How to Sell Your Distressed Home Fast
Distressed homes are often the most difficult houses to sell. This is due to the fact that many homeowners believe that no one wants them. The fastest way to sell a distressed property is to find the appropriate buyer for it.
There are a number of reasons that make a house undesirable to either the seller or potential buyer of distressed real estate. Some examples include:
- The property has structural issues or needs expensive repairs
- It was inherited but not desired by the owner
- It’s going through foreclosure or is under difficult loan payment terms
- It is situated in an undesirable neighborhood or environmentally unsafe region
If any of the above conditions are causing your home distress, look no further as we will cover three methods of selling a distressed home when you no longer want to keep it.
Real Estate Agent
The most common way most people would approach selling their distressed home is to go to a real estate agent to sell the house. However, this approach has several drawbacks.
First off, it’s a costly process as the agent will charge a commission and you’ll still be on the hook for paying closing costs. And though the commission and closing costs are only paid once the property is sold, you’ll have to pay some costs while the house is still on the market. These can include appraisal charges and home inspection fees that help evaluate a property’s value and determine what problems would need to be fixed to prepare for a home sale.
Not to mention, your house may need to be fixed before getting an appraisal, as some distressed houses don’t meet the requirements for an appraisal due to conditions like water damage or bare floorboards. Fixing it may cost you a lot of money, and the return on investment may not be enough money to cover those expenses when you go to sell it. And if you decide not to fix it up before listing it for sale, the real estate agent may ultimately ask you to lower the price of the home.
Another significant challenge is finding a realtor that specializes in selling distressed homes. As a seller in this situation, you’ll want to get someone who can detect issues during the transaction and advocate or negotiate on your behalf. In addition, you may have to deal with inexperienced buyers, which can make this process longer and more difficult for you.
A second alternative is to sell your house without the help of a realtor or agent. That’s called For Sale by Owner (FSBO). A lot of people favor this method because they don’t have to pay the real estate agent’s fee, they enjoy control over negotiations, and they can get their property sold more quickly. The advantages are numerous, but FSBO has its downsides as well.
Since a real estate agent would not be marketing your property for you, you’ll likely need to hire an online listing company or marketing agency to advertise your distressed home. And if you decide to market your house on your own, you might make several mistakes along the way.
The FSBO method can open Pandora’s box of choice challenges. For example, you’ll have to schedule showings, which means you’ll have to showcase your property to multiple buyers which can interfere with your daily life if you live at that home. Often, you may not be able to schedule a showing when a buyer is available, which restricts your property’s exposure and delays the sale process.
Furthermore, you’ll need to have an understanding of sales contracts, property deeds, and offer letters, which can be tough if you do not understand the intricacies of real estate transactions. Not to mention, you will still have to pay the commission to the buyer’s agent, or perhaps no one will want to sell your house to their client.
Other disadvantages of FSBO include making emotional decisions, failing to negotiate appropriately, or not having enough free time to dedicate to finding a buyer.
Selling your distressed property directly to a cash investor is likely the best choice for homeowners hoping to get a quick deal with no closing checkpoints or costs. No costly inspections, appraisals, repairs, cleaning costs, or realtor fees. Best of all, you won’t be obligated to pay for the expected closing costs or fees associated with making this type of sale.
Cash investors understand how to buy properties fast and can provide payment quickly as they are not depending on a bank mortgage. While the majority of other investors have their funds tied up in investments, cash investors make it effortless for people in need of fast payments by having liquid funds to purchase your distressed home fast.
Just be sure you check out a cash investor before choosing them. Choose a person who you’ll feel completely free to speak or interact with, face to face. Be sure to find out who you will be dealing with so that there is an element of trust in your situation. After all, you’ll be depending on them to buy your house for cash and close fast, and you wouldn’t want to deal with a situation where they cannot perform.
When determining whether a cash homebuyer or investor will buy your home for cash, be sure to vet their references. Be sure to reach out and directly contact them to inquire about their experience. Avoid choosing someone who isn’t familiar with the area where you live.
A significant problem with distressed homes that need rehab is that they’re often not qualified for loans. Unless you’re willing to renovate the house in advance before selling it, what you need is a cash home buyer. The good news is that Revitalize Homebuyers buys distressed homes for cash, and we’re thrilled to be of service to you in this regard.
Sell Your Distressed Property Quickly To a Local Investor
Even if your home is distressed or otherwise in disrepair, it doesn’t mean there is no hope. If you come to the conclusion that selling to a local investor is the appropriate action, consider reaching out to us.
As your local cash investor, we can purchase your distressed house quickly – without any costly inspections or evaluations.
Unlike selling a house to a traditional homebuyer that requires 45-60 days with extensive negotiations, we can close in 2-3 weeks. There won’t be any sudden hidden surprises or unexpected expenditures. The price we offer is the price we close. We’ll pay all closing costs and will take the house as-is. It doesn’t matter if there are tenants in there or if you had a lot of stuff in the house and decided to leave whatever you didn’t want anymore in there. We can also help with arranging moving solutions as well so that the transaction is as easy as possible for you.
Call us today to learn more about how we can help you sell your distressed home in Mobile, Alabama, and the surrounding areas.