Short on Time or Repair Funds? What to Know About Selling Your Home As-Is
Posted on: 29 March 2019
While general real estate advice for homeowners is always to make sure their property is fully repaired and updated before attempting to sell, there are many instances when taking these steps is not possible or feasible. Sometimes this is because of time constraints, such as when the homeowner must move unexpectedly, with no time to hire contractors and manage repairs and renovations.
Another common reason is when the homeowner is under financial stress and cannot afford to pay for the costs associated with making repairs and updates. In these cases, selling the home in as-is condition can be the best solution. If you are preparing to sell your home as-is for these or other reasons, here is what you should expect.
Your most likely buyer will be a house-flipper or real estate investor
As-is homes can sell very quickly to buyers who are in the market to purchase real estate as an investment. Unlike someone who plans to occupy any home they purchase, these buyers have the funds and necessary skilled labor to tackle most any repair or renovation issue successfully and do not have to meet loan or underwriting requirements.
The buyer probably won't do a home inspection
Many house flippers, real estate investors, and other buyers who specifically target as-is houses do not make their offers contingent on the findings of a home inspection. In fact, many will not even order a home inspection and will instead informally assess the condition of the structure themselves or rely on a trusted contractor to do so.
The offer will be cash and closing can be quick
Investors and other as-is home buyers are typically cash buyers, and rarely need to wait on loan approval to make a home purchase. This is a boon for homeowners who need to sell their home very quickly. Many of these buyers are able to close on the purchase as soon as the title work can be updated and a closing scheduled.
The offer price will be lower than market value
When selling a home as-is, homeowners should expect offers to be much lower than what the home would bring if it were fully repaired and renovated. Investors and other as-is buyers will base any offer they make on the amount of repairs and renovations the home will have to have to make it possible for them to rent it or resell it.
To learn more about selling your home as-is, make an appointment to speak with a real estate professional who specializes in investment property, or seek out a local real estate investor in your area.
Share