In this video we will share some considerations when it comes to selling a home in as-is condition.
The simple answer is ‘yes’ you can sell a home as-is. But the better question is, “Does it make sense to do so?”
Everyone has heard the adage, “buyer beware.” But, when it comes to as-is real estate transactions, experts add the caution “seller beware” – particularly if the purchase offer comes from an investor.
This is especially true for longtime homeowners faced with potential repairs and updates. There is an attraction to selling “as-is” and simply walking away, avoiding the expense and frustration of the make- ready process.
Homeowners should be wary, however, of investor buyers who make it sound too good to be true.
One of the more dramatic shifts in the way people are selling homes is through what are referred to as iBuyer programs. These companies utilize public data and statistics to craft an offer maximizing their return (that is the return to the investor buyer) upon resale.
This approach offers a seemingly modern solution to what can be perceived as a laborious pre-sale process. The promised convenience typically comes with a significant cost to sellers, however. Especially those who don’t have a real estate agent who would otherwise simplify the make-ready process on their behalf.
“We buy homes for cash” offers
The “we buy any house” approach may even be used by some real estate agents as a means of generating new business. They make an extremely low offer and expect it to be rejected. They then offer to list the home on the multiple listing service as a traditional sale (for a full commission).
This bait-and-switch approach is considered unethical in most real estate firms, especially without full disclosure of a brokerage affiliation (but it is still reportedly happening nonetheless).
Wholesaling is another business model being taught to novice real estate investors looking to make fast cash with little or no capital. It’s based on buying and selling houses very quickly without making any repairs. A wholesaler will get houses under contract (well below market value) and then attempt to sell the property or “assign the contract” to another buyer – before the agreed upon closing date. These transactions often occur in markets where prices are rising quickly and generally fall apart (at least once) costing the seller both time and money.
Long story short….
So, back to the original question of whether you can or cannot sell a house in as-is condition. It is certainly possible and sometimes advisable to sell a home in as-is condition. Any real estate agent – or investor for that matter – who tells you that you should do so without looking at your home and evaluating your entire situation and goals FIRST is not operating with your best interests in mind.
You owe it to yourself to get at least two or three opinions from qualified real estate pro’s who specialize in helping longtime homeowners make informed decisions.
For more information about the pro’s and con’s of selling as-is, or to get a free pricing opinion on your home, contact our team at 512-818-0988 or email us at virginia@seniorslivingsmarter.