Mark, Author at Meli Homes : Meli Homes

8 Tips to Sell Your Distressed Property in Florida

Posted on June 3, 2020September 21, 2021 by Mark

Many people love the challenge of a fixer-upper, but this kind of undertaking isn’t for everyone. Maybe you’ve recently come into an inheritance that also includes a house that you don’t need and on which you don’t necessarily want to pay taxes. There are quite a few situations in which you may want to sell distressed property in Florida quickly.

Here are some tips if you find yourself in possession of a property that has seen better days and that you want to get rid of swiftly.

What Does Distressed Mean?

If you want to sell your distressed home in Florida, make sure that it meets the right criteria. If you are a homeowner and unable to meet your home’s financial obligations, you may be looking at a distressed property.

Other situations that warrant this title are when the home isn’t up to safety code standards, in foreclosure, or has tax liens on it. You may also find yourself in possession of a distressed home if you’re going through a divorce or bankruptcy.

Anytime an owner is unable to meet their financial obligations, either in the form of mortgage payments or taxes, the property is deemed distressed. These homes usually sell for under market value, but there are some tricks to getting the best price when selling your distressed property in Florida.

1. Fix it Before the Appraisal

Your distressed home may not meet the criteria for an appraisal if there are major structural issues like exposed floors or extensive water damage. If you can, fix the problems before you get the property appraised.

You may do the math and realize that the renovation costs do not match up to the selling price. In that case, your best bet may be to lower the price of the home and cut your losses.

2. Sell to Cash Buyers

Distressed homes do not usually qualify for mortgages. Because of this, it may be best to sell your distressed home in Florida to a cash buyer.

When you’re dealing with investors that have their funds tied up in a variety of ways, your distressed home sale could take significantly longer. This is precisely what you don’t want. Cash buyers will pay you in full, buy your place quickly, and buy a home in almost any condition.

3. Know the Value of the Home

Many people jump into the real estate market without knowing what their home is worth. This can result in selling the house, even if it’s distressed, at a much lower price than you may have gotten if you had done a little research beforehand.

Look at other homes on the market that are in a similar condition to your distressed property. Even if your home is not viable for appraisal due to structural damage or other concerns, you will still have an idea as to what price to ask for it.

You should also know whether it’s a buyer’s or a seller’s market. You may not be able to wait very long if the conditions are not ideal, but you will still know how to move forward with the sale with the right outlook.

4. Verify the Buyers

Even if you’re selling to cash buyers who will pay for your Florida distressed property out of pocket, ask for financial verification.

If you’re working out a contract, don’t feel anxious about asking to see proof of income to ascertain whether the buyer can indeed make the payments they promised you.

Your attitude going into negotiations is also essential. Make sure to feel and act confident, and don’t jump at the first or second offer if it’s well under your asking price.

Buyers may assume that, since you’re selling your distressed property in Florida, you are desperate. Don’t give them that impression, especially if you have done the footwork and know an estimate of how much your property is worth.

5. Disclose Everything

When you’re negotiating, disclose all the details about the property – the good, the bad, and the ugly. If you don’t, you may face a lawsuit in the future.

If the buyers discover these details during negotiations, they may lower the price or back out of the deal.

6. No Agent Commissions Fees

If you are selling your distressed property in Florida, listing it is not a viable option. Listing your distressed property in Florida is expensive, and you may not find a buyer.

Find a cash buyer, so you don’t spend your profits paying off agents’ commission fees. Using an agent and listing your property takes much more time than finding a cash buyer to quickly sell your distressed property.

If you wait too long and you’re not in residence at the property, you may have to deal with squatters and pay for any damage they inflict on the house.

7. Keep Everything in Writing

This isn’t an easy step if you are selling the property yourself but keep all negotiations in writing and all contracts printed and in order. To make sure that all proceedings are aboveboard, you will need disclosure documents and more.

One of the benefits of working with a cash buyer is that they understand the ins and outs of buying distressed property and turning it around quickly, so they can handle a lot of the documentation and get you your money fast.

8. Check Their Reviews

When working with a company to sell your distressed property in Florida quickly, you should know the estimated worth of your house. You should also know something about the company with which you’re working.

