Does your house need a little — or a lot — of help before you can sell it? Believe it or not you don’t have to have thousands in cash for repairs in order to sell your home. Read on to learn how to sell your house in poor condition, what to avoid, what to know and how to sell a house as-is.
Selling a House in Poor Condition
Most houses that go on the market aren’t pinterest-perfect. If your home has run of the mill issues like stains on the carpet or dings on the cupboard or an outdated bathroom then you’re in good company. These type of drawbacks can scare off some potential buyers but generally won’t make or break a deal when it comes to selling your house. Larger problems such as a fire damage, leaky roof, cracked foundations, mold or outdated kitchens can stand between you and getting offers on your home.
Before you decide to sell your home in as-is condition (meaning you are not going to make any updates or changes to the home; you will only sell it in it’s current condition) then you need to ask yourself three questions:
- How flexible is your timeline to sell? A house in as-is condition can take much longer to sell then a house in generally good repair.
- How much money (if any) do you have to put into renovations? Sometimes the payout at the end isn’t worth the amount of money you put into the house.
- Do you have the time and energy and desire to search out contractors to get the job done? Selling a home in as-is condition is the stress free way to go.
Deciding to Sell a House As-Is
If you answered those three questions and realized that you don’t have the time, energy and money to put into fixing up a house just to sell it then you have a few options for potential buyers. When selling a house in poor condition you can list with a realtor, do a For Sale By Owner or sell it to a reputable cash home buyer.
Working with a Realtor
Most realtors are willing to take on selling a house in as-is condition. A realtor will list your home on the MLS giving you a large amount of exposure. Do your research, make sure you find a realtor that friends or family have had positive experiences with. You’ll want to work with someone willing to go the extra mile to help you with your special situation. See if you can find a realtor that specializes in as-is home sells or selling homes in bad condition. A realtor who specializes will have experience working with house flippers and people looking for investment properties.
Ask your realtor what they do, outside of listing your home on the MLS, to help sell your property. Because your property is in poor condition it’s not going to be a shining star online (the place most people go to learn about potential homes), so make sure your realtor is experienced and ready to help sell a house in poor condition.
For Sale By Owner
You can definitely sell your home As-Is in a For Sale by Owner scenario. If you have the luxury of time to wait and see what offers come in then this option could work for you. FSBO sales will save you thousands in realtor fees but keep in mind that YOU will function as the realtor. This means you will be the email/text/phone contact, you will run showings of your home, negotiate the offers and write up contracts and coordinate closing.
This method can be time consuming and requires a willingness to learn skills with contracts and vetting buyers so you don’t wind up in a bad situation.
Selling a House to a Cash Home Buyer
Oftentimes selling a house in poor condition to a cash home buyer is your best bet. You save on time, money and stress because you can sell your house quickly and in As-Is condition. The real concern with this selling option is that the tradition home seller feels unsure about trusting a cash buyer. We just wrote an article all about what to look for in a trustworthy house buying company so you can feel confident selling your home to a cash buyer (read the article HERE).
Just to re-cap, what you are looking for in a cash buyer is:
- A local cash buyer type of investor should already have the cash to buy your home. This means no waiting on financing and approvals from the bank, the cash offer is good to go.
- A local buyer who makes a living as a real estate investor will usually have a representative (or themself) that can come to your home or meet with you to make a fast cash offer. No need to meet with a third-party contractor or inspector to look at your home, the local investor will work with you personally.
- Local cash buyers purchase homes in as-is conditions. These types of buyers don’t require contingencies in the offer.
- Closing is quick with local investors. Ask if they can close this week and ask for proof of funds.
- A local buyer will already have an established relationship with local title companies, that relationship can help the process go smoothly and quickly.
- An honest, transparent cash buyer would have references or reviews online or a website that can verify their track record and their business.
Warning Flags that an Investor might not have your best interests at heart:
- An investor should be able to tell you who will write the closing check, if it’s not them then they are probably going to try to assign your property to someone else.
- If the investor shows up at your house with other people to look at it — another sign that he’s looking to not actually buy your house himself but to simply reassign the contract to someone else and make a little cash.
- As the investor if he will be posting pictures of the house on facebook or craigslist — a true cash buyer would not be doing this. Someone who is trying to get you caught up in a contract to line up other buyers would do this.
Selling a House As-Is to a House Buying Company
Depending on your circumstances you might have determined that selling to a house buying company (also called a cash buyer) is the fastest, most painless way to sell a house in any condition. When you list the home with a realtor or FSBO there will always be buyers who want to negotiate or require repairs, a cash buyer is prepared to purchase your home in its current condition, no strings attached. Cash buyers like Gary Buys Houses are familiar with the amount of time and money needed to fix up a home and they already have relationships with contractors to get the job done well.
Gary has bought houses with mold problems, termite damage, bad roofs and broken furnaces. He’s bought homes from hoarders and houses with pest issues, you name it, he’s bought it. If you’re hoping to sell your home in poor condition As-Is then reach out to Gary today. He can make a cash offer and close in as little as one week. He has a long history of helping people just like you in Utah and you can see others experiences with Gary here.
Contact Gary for a free and easy cash offer quote today! (801) 382-9199 Call or Text