Author: Evan Shelley

You might have heard about companies that purchase distressed properties as-is. But what is a distressed property? The term doesn’t only refer to the state of the house or property. It can also refer to the owners financial obligations.

If you’re considering selling a distressed property in Tampa, Orlando or Melbourne, you need to determine first if your property meets Florida’s guidelines.

Distressed Property Definition

A property becomes distressed when it is foreclosed or put up for sale by the lender, becomes embroiled in complicated legal battles, or falls into disrepair.

A distressed property can refer to a home or land. Often, companies who can afford to pay the homeowner in full purchase these properties.

Reasons Why Properties Become Distressed

There are many reasons why property might become distressed.

• Financial Issues: If a homeowner encounters economic instability or difficulties, they might be unable to continue paying their mortgage payments. When this occurs, the owner may try to sell their distressed property quickly to avoid foreclosure.

• Disrepair: Usually due to financial issues, this can occur when homes or properties are neglected. Another common cause of disrepair is damage caused by natural disasters like hurricanes, flooding, or fires. If the homeowner cannot afford to fix the home, they might want to sell it as a distressed property.
  Additionally, homes can also fall into disrepair due to problems with construction. If a homeowner encounters financial issues during a remodel, they may need to pause the construction mid-project. Sometimes, they cannot recover financially and want to sell their home with a half-finished bathroom or kitchen.

• Legal Issues: If a homeowner is facing legal ramifications, they might want to quickly sell their home. If they have failed to bring the house up to code or violated other regulations, they will receive hefty fines. Often, they are unable to pay these fines and eventually need to sell the house quickly.

• Divorce: Often, divorcing couples wish to sell their jointly owned house to divide their assets. It sometimes becomes too expensive for one person to afford on their own.

• Death of the Owners: If one owner passes away, the other might be unable to afford the mortgage payments on their own. In this case, the remaining owner may try to sell before foreclosure or simply default on the loan.
  If all owners pass away, their heirs may be unable or want to continue paying the mortgage, necessitating a quick sale. The home could also become stuck in probate, making it challenging to sell.

• Moving: When a homeowner needs to move quickly, they often want to sell their home fast. Depending on the real estate market, sometimes it can take months to sell a property.
  If a homeowner wants to buy a new property in their new county or state, they might want to sell their current house quickly.

Classifications of Distressed Property

There are three main types of distressed homes. If you want to sell distressed property in Florida, you’ll need to choose your tactics based on your situation.

• Real Estate Owned (REO)
  A foreclosure occurs when a homeowner defaults on their mortgage. The process begins when the bank issues a Notice of Sale (NOS).
  A distressed property that has already foreclosed and is owned by the lender, usually a bank, is an REO. Often, the bank will sell these properties through auctions.
• Short Sale Properties
  A short sale is an alternative to foreclosure and usually happens in the pre-foreclosure stage. Before issuing a NOS, the bank will send a Notice of Default to the property owner. Typically, they then have three months to pay the mortgage or come to an agreement with the lender.
  If they cannot keep paying the mortgage, the homeowner may propose a short sale to the lender. This process means the homeowner avoids foreclosure and the lender doesn’t have to sell the house themselves.
• Abandoned or Vacant Property
  These properties are usually in disrepair, and sometimes it can be hard to find the owner.

Selling Your Distressed Property

If you have received a NOS or are dealing with a complicated legal situation, you might be wondering how to sell a distressed property. You can do a few things that can help you get the best price for your property.

• Fix Structural Problems
  If you can afford it, fix any structural problems before the appraisal. As a result, you may boost your asking price, meaning you’ll get better offers.
• Confirm Your Buyer’s Information
  Don’t believe everything your buyer tells you. Even if they are a trusted cash-for-home buyer in Florida, you should verify their financial information independently.
• Keep Detailed Written Records
  A verbal agreement can open you up to problems later. Because of this, make sure everything is written down, and keep a copy. Even if you think it’s not essential, it’s better to have it and not need it.
• Full Disclosure
  Be honest with your buyers about any problems with the property. It’s better to lay everything out on the table at the start, rather than have your buyers back out at the last minute due to undisclosed issues.

Work With an Experienced Buyer

An experienced cash home buyer can speed up the process of selling your home significantly. Individual buyers will be more likely to make an offer and be able to pay you in full.

If you’re looking for help with your home in Tampa, Orlando or Melbourne, Meli can help you find the right solution for your home! That may be selling your home to a home buyer like Meli, solving your homes issues and listing it on the market, or something else! Whatever the case, we’ll help find the right solution for you.

Contact Meli Today

Start the process of selling your distressed property today. Call us at 407-338-4183, email us at evan@melihomes.com, or reach out using our contact form with details about your property. Let us help you resolve your distressed home issues.

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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Left unanswered, a tax lien can lead to the government seizing your home. Luckily, you can learn how to remove a tax lien on a house and alleviate financial stress.

Tax liens can make it difficult to obtain credit or relocate. If you own property with a tax lien, it’s important to understand it and how you can resolve it.

What is a Tax Lien?

A tax lien is the right to keep possession of property belonging to another person until the property owner repays a debt in full. There are two types of liens: voluntary and involuntary. In a voluntary lien, such as a mortgage, the property owner enters the legal arrangement willingly. In contrast, stakeholders place an involuntary lien on properties to protect unpaid obligations. The most common involuntary lien is a tax lien.

A tax lien is a claim on your property initiated by the government. They place this lien because there is a tax debt that must be paid by the property owner. Tax liens stay in place until the tax debt is paid. As long as a tax lien exists on your property, the taxing authority has the power to take your property away if you fail to pay the tax.

Tax liens are triggered automatically when the property owner does not pay certain taxes, such as income or property taxes, by a set date. The state or federal government can issue tax liens.