Do a little digging online and read some reviews and testimonials. The way a company treats its clients is an excellent indication of the treatment you’ll receive. If the company has no reviews or testimonies, they’re either a young company, or this may be evidence of more substantial troubles.

The Takeaway

If you have a distressed property under foreclosure, in bankruptcy, or can’t meet safety standards, you have options.

The best step you can take is to do your research regarding the estimated cost of your house to find a buyer quickly, without the hold-up of listing it in Florida.

At Meli, we make sure you get your asking price through a quick and easy process. We understand your expectations for selling a distressed home in Florida, and we’re here to help. Contact us today at (407) 338-4183.

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.

Image Credits

https://pixabay.com/photos/beach-erosion-damage-hurricane-4654849/

https://www.pexels.com/photo/brown-broom-and-white-plastic-bucket-3562689/

https://pixabay.com/photos/house-abandoned-vacant-vintage-54570/

Should You Sell Your Distressed Home As-Is or Fix It Up?

Posted on May 14, 2020August 6, 2021 by Mark

Selling a home without making repairs is far more convenient, but you’re unlikely to earn as much as you would if you spent time fixing it up. If you’re struggling financially or don’t have time to make major repairs on the home, there are some quicker, low-cost fixes that can be well worth your investment.

If your distressed property has major damages that are costly to repair, you’re unlikely to get much for it. Depending on your situation, you may not have the luxury of time or be financially able to make major repairs. Luckily, there are a few ways you can add value to your home if you want to sell it without making major repairs.

Fixing some minor damages may allow you to ask for a bit more when you list the property. Survey your home and make a list of defective or broken things. If needed, consider making the following fixes:

Fill in cracks and patch holes in ceilings and walls
Repair broken appliances and leaky faucets
Add a fresh coat of paint inside and outside of the home
Replace old window coverings
Stage your home for showings

Depending on your home’s condition, there are several other small fixes you can make. Once you complete your home survey, think about which issues are worth fixing.

Homeowners will struggle to sell a poorly maintained property, especially if it’s in pre-foreclosure or mired in legal troubles. Consider performing some quicker, low-cost maintenance to make your distressed home a bit more presentable.

If you are unable to perform any maintenance on your home, be aware that selling your home to an investor may be one of your best options, especially if you’re facing any legal issues with the home. If your home is in pre-foreclosure, you may want to avoid spending time making fixes and simply find a buyer.

Consider reaching out to Meli. We specialize in purchasing distressed homes regardless of the legal difficulties involved. You can request a free estimate on your distressed home right on our front page. We’ll reach out to you as soon as possible to learn more about your unique situation and let you know how we can help. We look forward to speaking with you!

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.”

5 Mistakes Every Distressed Home Seller Should Avoid

Posted on April 30, 2020October 25, 2021 by Mark

If it’s your first time selling a distressed property, you’re likely to make a mistake or two during the process. Selling a distressed house is far different from conducting a traditional home sale.

These are some common mistakes every distressed home seller should avoid:

Pride Over Practicality

When you own a distressed property, it’s understandable to want to sell it for as much as possible. You need to pay your mortgage loan, taxes, or code violations and therefore you want to sell your property for as much as you can get. The most common mistake homeowners make when selling distressed is asking too much. Don’t set an unrealistic price for your home to try to get as much as you can. Homeowners who do this usually just prolong the sale process and will have to lower their asking price anyways.

Not Considering a Short Sale

The misconception around selling distressed property is astonishing. You typically have a few options and ultimately need to choose one. Some homeowners find foreclosure to be the better option. Be aware this option will damage your credit history significantly. Consider opting for a short sale or a cash sale and avoid foreclosure or excessive fines, as it will allow you to resume borrowing quicker than a foreclosure typically would.

Consult with a legal professional before deciding what option is best for you. There are different ramifications to each option, and you will want to make an informed decision.

Delaying the Sale

Defaulting on a mortgage generally leads to bank foreclosure, especially when you put off selling. Procrastination always leads to trouble, resulting in fewer options to avoid foreclosure. Selling your property quickly saves you from facing foreclosure.

Listing your home fast gives you more time to find a buyer offering a reasonable price, which is far better than a complete loss on your investment. Selling to an investor is typically a very fast process, and some investors can close on your house within a week, depending on the situation. Consider reaching out to an investor like Meli if you need to sell your home quickly to avoid foreclosure.

