Four Different Ways To Sell Your Fixer-Upper Property
When it comes down to selling your property most homeowners only know about listing the property with an agent, but there are actually three other ways to sell your property and the other three may serve your needs better than an agent.Â
Sell the property by yourselfÂ
When selling your property by yourself or FSBO, which means for sale by the owner, it is recommended that you have experience in real estate or have someone who has experience buying or selling real estate. If you decided to go this route it will require a significant amount of time to research your market to see what properties are selling for and what they look like inside and out. If your home isn't up to the standards of the market meaning it needs upgrades to the kitchen, bathrooms, bedrooms, needs a new roof, etc. Those upgrades must be made to have a successful sale. Along with upgrades must make sure that the comparable sales that you are looking at are near your square footage as well as having the same bed and bath count. This is where the experience in the selling of real estate is vital. Also, since you are selling the property yourself you must market the property as well. This means listing your property once ready on sites like Zillow, putting for sale signs in your front yard, etc. In the U.S it takes on average 3 months to sell a property and with that wait time you are still responsible for the overhead of the property so any mortgage payments, taxes, insurance, etc. so if you have the experience, capital, and time to sell your property by yourself then I recommend sell.
Fix the property yourself and sell itÂ
When deciding if you want to fix the property yourself and selling. There are a lot more responsibilities that come with the process. For example, you must get your property inspected once you finish the remodel, I recommended finding a contractor to give you a quote on how much it would cost to fix the property, I also recommend looking at the homes that recently sold in your area comparable to your property and see what they look like and what was added to the property. Fixing and selling your home yourself can save you money and potentially time if you have the experience of home rehabbing. However, you must understand the entire process beginning to end. From the permits and quotes for upgrades to the strategy you want to use to sell your property have a planned laid out. Also, if you are looking to find ways to sell your property yourself you can use listing websites like zillow, redfin, and other websites that specializes in selling homes. Also, one of the most important things to fixing your home is being honest with yourself, if your home is not near the market standards you have to be willing to make the necessary improvements.Â
Sell to a cash investorÂ
Selling your property to a cash investor has its positives and negatives. When selling your property to a cash investor who is legit you can save time, money out of pocket, and hassle. Typically, a cash investor who is legit will provide a proof of funds, at least a $1,000 earnest deposit on the property, and a short inspection period. If the inspection period is longer than 14 days be a little sceptical. When it comes down to selling your property to an investor you will save money, hassle, and headache however it will come at a price. Say for example, fully renovated property can sell for $100,000 if an investor is making the repairs and the process you will have to sell the property for less than $100,000. Depending on the condition of the property you may have to sell it for $50,000 maybe even less so have that expectation going in when working with an investor. Lastly, if you decide to sell your home for cash, vet the buyer and see what projects they have done in your city. Sadly, there are âcash buyersâ out there that will say they can purchase your home and three weeks later they tell you they need a price drop. So be cautious of these people. The highest offer isn't always the best offer.
List with an agent Â
Lastly, listing your property with a real estate agent can be a great way to sell your property. This is the most common way of selling your home and if your house is in great shape and caught up to your current market standards you will have no problem selling your property. When I say âcurrent market standardsâ I mean if homes in your area have quartz countertops, you need to have quartz countertops. Your house needs to look like the other houses in your area that have sold. If not, you run the risk of having your home sit on the market longer than it should. Now if your home is a fixer upper you can still list the property with an agent and it can sell most likely to an investor that will flip the property. The downside to that is not only will you have to sell the property lower than the market value you will also have to pay the closing cost and commission to the realtor. With fixer-uppers if you have a realtor that will list the property on the MLS for a flat fee then it can make sense to go with a realtor; other than that selling to an investor will save you time and money.