A tax lien is attached to the house, and the state or the county can eventually foreclose on the house if the taxes remain unpaid. Even if the bank forecloses, the tax lien stays on the house.

How Can a Tax Lien Affect Me?

If your property has a tax lien on it, it means you have an outstanding debt. If you don’t fulfill that debt, you run the risk of getting your home foreclosed or levied by the IRS. Having a tax lien on your property means the property cannot be sold or transferred.

For companies that buy homes as-is, purchasing a house with a tax lien presents an extra challenge. Some companies, including companies that buy homes in Florida, can still buy your home with a lien, or other tax complications.

Tax liens can also affect your ability to get a loan or refinance your home, as your demonstrated creditworthiness is diminished. While tax liens are no longer on credit reports, the IRS can still file the lien publicly, so creditors are aware of your past failure to repay your debts.

How Do I Know if There is a Tax Lien on my Property?

If you have missed any local or federal tax payments, you may have a tax lien on your property. You should receive a notice in the mail if there is a lien. Because tax liens are triggered automatically, you might not realize the lien exists if you missed any of the notices.

There are several ways to check if a tax lien exists on your property. Give the IRS Centralized Lien Unit a call to check for a federal tax lien. You can also check the IRS website. If they didn’t place a lien, you can check your balance due.

The IRS works with local authorities. Check with them to see if a lien was placed on your property. To do this, you can start with your secretary of state’s website. Once there, look for “lien filings” and your state name or “UCC search” and your state name. Make sure you have your identifying information, like your tax filing number, on hand to get the data you need.

For state tax liens, check with the county where the property is located to confirm whether a lien was placed.

How Can I Remove a Tax Lien?

If there’s a tax lien on your property, the easiest, most direct, and best way to remove it is by paying the taxes owed. This is the only way a tax lien disappears, and you avoid the danger of foreclosure or a tax levy. You will need to work with the state or federal government directly to make sure everything gets settled properly.

If you are unable to pay off the tax lien right away, there are other options. The lien won’t disappear, but you may be able to avoid a tax levy. For federal tax liens, you can work with the IRS to set up a payment plan. This plan has fees associated with it, but it could help remove the tax lien from the public record.

You can also ask for an Offer in Compromise, a proposal to settle your taxes and pay back less than you owe. Know you must apply for this, and only about half of the applications get accepted each year, so keep this in mind. You can also file an appeal if you believe the lien was wrongly placed.

Sell Your House

Although a tax lien prevents your property from legally changing hands until you’ve paid your debts, you can take extra steps to get your property off your hands and use the money to settle your tax debts.

For these situations, it’s often helpful to sell your home with a tax lien to a home buyer in Tampa, Orlando, or Melbourne. As-is home buying companies can help you navigate the legal issues surrounding your tax debts and provide you with the cash you need to settle your debts immediately, alleviating stress and enabling you to start over with a clean slate.

It’s reasonable to be skeptical and wonder, “are home buying companies legitimate?” Meli Homes in Central Florida is a reputable cash home buyer that can help you find peace of mind, knowing you can settle your debts.

Final Thoughts

Tax liens are something you want to avoid. If you have a tax lien on your property, you can resolve the debt and avoid getting your property taken from you. If you are trying to sell your house quickly, having a tax lien makes this more challenging, though not impossible.

Meli can help you with a lien or tax complications. We know that navigating tax issues is confusing and stressful, and we are equipped to help you deal with every tax situation. If you have a home with a lien, call us at (407) 305-5008 for a free consultation.

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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If you have failed to pay your federal, state or property taxes or a municipal charge like a municipal tax in full, you may have received notification that a tax lien has been placed on your home and are wondering “what is a tax lien?”

Although tax liens prohibit you from selling your property until you’ve paid the taxes, plus interest and penalties, you owe, you can still sell a house with a lien with expert help. 

What Does a Tax Lien Mean?

A tax lien isn’t the same as a levy, which would allow the government to seize your property to satisfy your debts. Even so, liens are a concern because of the possibility of a lien-holder confiscating your property if you are still unable to pay.

Once instated, federal tax liens apply to your property until you repay all your outstanding debts. This can put a hold on your credit lines and other opportunities, making it crucial to think about satisfying the liens as quickly as possible.

How Do Tax Liens Work?

All states have laws that allow the local government to sell your home in a tax sale to collect delinquent property taxes. The government auctions tax liens off to people in the community to recover its lost revenue. Buying a tax lien is an investment, as the owner can recoup your tax payments, with interest and penalties.

Once you’ve paid the amount you owe, the government issuing the lien removes it from your house within 30 days. If you don’t repay the taxes and penalties in time, your lien-holder can foreclose on your property.

Dealing with a Tax Lien on a House

A lien typically prohibits you from selling or refinancing your house. However, you can use the money earned from selling your property to companies that buy homes to satisfy your debt. These companies normally pay out quickly in cash, meaning you’ll spend less time with your home on the market and be able to resolve your lien, fast.

If the proceeds don’t satisfy the lien, you’ll have to apply for either subordination or withdrawal.

Subordination allows you to yield priority in debt payment. This can mean allowing an organization like the IRS to sell your debt to third-party creditors, potentially freeing you to sell your home.

Withdrawal is simply when the federal tax lien is withdrawn from your property. You must be current on your tax payments and have filed taxes correctly for the past three years to qualify. When an entity like the IRS agrees to withdrawal, they’re allowing you to adhere to a more relaxed payment plan. This is perhaps because you’ve already paid back your debt in part. However, you will still have to pay back the full sum.

The government may release your house if it realizes that its interest in your property is of negligible value. To achieve this, you must prove that your home isn’t valuable, or that the property is defaced in some way. If you’re dealing with a distressed house, you might want to consider selling to companies that buy homes in any condition and can take the property off your hands easily.