Selling By Owner

Selling distressed property is complicated, and we recommend hiring a real estate expert. This is especially true if you don’t know much about real estate. Real estate agents can provide valuable options in line with your specific situation. You can seek out a mortgage professional, lawyer, or a realtor who is experienced and skilled in short sale legal issues, like code violations or liens.

Making an Agreement with an Unqualified Buyer

When you can’t find a home buyer, you may opt to sell your property to an investor or house-flipper. These buyers usually purchase properties for less than market value. It’s important to ensure the property buyer is able to and will pay you in full for your property. Meli works with their own funds and a network of investors, so we’re always able to pay you in full if we get a home under contract.

Do You Own a Distressed Home?

Owning a distressed home doesn’t mean it’s the end of the world. Sellers are often stressed when attempting to sell a distressed home. That is why Meli provided some of the most common mistakes every distressed home seller should avoid. 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.

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

Is your House in Foreclosure?

Posted on October 4, 2019August 6, 2021 by Mark

Facing foreclosure can be a very rough time for a homeowner. But, foreclosure can be avoided if handled properly while understanding your options. Pre-Foreclosure typically takes 6 to 12 months throughout the U.S. This process can vary depending upon the urgency of the bank/money lender.

The U.S. Foreclosure Filing rate in 2018 was 0.47% or 624,000 filings, making it a 13-year low. Unfortunately, there are many people still facing foreclosure on their homes. This can be due to various factors such as family medical emergencies, job loss, or injury. Sometimes being unable to make a mortgage payment is due to a rise in the mortgage payment from a variable loan that has skyrocketed. It may also be a loan shark that has given you an interest rate well above average and now your home is underwater (meaning you have no equity* in the home), although you may have not missed a payment in the last 2 years. These situations can be dealt with by working with a real estate professional who understands your options.

Below are some options to consider:

Selling the house
Catching up on payments
Declaring bankruptcy

Avoid Foreclosure on Your Home by Selling It

Contrary to what some homeowners believe, you can sell your house before foreclosure. You can refer to our article to see a more in-depth explanation of your options for selling your home.

If the property is in good shape, has equity, and the foreclosure is early, your best option may be to sell the home with a realtor. A realtor will be able to get you the highest sales price, but it may take longer than a cash sale. This is something you will need to consider with the foreclosure status.

Selling the home for cash to an investor like Meli is another good option if the property has any outstanding repairs or issues. We will buy the property as-is in 30 days or less. Selling your house fast before foreclosure will avoid the loss of your home and get you the money you deserve. We can stop the foreclosure and grant you peace of mind.

Catch up on Missed Payments

If your financial situation has changed you can become current on payments and keep your home. This may seem obvious, but it may not always be considered with the tumultuous emotions involved in a Foreclosure.

Declare Bankruptcy

Certain types of bankruptcies can allow you to erase debts, but keep your home while making a deal with the Bankruptcy Courts on a plan to pay off the home over time. This is similar to catching up payments on your property, but the bankruptcy will typically forgive all other debts and make the payments more affordable according to your current income and financial situation.

All these options can help you to get this foreclosure behind you. Consult with an attorney to decide the best options for your unique situation.

*Equity is the amount of your home that you own. For example, if you owe $50K on your house, but you can sell it for $100K as-is then you have 50% equity in your home. If you are facing foreclosure and you have Equity in your home then you should consider selling to avoid foreclosure and save your credit.

Is Selling your House for Cash a Scam?

Posted on October 4, 2019September 30, 2021 by Mark

As a homeowner, have you ever received a letter in the mail that said “We buy houses for cash!” or “Would you like to sell your house fast?”

These letters are from prospective investors that would like to make you a cash offer on your house. Most people see these as scams, asking themselves “What’s the catch?”

In reality, if done properly there is no catch with selling your house for cash. If the investor is responsible and informed they should be able to take care of you and provide a good experience.

Tips When Selling For Cash

A home buyer/investor will be able to give you an idea of what your property is worth relatively quickly, typically within 24 hours. If you like the offer, the investor will come by and look over your property to certify the offer. At this point, a good homebuyer should be ready to close within 30 days or less or your desired timeframe.

