There are several really major decisions in life that we need to make, and one of them is clearly buying a home. Now, even though finding the right place to call home may be troublesome, we can all agree that since we live in the digital age, getting the information we need has never been easier. Furthermore, for whatever the choice we need to make, some research, friend recommendation, etc., is a usual thing we do, so why would buying a home be any different?
Understandably, it’s not like you will make such a choice often, and being concerned about it is pretty reasonable, as most people get nervous when purchasing a home. That nervousness is normal since a home may be one of our largest assets, which in many cases isn’t only about what we want or like, as it is a mutual decision we make with our significant other. As a Buyer, you want to ensure you are investing in a good property. You also want to ensure that all of the intricate steps, including the transfer of title, are done correctly.
To help facilitate these large transactions, many have turned to bitcoin to buy real estate. There are a few reasons for that, and one of them is definitely the fact that these transactions are much faster than others, and for those who are used to them, they are also much easier. But, it is necessary to know enough about this payment method to use it before the huge decision to buy a property.
What are the advantages of BTC payments?
Today, there is no person in the world who hasn’t at least heard about Bitcoin, but even so, many still have trouble understanding it. Besides that, many are still skeptical about using it, but it is absolutely normal to be afraid of something that you do not know about. It is necessary to understand cryptocurrencies to see that there is nothing wrong with using them and that they can be much useful.
Namely, Bitcoin is an internet-based payment system, but what makes it stand out from the traditional fiat currencies is anonymity, fast transactions, and enhanced security. That is why purchasing a home with BTC is so popular these days, as doing so offers many new possibilities and advantages. It makes the whole process much simpler, and what is maybe even more important, much faster.
But, it’s not like cryptocurrencies are only for making swift transactions, as trading and investing in them, and especially in Bitcoin, can grant great profits. That is why exchange platforms like cryptoexchange.com come in handy, as they are the best place to make the most of your investment. Each user has an anonymous address, which they can use to transfer any amount of money anywhere, almost instantly and without cash backs.
That can be a perfect way to make a transaction to the other side of the world without too much waiting and enormous fees. Bitcoin’s instantaneous feature may sound good, but it also comes with immutability. Buyers may ask, what if something goes wrong in the process? Does this mean the deposit is nonrefundable?
With a bitcoin escrow service, anyone can buy a house with bitcoin without concern. Here’s how.
Build a strong team
Regardless of the payment method, a real estate purchase involves many intricate details that may leave the Buyer in the “sign and get on with it mode.” That said, each decision is important and will have the potential to affect the course of your home purchase or sale. Buyers are encouraged to remain engaged and ask questions if something isn’t adding up. Suppose you are a first-time homebuyer or are otherwise new to property purchases.
In that case, a team of real estate experts, including an agent, home inspector, accountant, lawyer, and/or escrow officer, can help guide you through the process. There is always a possibility to search for the house on your own, but it is a much better idea to ask for professional help since it can help you avoid any inconvenience. Buying a property is an important decision, and it is necessary to be sure that everything is in excellent condition before you decide to buy it.
Understand the process
The first BTC recorded transaction in real estate occurred in Texas, as the Seller accepted BTC that the Buyer transferred to fiat money. To facilitate the whole business, the Buyer used a global BTC payment service provider. The results were more than obvious, and as for the speed, they both agreed that this business was a success. However, unknown parties must exercise some level of caution.
In a disagreement, both parties need to be compliant as it cannot be reversible in any other way. Escrow works in a fairly straightforward manner to facilitate digital money activities with anyone. Both parties in the deal will still go through the same process of locating a place and making an offer. Following the offer, Buyers will need to provide a deposit. BTC will likely also be used to pay a small percentage of your down fee.
Instead of providing this collateral to the Seller, they send this to the account, otherwise known as the escrow. Then the agent continues to hold the funds as both parties involved set together a written agreement for the purchase. Both parties will also continue to add documents to the agreement.
The documents may include proof of home inspection, clear title checks, and any other terms related to the situation. Next, the agent will review the contents and determine whether both of them are satisfied. If satisfied, the agent will then release funds to the Seller, and the escrow will close.
Choosing the escrow provider
Escrow providers charge a small fee for their services; however, the price is worth it when considering the protection you receive when buying real estate. When users put all payments and documents into a trusted escrow account, each party can be certain the assets are secure even if they aren’t physically close to each other.
Escrow accounts eliminate the risk of the Buyer, Seller, Lender, or any other party involved from taking the money or house deed and vacating. Buying property is where an intermediary that both parties trust comes into play. Selecting this trusted party then becomes the responsibility of both the Buyer and Seller involved in the sale.
Typically an escrow agent that works closely with a realtor or one with a history of operating in the bitcoin industry will both provide the necessary security. That said, the decision ultimately rests on the two parties transacting directly and should require their thorough review and consultation.
Finding a reliable escrow provider might require some time since there are too many of them, but reading the reviews can be a perfect first step in that search. It is necessary to be sure that it is the right person for that job before hiring them because many things depend on them, and trust is crucial in that relationship.
Pay attention to timing
An escrow provider can also help to manage the timing of the transaction. Many of the steps in the process require execution within a certain time frame, or the other party may choose to back out of the deal.
Although there are no concerns with processing a wire transfer or waiting for a bank draft to come in the mail, there are still many standard steps in the process that will require Buyer and Seller consideration.
An online escrow platform can help lay out the timeline as a guideline for what the users can expect. Buyers should also mark these events in their calendars to ensure they know all the required responsibilities. After all, it’s better to be safe than sorry.