As a home buyer, it’s important to stay on top of all details regarding your transaction. You need to keep track of all important dates, follow up with all involved parties, and keep a thorough record of all documents a part of the contract. It’s a lot to maintain throughout this process, but this post will help highlight the key parts you don’t want to let go ignored, and also discuss the possibility of hiring a transaction manager to do all of this for you.Â
What is Transaction Management?
Transaction management (TM) is a critical element of the business world, but it’s also one that many people don’t always think about. At its core, transaction management involves communicating with all parties involved in the contract and making sure that deadlines and contingencies are met. Moreover, it includes keeping thorough records of all documents related to the process; after all, if a dispute arises down the line, having reliable documentation is paramount. In short, while it’s not the absolute most exciting part of the contract, proper transaction management is essential for keeping agreements secure and running smoothly.
Following Up With All Involved Parties
One of the most important aspects of a successful real estate transaction is following up with all involved parties throughout the process. The need to maintain communication with everyone, from title companies to lenders, doesn’t end when you’ve made an agreement. Taking the initiative to follow up regularly and asking for updates will help you stay on track and make sure you a have secure deal at closing time. Plus, it’s always better to be proactive rather than reactive – so don’t wait for anyone to contact you; make it part of your job as a buyer to always stay two steps ahead!
Coordinating Inspections, Appraisals, and Repairs
It is the transaction manager’s responsibility to coordinate all inspections, appraisals, and repairs needed when dealing with a property. Whether you do it yourself or hire someone, the transaction manager informs all involved parties of scheduled dates pertinent to the transaction. This job goes far beyond keeping everyone on schedule; you are working to ensure that the process continues without any unexpected surprises or transactions falling through due to small details that were overlooked.Â
Keeping Track of Deadlines and Making Sure Everything is on Schedule
The old adage “time is of the essence” holds true and sticking to deadlines and contingencies is vital to transaction management. When it comes to major transactions, you do not want to miss a deadline and, consequently, put the contract at risk. You’ll want to make sure you’ve had time to get all of your inspections in and can negotiate repairs if needed, which you will lose if you miss that deadline. It’s also vital to know when your financing approval is due, and therefore can keep the seller or their real estate agent up to date throughout that journey. That’s why it is important to keep track of everything and make sure that everything remains on schedule. Having reliable oversight of when tasks should be done can help alleviate any potentially costly mistakes.
Doing it Yourself Vs. Hiring a Professional
Hiring a professional to help you with the details of buying a home can be daunting, but it might be worth considering. After all, should you really be your own transaction manager when trying to navigate something as monumental and potentially expensive as purchasing property? There is no one-size-fits-all answer, but if you are unsure about being your own real estate agent and are considering hiring someone to help guide you through the process, you’ll have to ask yourself how much it will cost. Generally speaking, fees for this type of service can range from anything between a few hundred dollars to over $1,000 depending on the complexity of the situation.Â
Ultimately though, if you want an extra layer of assurance that you’re not making any concerning mistakes throughout the entire process of buying a home, it might be worth shelling out a few hundred dollars for professional assistance. Check out our partner brokerage for affordable and professional real estate services.
Transaction Management: Closing Thoughts
Now that we’ve gone over what transaction management is and why it’s important, you might be wondering if you should do it yourself or hire a professional. The answer to this question depends on your situation. If you feel comfortable coordinating all of the different aspects of a real estate transaction, then you may be able to save some money by doing it yourself. However, if you think that managing a real estate transaction would be too much for you to handle, then you may want to consider hiring a professional transaction manager. Regardless of whether you do it yourself or hire someone else to do it, make sure that you understand the importance of transaction management and how it can help ensure a smooth and successful real estate transaction.