available for purchase, and keep you abreast of homes that will soon become available for purchase even though they are not officially listed.  A skilled realtor will give you a "jump" on the market; an automatic advantage in working with an experienced realtor.  

In addition, a seasoned realtor will likely be a part of a team of skilled experts who will ensure a smooth real estate transaction process from start to finish.  Your luxury realtor will be responsible for showing you the luxury properties you would like to see, offering expert answer to all of your questions, preparing your offer(s), negotiating skillfully on your behalf, and handling all of the nervewracking details with ease.  Your realtor's first and foremost concern is client advocacy.  It is the primary focus of your luxury realtor that you be well cared for and that all of your concerns be handled in a swift, professional, and efficient manner.  

3. REDEFINING LUXURY

Luxury can often be synonymous with location.  Luxury homes are often situated among other luxury homes in order to support property values.  Luxury refinements such as premiums brand smart appliances, custom cabinetry, luxury carpet, and hardwood and/or tiled flooring are expectations for buyers and elevate such homes to luxury status.  Luxury homes boast oppulant, spacious bedrooms and bathrooms with large showers and generous tubs, and three plus car garages.  Common features can be found in extra buildings hosting in-law suites, pool houses, garden storage, and sometimes stables or guest houses.  Luxury properties are now being built with features such as smart home technology, green energy, and water efficient landscaping.  

4. HOME INSPECTION

 As with the purchase of an ordinary property, a luxury property should also be subject to a home inspection.  Luxury properties can be in need of repair, too, and it is best to be aware of what you are getting into when dropping a large amount of money on a luxury purchase.  Luxury property owners are more successfull in their home ownership when they are more educated regarding the maintenance and general upkeep of their home.  A certified home inspector, preferrably one who is a licensed general contractor, will take the time to educate buyers on their new luxury property in order to get the maximum life out of home components.  

 

If you'd like to learn more about luxury properties, please don't hesitate to message Lang Premier Properties online or call us at 1-855-526-4466.

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