Another option is to dispute the lien. If there’s a creditor other than the federal government involved, the government might be willing to settle in or outside of court for a smaller payment, depending on your circumstances. With tax liens, it’s possible that the IRS counted debts for the wrong year or that you’ve experienced identity theft. Either of these situations would allow for an immediate release on your property.

How To Sell A House With Tax Liens

Selling a house with a tax lien may be difficult, but it’s not impossible. As long as you can pay off the lien before you conclude your sale, you’ll be in the clear.

One option to pay your debts is adding the taxes owed to the property price when listing it. This might seem appealing because you’ll need to clear all liens before ownership can be transferred to the buyer, but it’s difficult to sell a house at a marked up price.

If the current housing market doesn’t support a higher price, you might have difficulty selling your property. You ca also be forced to accept a smaller profit from your home sale than you would have liked.

Consulting with a real estate professional or getting a home valuation is helpful for finding the appropriate fair market price.

Having tax liens can make selling difficult, as you must disclose this on the title report to potential buyers. Homebuyers may become concerned about the property’s legal status and hesitate to close, resulting in a long, frustrating selling process.

You’ll need to account for additional costs involved in selling your house, such as transfer taxes or broker fees. By selling to a cash home buyer in Tampa, you can get a house with tax liens off your hands without racking up realtor fees. Cash home buyers have the resources to purchase your property upfront in cash, without needing a mortgage.

Companies that buy homes as-is can be very helpful as you navigate liens, as cash home buyers have plenty of experience helping sellers get rid of distressed properties efficiently.

If you’re looking to unload a house quickly, selling to cash home buyers can be a great solution. You won’t have to worry about navigating a complicated sales process while trying to eradicate liens or other liabilities, because a professional can help you deal with the paperwork involved.

Sell Houses with Tax Liens to Meli

If you have a tax lien on your house in Florida, look into cash home buyers in Central Florida. Meli Homes is a reputable cash home buyer in Central Florida. We make selling a distressed property quick, easy and stress-free. We’re here to help you turn a tricky sales process into a simple, hands-off transaction.

We buy homes in any condition for cash so you can focus on paying off your debts today.

If you’re struggling with foreclosure, tax issues, or legal hassles, we’re here to take help without unnecessary fees. Contact us now for a great offer on your house.

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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To sell your home as-is fast in Florida, your best option is a cash home buyer. Whatever the circumstances or condition of your property, selling to a cash home buyer is a good option. Here’s why selling your distressed home to a cash buyer is quick and easy.

What’s a Cash Home Buyer?

A cash home buyer is an individual or company that has the funds to purchase your property outright. This allows them to purchase without the need for a mortgage or a loan.

Why is a Cash Home Buyer the Best Option for Selling Property As-Is? 

Cash home buyers will buy property in any condition. Whether relocating for work or inherited a home, a cash buyer can purchase your property within 30 days or less.

Selling a distressed property to a cash home buyer in Florida is the faster alternative when selling your home. Listing on the property market is costly, time-consuming and there’s no guarantee that you will sell your property as-is. Selling the house yourself is even more time-consuming, and you get no expert advice.

Homebuyers become hesitant when it comes to purchasing a property that’s listed ‘as-is’ because many are afraid you’re hiding something. Even if someone agrees to buy, there is the risk that the deal could fall through.

Selling your property as-is to a cash home buyer offers security as they’re not dependent on a mortgage or loan. This speeds up the buying process because there’s less paperwork, no waiting on lenders, and no property chain involved.

If you inherit a property and you’re unable to shift it on the open market as-is, consider selling it. You can sell to a cash home buyer and have the funds in your account faster.

Ultimately, cash home buyers give you a selling option that helps you avoid the hassle of trying to sell a property yourself or through a real estate agent.

Why a Cash Home Buyer will Purchase Your Home As-Is

Cash home buyers have an incentive to purchase your property as-is because they can pay a lower price for it. They are then able to refurbish the property and potentially sell it for a profit.

If your property is in a highly desirable location, there’s even more incentive for a cash home buyer to secure a sale on your property quickly. Homes in prime locations are in demand across Florida and cash home buyers are always looking for the next opportunity to secure a sale.

Most cash home buyers tend to be companies acting on behalf of investors, or wealthy individuals looking to add to their property portfolios. They will often buy property as is because it offers a quick turnaround.

Get an Estimated Value of Your Distressed Home 

Even though you need a fast sale on your home, it doesn’t mean that you should take the first offer that comes your way from a cash home buyer. If your property does need repairs, you should it valued first so you have a ballpark figure to gauge offers on.

Let’s say you need to sell a distressed property in Tampa Bay. Your property is right on the coast and despite its poor condition, its location means that it potentially has a higher value than a property that’s inland.

Under these circumstances, before you sell your home as-is to a cash home buyer, get it valued. Knowing what your house is worth as-is puts you in a better position to sell. A genuine cash home buyer like Meli can make you an offer that is within the region of the valuation.

This makes the selling process faster as you won’t have to haggle to get the price you want. You can quickly strike a deal and get the property off your hands for a fair price.

Be Honest

To sell your house as-is fast, it’s best to be honest about its condition, even when you’re selling to a cash home buyer. Not sharing issues within the home and leaving them to be discovered before a sale is done may cause the buyer to lower or back out of their offer. If an issue comes up post-sale, you may face a lawsuit.

Delays and extra costs wouldn’t show up if you disclose everything about the condition of your property at the beginning. You might receive a lower offer, but if you are serious about selling fast, then a lower offer is better than no offer.

Choosing a Cash Home Buyer To Sell Fast

You want the highest offer possible when selling your home as-is. Genuine cash home buyers will offer you a fair price that reflects the condition of your property and its location. Your decision to sell to a cash home buyer in Florida should be based on their customer service record.

Meli is a reputable cash home buyer with excellent reviews, an extensive portfolio, and a solid understanding of the market. This is what you need to look for if you want to sell your distressed home as-is, fast.

