The time has come, and you feel ready to upgrade, downsize or simply move to another location. But your home hasn’t been updated in many years and is in need of some repairs. Your first question is likely to be, “How can I sell my as-is home?”
What Traditional Buyers Expect
First, it’s important to know that your outdated house won’t appeal to most traditional buyers. Homebuyers typically want a property that is up to date and move-in ready. They don’t want to put a lot of money and time into fixing up a place where they have to pay a mortgage.
Most lenders won’t provide a regular home loan to buyers for a property that doesn’t meet codes. They can find a loan that includes renovations, but it’s often more challenging to get approval. Lenders don’t like to lend more money than what the home is worth.
Good News – You Can Sell Your Home As-Is
While it may be disheartening to think about how difficult it is to sell a home that needs repairs and renovations, all hope isn’t lost. You can find a buyer for your home who will be willing to do the work themselves. The trick is to find that buyer, which may not be easy.
Before you list your home for sale, it’s good to know how much it’s worth in its current condition. You want to be realistic about how much you can get for the property without under-selling. Look for homes similar in size and age in your neighborhood and see what they sold for.
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Real estate agents provide this information if you plan to work with a realtor. You can also find this data if you’re willing to do the legwork. You’ll need to lower your price based on the estimated cost of repairs. For instance, the average price for a home is $200,000 in your area. You need a new roof, which could be $10,000, and a kitchen update with a cost of $30,000. Your list price should be around $160,000.
Be Honest When Listing Your Home
You know you’re going to be looking for a specific kind of buyer, so make it plain in the listing that your home is being sold as-is. Put “as-is” right on the listing, so there’s no confusion. Buyers will expect that they’re getting a good deal because they must invest their own money to bring the property up to date.
You’ll need to disclose any known issues when you get an offer. That doesn’t mean you need to mention the outdated kitchen, but you will need to let them know about things like roof repairs and any foundation, electrical, or plumbing issues that you are aware of.
Consider an Inspection
If you inherited the property and are trying to sell it, you may want to hire an inspector to determine what needs to be repaired on the house. You may decide to fix some of the issues, but it will help you know what to expect even if you choose not to put any money into the property.
Buyers have the right to an inspection even when the house is being sold as-is. They may ask for certain repairs. It’s up to you if you want to accommodate their requests or if you’ll wait for another offer.
Maintain the Property
If you don’t live in the house you are trying to sell; you still need to maintain it. Keep the utilities on, the yard mowed, and take care of any other issues that may arise. Even if you don’t want to put money into fixing up the property, don’t let it get into worse shape while waiting for a buyer.
One of the challenges with an inherited property is the owner often lives in another city or state. They may not be able to check on the property in person very often. It may be helpful to have someone local who can stop in and make sure the house doesn’t get vandalized or have other problems come up.
Sell My As-Is Home with a Cash Buyer
The easiest way to sell your home as-is without dealing with all the hassle is with a cash buyer. A professional cash buyer isn’t afraid of properties in need of repair because that is what they are looking for.
Even if the cash buyer wants to have an inspection done, it’s mainly for information. They likely won’t ask for any repairs. Many times, they can close on the property within a week or two. The buyer already has cash in hand or financing in place to cover the price of the property. They will offer a fair price based on the current condition of the property.
If you’re looking for a simple way to sell your home as-is, find a cash buyer in your area. You can have your home sold and money in hand quickly.