“Mom’s going into senior care and I need to sell the house fast to pay for it!”
What if staying in the home is no longer an option and you need to sell your home fast for managed care?
Sell Your Own House On The Market
If your home is in great condition, shows well, and needs no maintenance or repairs, you can command full market value.
Your best option would be to find a realtor in your area who will:
- Tell you the truth about your home’s value
- list it, and
- sell it through the normal real estate channel.
I emphasize finding a realtor who will tell you the truth because many will just tell you what you want to hear to get the listing.
The problem is that an improperly priced listing will linger forever on the market while you deal with markdowns and disappointment.
Nobody needs that frustration…
Any house (and I mean any house) in great condition and priced right should sell within 30 days. If a good house does not sell within a month, something in the equation is wrong.
Since the knowledge of a local realtor can’t be measured remotely, we don’t give any recommendations regarding a specific person or company.
Sell Your Home Fast to A Cash Home Buyer
There are some situations where a fast sale to a buyer for cash may be ideal.
This is particularly true if:
- Your home has years of deferred maintenance
- The property needs repairs
- Appliances are outdated, or
- Some cash is needed to make the property marketable
Unless you’re prepared to invest the time, money and effort to bring the home up to top dollar standards, your best option is to sell to a cash home buyer or real estate investor.
Investors find houses in distressed condition, and buy them for cash at a discount. They then invest money to renovate the property to sell at a higher value.
It’s important to realize, however, that the property will be purchased at a discount.
If you choose to sell your home fast for cash, it’s important to be realistic in your expectation of value.
Being realistic in the value of your home means understanding that both sides need to get something out of the deal. Of course, you need to get as much money as possible but the investor also needs to make a profit.
Many sellers think that they’re going to discount a home by 10% in comparison to other homes in the area.
The convenience of collecting a check and walking away is the reason why you’re asking price needs to be adjusted accordingly.
You save yourself the stress of:
- Cleaning and preparing the home for sale
- Choosing a realtor
- Listing it on the MLS
- Showing the house, and
- The anguish of meeting contingencies demanded from potential buyers.
Most importantly, you save yourself from the strenuous and time consuming 120 day process of selling a home.
How much of a discount is selling your home fast worth?
I’m going to show you…..
Anatomy of a Fast Cash Home Deal:
Let’s assume that comparable homes in perfect condition…
(Which means new kitchens with granite counters, bathrooms with modern fixtures, flooring with the latest in hardwood, modern heating and air-conditioning units, new double pane windows, fresh paint inside and out, etc.)
…are selling for $350,000.
Now let’s assume that your home needs $50,000 in renovations to match the other homes on the market.
Your “As-Is” value is $300,000 which is the market value minus the renovation, but this would not be the purchase value for cash home buyers.
Remember, the cash home buyer or investor has to purchase the house and, in most cases, pay all of the closing costs including title, and transfer tax that are usually assigned to you the seller.
Additionally he will invest the money to:
- renovate the property
- pay the costs of holding it during that process
- place it back on the market
- pay a realtor fee when it sells
- pay all the normal seller closing costs with the hope of making a profit in the end.
How much is all of that worth? Typically, you can expect a cash home buyer to pay 25% less than the going market value and here is what the offer will look like:
- Maximum selling price after renovation: $350,000
- Less discount of 25%: <$87,500>
- Less cost of renovation: <$50,000>
- Cash in your hand at closing: $212,000
Many people will see these numbers and automatically think that it is unacceptable.
Let me show you a side-by-side comparison of what you can expect if you do it all yourself.
Would you be surprised to see that the difference between selling your home on your own vs. selling fast to a cash home buyer or an investor with no obligations is only about $20,000?
Now the question to ask yourself is, would you take $20,000 less for hassle free transaction?
As you can see the difference in net proceeds between doing everything yourself ($231,935) or simply selling to an investor and walking away ($212,000) in this example is about $20,000.
If the answer is yes, click the picture below or call us at 800-407-5696.
We’ll provide you with more information on how to sell your home fast and put you in touch with cash home buyers and investors in your area.