When you work with a cash home buyer that understands the process and your circumstances, your deal will be agreed upon quicker. An experienced cash home buying company knows how to overcome any problems that may occur and won’t back out of a deal once they’ve committed to buying.

Partner with Meli Homes

Meli is your cash home buyer in Orlando, Melbourne, Tampa, and other regions of central Florida. To sell your home as-is for a competitive price, we make the process quick and easy. We can schedule a walk-through of your home within 24 hours, make you an offer and close on your property within 30 days.

To schedule a walk-through and receive a competitive offer, call, text, or contact us using our online contact form. 

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 situation. Please consult with your advisor when making legal or financial decisions.

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If you’re looking to cash out on your distressed home, there are pros and cons of selling your house as-is. Selling your distressed home as-is can be the easiest option because you won’t have to make repairs to your home. However, there are some things you need to be aware of when selling your house in its current condition.

What Does Selling As-Is Mean?

Before diving into the pros and cons of selling your house as-is, understand that selling as-is means selling your home in its current condition without making any repairs. The buyer purchases your property complete with all its faults.

Under Florida law, you are legally required to disclose any defects your home has. This is mandatory, even if a buyer does not ask about your home’s faults.

For instance, if you sell your home to a private cash home buyer in Tampa Bay, the buyer should sign paperwork affirming that the house’s condition was disclosed before purchase. Both parties should be forthcoming about the as-is nature of the house sale.

Unfortunately, many homeowners selling property as-is get the impression that they do not have to abide by the general obligations associated with selling houses. Even if it’s understood that you’re selling a distressed home, you must disclose the particular faults and defects of your home before making the sale.

Pros of Selling Your House As-Is 

The simplicity of selling your home as-is makes it an attractive option for distressed homeowners looking to make a manageable sale.

1. Sell Fast 

Sometimes, people get a property they don’t want to maintain or may have to move on short notice. If that’s the cast, you probably won’t have much time to renovate or repair your property. Instead, you might choose to sell your property to a cash home buyer, fast.

For example, if you decide to sell to a cash home buyer in Orlando, the buyer will purchase your property in its current condition and make a fair offer based on the renovation work that’s needed. This way, you can get the property off your hands quickly, without the headache of renovations. Plus, you may even earn a lump sum to put toward relocating.

You’ll be able to avoid selling on the open housing market, which can be time-consuming, costly, and a hassle if you have major repairs like water damage and mold.

2. Settle Debts 

If you’re in a difficult financial situation and unable to afford your mortgage payments, you could be facing foreclosure. If the bank repossesses your home, you’re left with nothing. Selling your home as-is gives you a fast way to generate cash to settle some of the debts you’ve accrued.

Selling your home as-is helps you avoid making expensive repairs that are necessary to get a good deal on the open housing market.

3. Get Inherited Property Off Your Hands 

If you inherit a property that’s dilapidated and you lack the funds or energy to make repairs, selling the property as-is to a cash home buyer is a fantastic option. This helps you avoid the hassle and inconvenience of trying to bring the property up to a sellable standard.

If you decide to sell to a cash home buyer in Melbourne, you’ll get a fair offer based on the condition of the house, putting cash in your bank account that you can invest elsewhere.

Cons of Selling Your House As-Is 

As with any selling method, selling as-is comes with some disadvantages.

1. Less Than Market Value 

Expect to get offers that are less than market value for your home. Any offer made by a buyer will almost definitely factor in the cost of the work needed to make your home viable for resale or living in.

The amount of money you’ll lose when selling your home as-is will depend on various amounts of things. These things include the state of the property, the cost of repairs, and more.

2. Limited Buyer Pool 

Selling a home as-is will set off alarm bells for a lot of home buyers. They won’t be able to get beyond the idea that there is something majorly wrong with the property, meaning they’ll have to invest heavily in repairs after making the initial purchase. This can drive buyers away or lead to ridiculously low offers.

This generally limits your buyer pool to investors on the open market, which means you’ll have to target a specific market to find the right buyer for your home.

3. Harder to Sell 

A limited buyer pool means that your home will be harder to sell on the open market. If you decide to list your property with a realtor, you and your agent will have to work doubly hard to convince people that your home is worth a fair price.

Selling your home as-is can create trust issues, as a buyer will automatically assume you’re trying to hide something.

Sell to a Cash Home Buyer in Florida

There are several pros and cons of selling your house as-is. The cons tend to be associated with listing your property on the open market.

However, selling your home as-is to a cash home buyer in Florida offers many benefits. Most cash home buyers purchase properties in any condition and offer quick transactions and greater security around the financing. All of this is ideal if you need to offload a property fast.

It’s important that you work with a reputable cash home buyer with a portfolio of buying homes as-is. Make sure you do your research, get references, and check reviews if you decide to sell to a cash home buying company.

Before anything else, get your home valued. When entering into negotiations with a cash home buyer, knowing the value of your property as-is will give you an indication of whether the buyer is making a fair offer.

Sell to Meli Homes

If you’ve unsuccessfully tried to sell your property as-is on the open market, consider selling to Meli Homes. Whatever your circumstances, we will make a fair offer on your property in any condition.

We are your trusted cash home buyers in Florida, and we offer many benefits: we’re willing to make deals to let you stay in your home a few days after closing, and we offer incentives for sellers who schedule walkthroughs within 48 hours. To get an offer on your as-is home, call us at (407) 338-4183 or fill out our contact form.

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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If you’re looking to sell your distressed home in Florida, it’s important to consider the benefits of cash home buyers. You can sell the property to cash home buyers in Florida to get unwanted properties off your hands for cash.

It’s important to note that a cash home buyer isn’t going to hand you a suitcase full of cash. A cash home buyer is a buyer who has the funds necessary to pay you in full if they buy your home, rather than financing it.

