There are a large number of home buying companies across the country advertising that they want to buy homes in “as is” condition, as well as being able to pay for them in cash and close much faster than a conventional buyer. So why would you want to contact one of these companies in your area if you have a challenging home to sell? Also, isn’t it true that these types of companies just want to scam you? These are two very important questions that I am sure you have asked yourself if you have a repair-type home to sell that may not be the most suitable for the retail market in its current condition. In the rest of this article, I’ll address these important questions and more to help you better understand why these “We Buy Houses” companies exist and how you can use the services they provide in your area.
If you find yourself in a situation where you need to sell a home that is in need of a major renovation and / or some renovation and repair, you can be sure that the traditional way of selling a home will be a bumpy ride for you. When people have a “nice house” to sell, they usually call their local real estate agent, ask them to propose a list price that is backed by comparable properties, and list the house for sale on the real estate agent network. by RMLS. The hope is that other realtors will see the property and have a buyer for it, then soon after, you will be presented with an acceptable offer on the property and you will be on your way to a hassle-free closing. Although no real estate sale is that easy these days, that’s the general process for homes that don’t need a major update or repair.
If you’re selling a home that needs minor care and an upgrade for a major renovation and repair, you can expect a bumpy sales process if you plan to go the traditional route just outlined. The first reason is because most people will always contact one or two real estate agents in the initial stages of trying to sell a property … and this is where the first misstep can occur. The problem with houses that need a major update and repair (besides the obvious ones) is that real estate agents generally have no idea what they are really worth, so they will often throw out a number that sounds great in theory but never it will come to fruition. I like to call this listing buying and some real estate agents will do it on purpose to help secure a future paycheck, while others will do it out of sheer ignorance because they just don’t know any better. The second main stumbling block you will encounter along this route is that you are at great risk of having multiple failed sales. This is because your home will be on display for every inexperienced rehab in your market to bid, and after having wasted 10-15 days of their time, most of them will finally realize that they are paying too much. around the house and get out of the deal. My home buying company buys multiple homes each year from disgruntled sellers who have been very irritated by the listing process for one price, who fail multiple sales, and ultimately sell at a much lower price. Don’t get me wrong, there are many homes that should be priced higher and will eventually sell for close to that, but if you know that your home is in need of a major renovation and repair, you may want to think twice. List the property with a real estate agent if you want it to sell anytime in the near future.
So what is your alternative, you ask? Well, that’s where the “We Buy Homes” companies come in … You will see that some of those companies are seasoned real estate rehabilitators who have a very educated eye when it comes to buying houses that need a major renovation and repair. So now think about the process I outlined above and compare it to receiving a cash offer with a quick close from an educated person who will absolutely abide by the contract and close the deal on time. Now, you may not always like the cash price that some of these companies will offer if you have already spoken with a real estate agent, but you need to remember that the property is only worth what will be sold and not what a real estate agent will offer. real estate or Zillow think it is. to worth. When people buy houses that need a major renovation and repair, they take a risk by basically paying you to take over a major project. So, in exchange for that risk and the work that goes with it, there must be a reward; otherwise no one would buy houses that need repairs. To be very simple to understand, no one is going to buy a home for $ 150,000 that needs $ 50,000 in repairs to make it worth $ 200,000 later. They may be looking to buy the property for between $ 100,000 and $ 120,000, but probably no more than that, and if they are looking to buy it for more, you can be pretty sure that the sale will fail at some point. This is one of the main reasons why some people believe that “We Buy Homes” companies are only trying to scam you, when in reality they are only trying to buy your property at a price that will adequately compensate them for all the risk and effort. that they will put into it.
So how do you know which “We Buy Homes” company to call for the best deal? This is a great question and I’m sure you’ve ever asked yourself. Be sure to do a little research on the company ahead of time to see if they have a website, a personalized phone number, and anything else that makes them look like they’re running a really organized business. Also be sure to ask if you can see photos of some of the previous renovation projects, that way you know that you are dealing with a real rehab and not just a real estate wholesaler who will be looking to sell the property to a rehab for a profit. . For my home buying business, we actually built a complete website showing all of our renovation projects, and I always share it with every salesperson we meet so they can look at it and see what we’re capable of. If you can find a quality “We Buy Homes” company in your area, I would absolutely suggest selling your repair property to them if you think the price they offer you is fair based on the amount of repairs that are needed. Just remember that there must be a profit on the deal for whoever buys your property, otherwise it will stay on the market until the price drops to a point where it makes sense to risk buying it. I hope you enjoyed this article and found the information helpful when it comes to selling a home in need of renovation and repair.