Homeowners can spend 10% or more of the sale price of their home just to sell it – and some of that upfront. That includes real estate agent commissions, inspection fees, marketing costs, etc. Most of that money generally comes out of the transaction. However, there are some things you’ll have to spend money on now before you can get your estimated selling price.
One of the most expensive upfront costs for home sellers is repairs. The most basic home repairs that will probably need to be done include painting, exterior and landscaping repairs for curb appeal, and anything that might come up during an inspection. You will also need to consider home staging costs like furniture, decorations, curtains, carpets and plants. It’s possible that your home might need some more expensive repairs like roofing or plumbing. Overall, essential repairs could range from $4,000 to $20,000, and that doesn’t even get into home improvements for resale value – like kitchen and bathroom remodeling.
With that in mind, you might be wondering how to sell your home as-is to avoid these expensive upfront costs.
Understand your home value and estimated net proceeds
Based on the condition of your home and the current market, you can estimate your home value as well as potential net proceeds. Net proceeds factor in the selling price, mortgage pay off, repair and staging costs, and the estimated closing costs. Calculate the estimated closing costs here.
Listing to Sell Your House As-Is
For those who want to sell their property on the real estate market without making any repairs, you have the option of listing your house “as-is” and selling by owner or finding an experienced and honest real estate agent. Listing “as is” signals to buyers that there may be some issues with the house, but you are not committing to making additional repairs. This narrows your focus to buyers interested in saving money and prevents back-and-forth buyer “condition” negotiations.
A home appraisal is ultimately the most accurate way of getting an evaluation on your home. Sellers who want to sell as-is may choose to get an inspection report as well, so that everything up for repair is laid out in black and white and all parties can openly discuss the terms of the sale.
About FHA and HUD Loan Conditions
It is important to note that with some housing loan programs, like FHA and HUD, for example, have specific conditional requirements that the house has to meet, and sometimes repairs are required to get through the underwriting process. If your HVAC is not in good working condition, for example, your buyer might have to pay for that repair out of pocket before buying your home. Not only would this cause the buyer some major concerns, but this could prevent the house from being sold at all.
As-Is Cash Buyers: No, we aren’t a Scam
Cash buyers are real estate professionals who do not list and sell homes on the MLS, but rather buy the home outright as an investment. Generally, cash buyers have a professional team of investors who will come to your home and make an educated offer on your property.
Sellers who don’t want to bother with repair just to list their homes and get potential buyers can get a fair cash offer on the spot and choose their own closing date. In addition to repairs, you can also avoid any closing costs and agent commissions that come with selling a home.
Here at Quick Fix, we have been helping customers find their way out of different mortgage situations for over 10 years – including customers who are in foreclosure and disrepair. We pay 100% of the closing costs. If you want to get a free offer with no obligation, contact us today.