The Benefits of Florida Cash Home Buyers

1. Fast Sale

Florida cash home buyers don’t need a mortgage or a loan to purchase your distressed home, which means you can sell quickly with minimal hassle. What takes months with a buyer who needs a loan takes a matter of days or weeks when you’re selling to a distressed home buyer.

The traditional property selling process can be tedious and often involves a lengthy chain of stakeholders that requires everyone involved to do their part. If one part of the process falls through, the sale could collapse and leave you back at square one.

2. Avoid Foreclosure

If you’ve defaulted on your mortgage payments or declared bankruptcy, your lender could foreclose on your property. If that happens, you lose your home and get no payout. Selling to a Florida cash home buyer can help to avoid foreclosure on your property. Plus, it gives you the funds to pay off some of your debts.

3. Relocate Quickly

Got a job elsewhere in the USA or overseas? Need to relocate fast? You can quickly sell to cash home buyers in Orlando, Tampa, or Melbourne to fund your relocation. The benefit of cash home buyers in this situation is that you can seal the deal quickly and have access to the funds you need for relocating.

When selling to a cash buyer, you don’t have to put your home on the market or pay real estate fees. A cash buyer is more likely to complete the sale without any delays.

4. Settle Divorce or Legal Disputes

If you need to sell your distressed home as part of a divorce settlement or legal dispute, Florida cash home buyers are a fast, convenient option, especially if you’re on a deadline.

5. Sell Inherited Property

If you inherit a property that is in a state of disrepair, is not easy to maintain, or you simply don’t want, selling to a cash home buyer is a quick way to get rid of the property and make some money.

Selling to a cash buyer frees you from having to pay for upkeep and renovations or retaining a real estate agent. Selling a home can be time-consuming and costly, but it doesn’t have to be with a cash home buyer.

6. Sell a Home Stuck in Probate

Dealing with a property stuck in probate can be frustrating, time-consuming, and expensive. Probate proceedings can be incredibly complex and are often an emotional rollercoaster. However, you can sell to a Florida cash home buyer and free yourself from the hassle and stress.

7. Sell a Home That Needs Major Renovations

If your home has fallen into disrepair, needs major renovations, or has become unlivable, then sell to a cash home buyer. Florida cash home buyers purchase property in any condition, especially if it’s in a prime location in a sought-after neighborhood or up-and-coming area.

8. Sell and Rent Options

Let’s say you have a wonderful home in Melbourne, Florida. You need to sell, but you want to stay in the house. If you sell to a cash home buyer, you could negotiate a deal to stay in the home as a tenant. You get to remain in the property that you’ve made your home, and your cash buyer has a rental income.

9. No House Viewings

Selling your property the traditional way means you might have to host several house viewings or give a real estate agent permission to show people around your home, with the latter likely incurring a fee.

If you have to host viewings, it can be disruptive, as you might have to take time off work or be out of the house for large blocks of time on the weekends.

10. No Agency Fees or Commissions

When you sell to a Florida cash home buyer, you receive a lump-sum payment equivalent to the value of your distressed home. You will not have to pay agency fees or commissions for selling your property.

Be Aware of Who You Sell To

Due diligence is still advised when selling to a cash home buyer. You are within your rights to verify that a cash home buyer has the funds to purchase your property outright, without a mortgage or loan. You should also check the source of a cash buyer’s funds to avoid getting caught up in financial crimes, such as money laundering.

The majority of cash home buying companies and private buyers are legitimate, but it’s worth doing your research. If you’re considering a cash home buying company, look for reviews and testimonials to decide if the company is worth doing business with.

If you decide to sell to a private cash home buyer, request a portfolio and ask for references. Get consent to contact your buyer’s references so you can verify previous property purchases the buyer has made.

Make sure you get your property valued so when you come to sell to a Florida cash home buyer, you have an idea of what your property is worth. This helps ensure that you’re not selling your property under market value.

Choose Meli Homes to Sell Your Distressed Home

Meli Homes will buy your distressed house fast. We work with our partners to purchase your property with a fair offer and on a schedule that suits you.

Whatever your circumstances, we’re here to help by purchasing your home at a price reflective of market value. We understand the challenges of selling distressed property, which is why we’ll work with you to strike a fair deal. Get an offer from Meli Homes today.

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A cash home buyer is an individual or company with the funds to purchase your property outright, or without a mortgage. A cash buyer cannot actually give you a suitcase full of dollars to buy your property, as it’s illegal to do a real estate deal with actual cash in the US.

The Benefits of Florida Cash Home Buyers

There are many benefits to working with cash home buyers, not least of which is the speed of the transaction. Completing the sale quickly is ideal if you own a distressed home.

If you’re unable to keep up with mortgage repayments or taxes because of bankruptcy or divorce and you’re facing foreclosure, selling to a cash home buyer in Florida offers you a fast way out of the predicament.

If you want to sell your Florida home for cash without having to pay any real estate agent fees, then a Florida cash home buyer could be the right solution for you. This is a lower-risk option than selling your home to a buyer without the personal funds to make the purchase. When home sales fall through, it’s often because the buyer is unable to secure a mortgage.

This can be incredibly frustrating and costly if you need to sell your distressed home in Florida to free up finances. If a sale falls through, you then have to find a new buyer and the process starts all over again, costing precious time and cash.

Selling to a cash buyer is more likely to guarantee a quick sale, as they are not dependent on funds from a third party. Most Florida cash home buyer sales can be completed in a matter of weeks.

Selling Your Distressed Home in Florida to a Cash Buyer

To get the best possible offer from a Florida cash home buyer, you can take the following steps.

1. Make Repairs

While most Florida cash home buyers will buy property in any condition, making necessary repairs could increase your offer prices. However, if it doesn’t make financial sense to repair your property, you may have to consider lowering the asking price to secure a sale from a cash buyer.

