Craigslist Next Steps?

[Brandon Leong]

So I seem to have stumbled upon a decent deal on Craigslist, which is great! But I am unsure about the next steps that I need to take. Since this property is out of state, I do want to eventually visit the property and make sure it all checks out. However, since it's on Craigslist, I've only had contact with the seller up to this point (just a few emails about the property). Some question I have are:

• If I want to move on the property, do I need to find a local broker to help me write up the offer and also tell me about the neighborhood? My initial research indicates that it's a decent area but I don't know for sure, it's a small town
• If I do find a local broker, does that broker also act as the sellers broker as well? Or do they usually have their own?
• Since it's out of state, should I go to a local bank there to inquire about mortgages? Or should I just go to a big bank here in New York, Chase or Bank of America?
• I've been listening to the podcast and they say that you should have a team in place. If this property is out of state, should I meet with attorneys and CPAs here in New York and then vet out local brokers, contractors and property managers

Thanks for any information you guys provide! It's been a fun journey so far... 2 weeks in!

[Aaron Lovett]

Hi @Brandon Leong, 

If you decide to move on the property, it's really up to you how to proceed.  Neither party is required to use an agent.  However, if you are unsure about anything, you might consider hiring a local agent to represent and advise you.  (His commission paid by the seller, or out of your pocket.) 

Depending on the state laws, you may be able to hire one person to represent both buyer or seller (dual-agency) or act as a transactional broker - not representing either side, just filling in paperwork.  If the seller has a broker, that person may also be able to fill out the paperwork for you as an unrepresented party.  Use your best judgement here (and know your rights) - there's really no reason I can think of for you to not use an agent, unless the seller refuses to pay a commission and you'd be unable or unwilling to pay your agent out of pocket.

If you have a good relationship with a local (to you) lender, I'd start there for advice on the lending side.  They may direct you to a local (to the property) lender or to someone who does business in that area.  My preference is always a local mortgage lender over a big bank.

Building that team is going to take time - and it won't necessarily happen the first time out.  If you are in a position to make a move, and you've analyzed the deal so that you know what you're getting into, even then there is going to be some "on the job training" that happens.  Be sure to account for that in your scheduling and budget.

Best of success to you!