The issue becomes when investors do not understand the real estate market. For example, investors may make an offer that is way too high in order to get a property under contract. When they realize their mistake they try to renegotiate the contract before the close. This puts the seller in an awkward position. Most sellers will be working on a new life free of their old property, only to be forced to reduce their sale price if they want to sell the property by closing day.

Tactics like this have caused sellers to become skeptical of the whole process. But, not all homebuyers use these tactics. There are homebuyers that do treat sellers properly. Meli strives to treat all home sellers well and give them a fair offer so they can get back to what matters most. A great homebuyer will walk you through your options and guide you in the right direction. A portion of the time the right direction will be listing with a realtor, renting out your home, or selling to an iBuyer.

Find a Reputable Cash Buyer

We highly recommend working with companies that are reputable online with a legitimate website, social media, and Google Business. This will show you the reputation of the homebuyer and how willing they are to advertise their business. This will be easy to find with a simple Google Search of the company that reached out to you.

Selling your house for cash is not a scam, but it can be confusing if this is the first time you have sold a home. Be sure to research the company you are working with and examine their reputation before moving forward. The best companies will have a positive reputation online with information about the process of selling your home.

Working with an experienced homebuyer will make selling your home a smooth experience. You may think that your home has too many problems to be sold, especially within a short time frame, but if the homebuyer is experienced, any issue can be handled.

We Buy Houses for Cash

If you are looking to sell your house fast, for cash, from an experienced homebuyer, then reach out to Meli and we can take care of you. If you have another homebuyer that you believe may be a good fit, check them out online for their credibility. The homebuyer will be present online if they are reputable and proud of their service to the community.

Different Options for Selling Your Home

Posted on September 25, 2019October 26, 2021 by Mark

Are you trying to figure out how to sell your house? When you first begin the process, it can seem overwhelming with the various different ways you can sell your home and you aren’t sure where to turn. Between funding a relator, making repairs, and trying to ensure you get a good price, the choices are endless.

Check out some of Meli’s top tips and options for selling your home.

The Traditional Way: Listing Your Home with a Realtor

Listing with a realtor has a lot of advantages. If you have a top-rated real estate agent they will be able to get you top dollar for your property. The typical commission is 3%, but there are different ways to find a top realtor. Meli recommends sites like listwithclever.com which gives multiple options and information that will guide you in the right direction. Listwithclever.com also offers a 1% or $3,000 listing fee that will hook you up with the best agents in your area.

The U.S. average time to sell a home is 68 Days. If you are looking to sell faster than that a realtor may not be your best option. Your house may not actually sell in 68 days or sell at all. You will also need to make upgrades for curb appeal to get top dollar for your house.

Selling your house for cash can have significant advantages for the right seller. There are multiple options when considering whether to sell for cash.

Who will buy your house for cash?

iBuyers: Zillow, Offerpad, Opendoor

iBuyers will buy your house quickly for cash and typically as-is. This is a very good option if you have little or no repairs on your property. But, if your property has significant repairs needed or title issues the iBuyers will typically not purchase your property. Properties with more issues will require a buyer more time and effort in order to flip the property.

Distressed Buyers: Meli, Investors

If your property has significant repairs or title issues and you need to sell the house fast, then a distressed property buyer is your best option. Meli will buy your distressed house as-is and fast. Most companies will not deal with complicated situations like probate, tax delinquencies, judgments, liens, or divorce.

For Sale By Owner

Selling your house alone can seem to be very advantageous by lowering realtor fees and closing costs. But, the typical “For Sale by Owner” house is sold for 13% less than with a realtor and they are typically on the market longer. Advertising your home can be very time-consuming. If you are looking to put significant time and money into selling your house, FSBO may be a good option for you to not deal with a 3rd party. Ways to do this is by putting your house on Zillow, Craigslist, and placing a sign in your yard. It is possible to sell your house on your own, but it may not be as easy as it seems.

As a home seller, there are several options for you to consider. Deciding which way to sell your home can be the hardest part. The main questions you need to ask yourself: “How quickly do I want to sell my home?” and “How much am I willing to take for the property to get sold in the timeline that suits my situation?”

Taking time to answer these questions will help you decide which homebuyer is right for you.