2. Research Reputable Florida Cash Home Buyers

If you’re considering selling your distressed home in Florida to a cash home buyer, it’s important that you do your research when choosing who to sell to. Whether you’re selling to an individual or a cash home buyer company, research what they’re like to deal with.

It’s a good idea to check online reviews and case studies of individuals and companies to verify that they’re reputable and will give you the best deal for your property. Better still, if you can speak to someone who sold to them, it’s worth hearing what they have to say.

3. Know the Value of Your Home

Before selling your home to a cash buyer, get it valued. Not knowing what your house is worth when you begin negotiations could mean you get less than market value. Do your research and look into what other distressed homes in Florida are selling for. This will give you some indication of your home’s market value, which can help you negotiate a better sale price.

Know that if your home is facing liens or other title issues, a cash buyer may offer you less than what it’s valued. They have to pay for the fees associated with solving these problems out of pocket, which is why they may offer you less than your home was valued.

4. Confirm Your Buyer Can Afford to Pay

Since you will be selling to a cash buyer who is paying for the house with a bank transfer, it’s worth verifying they have the funds to pay the agreed amount on an agreed date. A cash home buying company is often a more reliable payer than an individual.

You’re within your rights to ask for proof of funds. Should a sale fall through, you risk losing your home to foreclosure. However, don’t give the buyer any indication that you’re desperate to sell, as this could lead to a lower offer. To make sure you get the funds for your home, verify the buyer’s financial status.

5. Tell the Buyer Everything

If you decide to sell your distressed home to a cash buyer, it’s important to disclose everything about your property. The last thing you want is to agree on a price only for the buyer to discover that the property needs a new roof. They may lower their offer, or pull out of the deal altogether. Don’t give the buyer a reason to exit negotiations.

Equally important, if you fail to disclose any serious defects with the property, you could be faced with a lawsuit.

6. Get Everything in Writing

A verbal agreement is not enough when selling your distressed home in Florida. You need to get everything in writing to protect all parties. If you sell to a cash home buyer, all the paperwork should be taken care of for you. You get paid right away, and the company deals with the legal side of your house sale.

If you don’t want your home or need to get rid of it quickly, getting the paperwork sorted with the help of a professional can speed up the process.

Choose Meli to Help You With Your Distressed Home in Florida

Meli offers peace of mind when you work with us. We will buy your property, list it, or provide you with advice, no matter what condition it’s in. We’ll always help you find the right solution for your home. And, we make fair offers that allow you to sell your home fast and secure funds quickly.

Whether you’re facing foreclosure, looking to relocate, or going through a divorce or legal dispute, and you need to sell your home fast, we’re here to help. We proudly serve Central Florida, and we’ve helped hundreds of homeowners sell their property, completely stress-free, for a good price. Request a consultation with Meli today.

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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Hoarding is a serious psychological condition that can make homes dangerous and unhygienic to live in. These homes can also pose a broader risk to the community. The cluttered conditions can create a fire hazard, and hoarded items can attract wildlife and breed disease. At this point, you may be wondering how to sell a hoarder house.

Due to the danger associated with hoarder houses, many landlords or government authorities are forced to evict residents and sell it. However, as a seller, how do you know what to do with a hoarder house and its contents? Do you sell a hoarder’s house as it is? Or get rid of the items and make structural repairs?

If you want to know how to sell a hoarder house at an optimal price, consider its condition, the contents, and any structural issues that it may have.

What is a Hoarder?

A hoarder is a slang word that refers to a psychological condition. The American Psychiatric Association defines hoarding as an obsessive condition in which a person compulsively keeps objects well past their usefulness or viability.

A hoarder is someone who has strong emotional ties to objects they collect that they have a difficult time letting go. This leads to them keeping items indefinitely. Commonly hoarded items include:

• Food
• Photos
• Memorabilia
• Clothes
• Newspapers
• Cardboard boxes
• Recyclables

Affecting 2 to 6% of the population, this disorder can lead to severe consequences for the sufferers, including the loss of income, isolation, and loneliness. It also creates a hazardous environment for the homeowner. The risks of tripping, falling, and having piles of junk toppled over on you are ever-present.

The Challenges of Selling a Hoarder’s House

If you are in charge of selling a house that has previously been occupied by a hoarder, you have an enormous task in front of you. Hoarders’ homes often are left to the seller with all of the hoarded items, many of which have been in the structure for months, if not years. 

A hoarder’s house may contain mold, rot, and decaying food, which are all significant health concerns for everyone involved. Most of the time, to avoid a black mold infection, workers wear ventilation masks when working in a hoarder house.

If there are animals on the property, the conditions can be even worse. Feces, decaying pet food, or even animal corpses can surprise workers by dismantling the piles of items inside the home.

If the hoarder is on the property to help clean before the sale, it can make the process slower and more difficult. Many hoarders become anxious and distressed when they see what they believe to be valuable items thrown out.

How to Sell a Hoarder’s Property

If you are trying to sell a house that once was inhabited by a hoarder, you have a few options.

You can sell the house as-is, with all of the damage, at a low price. Or you can undertake to renovate the home to revamp the property to make it attractive to potential buyers.

When deciding which route to take, consider the time it will take, the costs, and the perceived financial gain.

There is a third option, but it is usually reserved for the direst of situations. In some cases, the hoarder’s property is too far gone and is condemned by the state. In this case, the state has deemed that the structure is too dangerous for any inhabitants. If this is the case, your best bet is to raze the structure and sell the land.

Selling a Hoarder’s Home As-Is

If you don’t have a lot of time to devote to a home renovation, or don’t want to spend the money to renovate it, you can sell a hoarder house as-is.

The best buyer for a hoarder’s home is a real estate investor. These agents don’t need to see the property a lot or make too many inspections as they mainly buy property for cash and quickly turn it around.

Some of the significant benefits of selling a hoarder house as-is to a real estate investor are that they complete the closings quickly, sell on cash terms, and don’t charge real estate commissions.

