Methods of calculation for real estate purchase and sale transactions

Methods of calculation for real estate purchase and sale transactions

A huge amount of money is always involved in the operation of buying residential real estate. In such operations, the most relevant and important is the question of the methods of mutual settlements, in which it is always necessary to be very careful. In addition, the correct design of the documentation is of great importance.

There are several types of secure payments when buying residential real estate.

At present, cash settlement methods between the buyer and the seller are practically not used, because they are among the most unreliable and risky. The most popular payment methods for buying and selling real estate include:

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1. Cashless payments. It consists in the fact that money is simply transferred from one account to another, that is, from the buyer's account to the seller's account. This method is safe, practical and economical.

In addition, it completely excludes robberies and transfers of counterfeit money, as it does not require a personal meeting.

2. Safe or bank cells. With this method of calculation, the amount equal to the value of the purchased property is not disclosed. Most often, this scheme is used when it comes to real estate in the Moscow region, Moscow or large cities. The parties to the transaction rent safe deposit boxes in the bank. In this case, an agreement must be concluded, under the terms of which a bank safe is opened only with the participation of both parties.

The advantage of the safe is that without the consent of the second participant in the transaction, the first cannot withdraw funds from the safe deposit box.

3. Letter of credit. This method consists in cashless payments, but they must be carried out in compliance with all conditions and strictly under the supervision of the bank. The buyer transfers the amount of money for the property to a certain account, and then the bank transfers this money to the recipient after the presentation of pre-specified documents.

A letter of credit is especially relevant for staged transactions, since, upon agreement with the bank, the seller can first receive an advance, that is, the first part of the funds due to him, and then at the final stages of the transaction, he receives the remaining parts of the funds.

4. Help real estate agencies. In large and reputable real estate agencies, specialists are authorized to transfer funds, while all stages of the transaction are controlled, as well as the correctness of the required documents and the falsity of banknotes are checked. In this case, all possible risks are excluded.

This method is most suitable for persons who do not want to delve into and understand official subtleties. However, for such https://hata.co.ke/283-commercial-land-for-rent services of a realtor, you will have to pay an additional amount.

Today, there are a lot of various fraudulent organizations on the real estate market, as a result of which it is unlikely that it will be possible to avoid additional stress and consequences. That is why it is recommended to use the safest payment methods when buying a home. All of the above payment methods are safe.

Safe settlement is a guarantee of legality and purity of the transaction. As a result, we can conclude that transactions in which there is no direct payment from hand to hand are considered the safest. All actions during real estate transactions must be documented, the same applies to the calculation. In addition, under unforeseen circumstances, a bank or real estate agencies will be able to act as witnesses, who also keep all the history and archives of financial transactions.

In addition to reliability and security, all of the above payment methods are also quite easy, even for those who are not too versed in all the legal and financial intricacies of transactions with

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