5 Things to Know When Selling Your Home As-Is
If you’re in the middle of a fast move or have a home that needs substantial repair, you might not have the time or money necessary to bring it up to peak condition. Little problems like stained paint and carpet, damaged tiles, and drafty windows are easy to repair, but larger problems like a weak foundation or leaky roof can become a huge drain on your time and energy.
Selling your home as-is allows you to put your house on the market with the understanding that a buyer cannot demand repairs or alterations. Although the buyer still has certain rights, an as-is sale gives you an easier way to quickly sell a home.
Finding the right buyer for an as-is home can be challenging, even if you slash the asking price. Here are the essential things to keep in mind when selling your home as-is.
1. Market Variables Matter
Even if you aren’t selling your home as-is, it may be difficult for your home to sell in a crowded market. An as-is house gets crowded out by homes in better condition, even when market conditions are normal.
The other complicating factor is the demand. Just because there are few homes for sale in your area still doesn’t mean your as-is home will sell because low interest in your city or neighborhood means that overall housing demand is minimal.
Some cities may have more interest in as-is homes due to a higher number of DIY enthusiasts looking for homes. However, this number varies from region to region and every neighborhood to neighborhood. For most sales, luck and subjective buyer preferences play a large role that can’t be planned or accounted for with other variables.
2. You Will Likely Get Less
Part of the reason repairs add so much to your home’s value is that those repairs cost time, energy, and money. Even a $100 repair can add to the asking price you can get if it’s highly visible to the buyer.
Selling your home as-is can result in a significantly lower price, especially if market variables are currently working against you. Even an experienced real estate agent won’t be able to fully counteract these factors.
The good news is that selling property as-is often results in cash offers, which give you immediate funds to put into a down payment or mortgage on your next home. Some of this cash may need to go toward paying off any of the remaining mortgages on the old home, so it’s essential to do the math and make sure you understand the lowest offer you can afford to accept.
3.You Must Disclose Significant Problems
You must disclose termite damage, foundation damage, mold, and certain other structural problems, as legally required by law. Although it’s still possible to sell an as-is home with these conditions, even DIY-savvy buyers may be reluctant to take on a home with such big challenges.
Most times, a buyer can and will bring their own inspector onto the property to make sure they know exactly what they are getting. However, they cannot demand any additional repairs from the result of this inspection if you are selling as-is.
4. Selling Can Be Slow
Some as-is homes are ideal candidates for DIY enthusiasts due to their solid overall structure and potentially valuable lot. However, even these houses are not guaranteed to sell within a particular timeframe if the neighborhood itself is not in-demand.
Outside variables like issues securing a lender can also impact as-is home sales. Traditional banks usually are wary of financing an as-is home purchase, a fact that buyers may not be fully aware of when they make an initial offer on your home.
If your primary motivation for an as-is sale is to get done and get out as soon as possible, remember that an as-is sale is not necessarily a quick fix for your problems. You may need to do some outreach of your own to find the right buyer who can close the sale fast and hassle-free.
5. Professional Buyers Also Exist
Homeowners looking for a fixer-upper or landlords looking for a potential rental property often seek homes for sale as-is. However, a major segment of the as-is home market goes to professional cash buyers who specialize in a particular region or city.
These professionals buy distressed homes in need of repair and pay you cash so you can get out and move on with your life as soon as possible. They deal with distressed houses regularly, so they know how to handle liens, late HOA fees, title disputes, and other issues that would delay or cancel a traditional sale. In many cases, they can close a sale with cash in 30 days or less.
They are also more willing to deal with termite damage, cracked foundations, and other major issues that will scare off traditional buyers. Distressed home buyers have so much experience dealing with major repairs that they’ll know just the team to call to restore the property. If your home needs substantial work that is not within your budget or is an emotional drain, consider working with a professional who buys as-is homes for cash. Be sure the company is reputable and check their reviews.
Contact Meli to Find Out More
No matter your reason for selling as-is, you deserve the fastest and easiest selling process possible without settling for an unfair price. Partner with Meli Homes professionals for a cash offer that can get you out the door and into your new home without delay.
We buy homes in a vast range of as-is situations, even if you’re dealing with critical structural damage. We know you’re in a hurry to get on with your life and can make you a cash offer within 24 hours of seeing your home. Call us today at (407) 338-4183 to talk to a member of our team about our process and how we can help you off-load your as-is home on your schedule for a fair price.
This article is meant for informational purposes only and is not intended to be construed as financial, tax, legal, real estate, insurance, or investment advice. Meli encourages you to reach out to an advisor regarding your own situation. Please consult with your advisor when making legal or financial decisions.
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