To ensure your hoarder home sale is uncomplicated, always vet the real estate investor before you finalize the deal. You can check the investors’ online presence and reviews, meet with them in person and obtain references.

Renovating a Hoarder’s House

This option is more time-consuming and costs more money than selling a hoarder house as-is, but it can also net you more money in the long run. The first step is to empty the house. To ensure the health and safety of workers, masks, gloves, and protective jumpsuits should be provided.

Separate the stuff into three categories – keep, trash, and donate. Once you have emptied the house, evaluate the structural integrity with a professional. There may be rot or damage to load-bearing beams, pipes, electrical wiring, and more.

The third step is to hire a professional cleaning crew to scrub the house from top to bottom. Some services specialize in deep-cleaning hoarders’ homes as it may take some extra elbow grease to get the property clean and sanitized.

Whether you plan on renovating the house yourself or using a contractor, set a firm budget and timeline so you don’t end up losing out on your investment. If you can’t dedicate the time or money to fixing a hoarder house, the best option is to sell the place in as-is condition, as it may be more cost-effective for your long-term.

Final Thoughts

Selling a hoarder house on the open market is difficult and not always successful, as it may not show well or appeal to buyers. But helping dismantle a hoarder house and making it livable again is a worthwhile and noble cause.

By putting your property in our hands, we can help you make the right decision for selling your distressed home. Meli Homes can help you get rid of a hoarder house quickly and easily with no excess fees. If you have a hoarder house for sale, get started by submitting your address or call us at (407) 338-4183 to get your offer.

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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Generally, a distressed property will stay on the market longer than a traditional real estate listing. Maybe you’ve spent thousands of dollars on advertising, made several price reductions, but you still can’t find a potential homebuyer. Figuring out how to sell your distressed home is tough. 

Your property will become an expired listing after a certain period. This is the time when you shouldn’t give up and stay adhered to the axiom, “a stitch in time saves nine.” Devising a strategy to sell your home fast now can save you time, money, and stress later. Here are the five most viable options that can help you sell your distressed property as soon as possible.

1. Price it Right

It’s essential you determine how much your property is worth. Distressed homes usually list for lower prices than normal market rates. This doesn’t mean you need to reduce your listing price by thousands of dollars. With smart negotiation tactics, you can make enough of a profit to meet your debt balance.

The strategy is to price your home at a higher value than it’s worth. Let’s say you want to sell your distressed house for $200,000. If you list for that exact amount, the buyer will usually offer you less. Asking a higher price may swing the deal in your favor, as their offer will be closer to the amount you really want. However, this strategy may not work if you are selling in a buyer’s market; when there are more homes available to meet the demand. Conduct thorough research of distressed property prices in your neighborhood and set an appropriate price for your home.

Consider reaching out to a real estate agent if you haven’t already, or a real estate investor if you want or need to sell your home within a tight deadline. Learn more about selling with a realtor or selling to a real estate investor.

2. Make Repairs and Focus on the Best Aspects of Your Home

You might not be able to keep up with home maintenance due to your circumstances. Keep in mind that the typical buyer won’t want to buy a distressed house that requires numerous repairs. Therefore, you should put in the effort to conduct essential repairs to make your home a proper place to live. Create two lists, one comprised of the best features of your property, and one comprised of the worst features. Try to improve the worst features and draw attention to the best ones. This strategy may lead a potential buyer to pay you a higher price for your property.

A buyer will never want to pay your asking price if your property doesn’t have basic amenities. Your home should have a proper drainage system, good flooring, and good, safe electrical wiring. Try to repair all the worst features that can drastically affect your property value. If you’re unable to make repairs, take this into consideration when you decide your asking price.

3. Declutter Your Home

If your home is in extremely poor condition, repairs may take thousands of dollars. While you likely can’t invest a hefty amount in home repairs, you can try another trick to make it more appealing to buyers. Clean and declutter your home, mop, sweep, and vacuum the floor, wipe down kitchen cabinets, and improve your curb appeal. If you’re unable to do a deep-clean yourself, consider hiring a professional to do it for you.

Some homeowners forego cleaning the attic, basement, garage, and other less-frequented places. However, smart buyers will check these places. Deep clean every corner of your house to avoid turning off potential buyers. Ask any friends or family who have experience in home sales to get their advice. They can give you some insight into cleaning your home. A clean home will give potential homebuyers a better impression, even if your property lacks other basic facilities.

4. Consider a Short Sale

If you couldn’t keep up with your mortgage payments due to your tough financial situation, chances are you can’t afford to repair your property. In that case, you can submit a request to your lender to execute a short sale by accepting an amount that’s less than your mortgage balance.

Since negotiation requires skills and expertise, it’s best to hire a real estate agent for that. Discuss all the ramifications with them to make sure you clearly understand the consequences that can occur from a short sale. For instance, you may need to pay IRS taxes on a short sale.

5. Honesty is the Best Policy

When you’re selling your property, be honest with potential buyers. No matter what problems your house has, it’s crucial to disclose damage and other issues your property has. Be upfront about what is wrong.

If your area has commuting issues or sewage problems, ensure that the buyer is aware of any potential nuisances before signing the deal. When you don’t warn homebuyers about your property flaws, you could open yourself up to a lawsuit.

Do You Own a Distressed Home?

Owning a distressed home doesn’t mean it’s the end of the world. Most distressed homeowners have options. Take time to learn about your distressed housing situation, consult with a professional if you can, and if you determine that selling to an investor is the right choice, consider reaching out to Meli.

Our team is highly experienced in buying and selling homes, and we work with a partner network of attorneys, realtors, and investors to purchase your home in the shortest time possible. We’re able to buy homes in under 30 days, and can often buy in far less time as needed, depending on the situation. Give us a call at (407) 305-5008 or request an estimate on your home’s value below.

Want to learn more about selling distressed? Get our eBook, “Everything You Need to Know When Selling a Distressed or Difficult-to-Sell Home.”

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.

 

When most people think of a distressed home, they tend to think of a run-down home with a poorly kept lawn and broken windows. In reality, there are several additional factors that can make a home distressed, most of which are not readily apparent.

To break it down, there’s a few major categories of problems a house can face that can earn it a “distressed” label. Many of these categories overlap, and some may come hand-in-hand.

Damaged Homes

The most commonly known distressed housing situation occurs when a home falls into disrepair. This can be due to a number of reasons, including neglect, damage from an accident, natural disasters, or even vandalism. Homeowners may be unable to fix the damages themselves, which can lead the home to being considered distressed.

Luckily, there are homebuyers who look for homes in need of repair. These buyers are often investors looking to buy a damaged home, “flip” it, and sell it for a profit once it’s move-in ready. There are even traditional homebuyers looking to buy a “fixer-upper” and work on their new project home. While it may be tougher to sell a home that’s fallen into disrepair, it isn’t impossible!

Read More:
The Industry of Distressed Homes in Central Florida
Is it Better to Sell a House As-Is or Fix it Up and Then Sell it?

Homes Facing Financial Difficulties

Unfortunately, many homeowners will face financial troubles at some point or another. Many homeowners experience a major financial change in their lives that can cause them to miss mortgage payments, which can lead to the home entering pre-foreclosure, where the lender will begin the process of repossessing it. This is a stressful time for homeowners, and doesn’t leave much time to consider their options. Homeowners in pre-foreclosure DO have some options at their disposal, such as catching up on missed payments, selling the home in pre-foreclosure in a short sale, or selling to an investor.

Another problem many people face when they inherit a home is probate court. Probate is the legal process that occurs after someone dies. It helps ensure that directions in the will (if there is one) are followed. If there is no will, a judge will often have to step in and the probate court will work to value the estate, pay any taxes and debts, and find the best way to fairly distribute the property to any heirs. Probate isn’t always a “problem,” perse, but it can get tricky if the title is murky, there’s no will, or if the beneficiaries can’t post the probate bond or any fees or debts, the home can get “stuck in probate.” 

Homes Trapped in Legal Issues

Another problem some homeowners face comes from the local and federal government. Some legal issues are tied in with financial issues, such as probate court. Other legal issues include code violations on the home, which usually incur a fine that accrues interest. If you cannot fix the problem that led to the code violation or pay the fee, you’ll have trouble selling your home to most buyers. Investors like Meli will often work with you to purchase your home if you’re looking to sell without bringing the house up to code, so consider an investor when you are weighing your options.

Heavily tied with a homeowner’s financial problems are tax liens and judgment liens. A tax lien is incurred when you fail to pay your property tax bill. The IRS will send you a “Notice and Demand for Payment,” and if you still fail to pay the bill you may receive a tax lien, which is public record and can drastically harm your credit scores.

A judgment lien usually comes from a legal proceeding in which one party takes another party, the defendant, to court in order to obtain a legal, monetary civil judgment against them. If the defendant is found guilty and can’t pay the damages, a judgment will be filed against them. A judgement creditor is able to seize their property or garnish wages to collect on the judgment depending on the state. If the creditor is aiming to seize property, the homeowners can consider selling their home quickly to an investor or through another quick selling process and pay off the judgment with the resulting funds.

Selling a Home in a Divorce Case

Divorce doesn’t always lead a home to become distressed, but in some divorce cases, the parties may either agree or disagree to sell the home, or just want to get rid of it as fast as possible for emotional or financial reasons.

Many couples who own a property together will attempt to sell their home when they separate in order to divide their assets. This can become difficult if one party doesn’t want to sell the home, but they need to find a way to split their assets. Couples in this situation should speak with their legal advisors before coming to a decision, as the legal issues involved with selling a home during a divorce can be difficult to navigate.

Selling an Inherited Home

Not all inherited homes are distressed, but as discussed during the topic of probate, it can get tricky if a home is entrusted to more than one person, if the title is murky, or if the home has any code violations, liens, or other financial or legal burdens. Dealing with these legal issues can be daunting, especially if the new homeowner is processing the grief of losing a loved one.

The homeowner may live in a different state, or even country, than the home, which can make selling even more difficult. Working with an agent may be the best move in this situation, but if it’s compounded with other issues, it may be best to reach out to a legal advisor or work with an investor who can navigate the legal and financial issues they’re facing.

Read More:
Your Options When You Own Part of an Inherited Home or Divorced Home

Selling a Home Before Relocating

If a homeowner needs to relocate quickly, the home may be considered distressed, as the owner is likely very motivated to sell their home before they have to move. Selling a home typically takes a while, depending on your location, the price you’ve listed it at, your agent (if you have one), and so many other factors, your home could be on the market for as little as a day or could take years to find a buyer. If someone is moving, they likely want to sell it in under a month, if not faster.

Selling through traditional real estate never guarantees a fast sale, so if the homeowner needs to sell their distressed home fast, they can also consider selling to an investor. They won’t make as much as they would through a realtor, but they will be able to sell their home before they move.

Do You Own a Distressed Home?

Owning a distressed home doesn’t mean it’s the end of the world. Most distressed homeowners have options. Take time to learn about your distressed housing situation, consult with a professional if you can, and if you determine that selling to an investor is the right choice, consider reaching out to Meli.

Our team is highly experienced in buying and selling homes, and we work with a partner network of attorneys, realtors, and investors to purchase your home in the shortest time possible. We’re able to buy homes in under 30 days, and can often buy in far less time as needed, depending on the situation. Give us a call at (407) 305-5008 or request an estimate on your home’s value below.

Want to learn more about selling distressed? Get our eBook, “Everything You Need to Know When Selling a Distressed or Difficult-to-Sell Home.”

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.