Why Sell to a Real Estate Investor?
Sometimes people ask me this question, “why should I sell to a real estate investor?”. Well, really, the answer is simple – it’s easy, convenient, and gives the home owner a significant amount of flexibility in a deal. Let’s break down what I think are the clear advantages of selling to a real estate investor.
Not everyone wants to pay around a 6% commission to their seller and buyers agencies. I mean, that can come out to a big chunk of change. How can you get around that? You can either lower the costs by selling the property yourself and acting as your own representative. But then again, that opens it’s own bag of worms and headaches. First comes the question, which may be, “how do I do this myself?”, “who do I have to talk to?”, “how much do I have to pay and who do I have to pay?”. It’s do-able, but not fun.
Another option, sell to a real estate investor
Selling to a real estate investor is extremely easy and they want to make it as easy for you as they do for them. No fee’s, no complicated questions, nothing you have to figure out or setup when it comes to closing questions, just conversation and the basics. Many of the times you can walk away selling your house paying $0.00 out of pocket and this to some people is their best option at the time of selling. The important thing is to find an honest, reliable, and fair investor who gives you a fair offer.
Selling “As Is”
Do you have or own a property that needs a significant amount of work. Like, the amount of work that makes you cringe just thinking about it. You walk in, the walls are coming down, floors are creaking, electrical isn’t working, plumbing problems, leaks, etc. You think to yourself, I need to sell my house fast. Well, who is going to buy it? Most prospective home buyers do not want to deal with a house like that which immediately affects the marketability of the house.
Here is how a typical transaction like this goes, leaving the original seller agitated, annoyed and often times feeling helpless.
1. Need to sell the house and there is a certain number you have in mind. Let’s say $210,000.
2. You find a real estate agent, have the house listed in it’s rough condition for the price of $210,000.
3. It hits the market and you get some leads in the door. Most walk in, realize the amount of work that’s needed and decide that this house is not right for them. They begin crunching numbers and thinking to themselves, “if we move in, we will need to update this, that, this, etc”, essentially talking themselves out of the purchase.
4. The house stays on the market for another 90 days, passing three more Principal and Interest payments and now it’s lost in the dark hole of properties that are over 90 days of Days on Market (DOM).
5. Finally you have someone that see’s the property and decides they want to purchase the property, but only at a discount. At this point your motivated, want out and decide to negotiate more than you would’ve thought.
6. The house ends up selling at $185,000 and you walk away with an average of $173,000 after commissions and fees.
To rid yourself of all the headache, stress, and time, there are instances where selling to a real estate investor makes sense for the perspective seller. Investors expect houses to have work in them and they are experienced with these types of properties and never shy away from visiting or examining each property for what it’s worth. If your selling an “as is” type property, need to get it off your hands quickly, easily, you may want to speak with a local investor.
You need to close FAST
You have no options, you just got a job or a family emergency calls that is forcing you to leave your home and time is of the essence. In this case, real estate investors will be your best friend. No need for listing agents or brokers, an investor can usually get deals done fast and within the time period that you determine. This goes back to the idea that working with a real estate investor does give the home owner a good amount of flexibility and to some home owners, that’s exactly what they need.
Find a good investor, an honest one, and given your circumstances and the right conditions, it may be your best option for selling your property.
By filling out our form on the S&C Homebuyers website, you can get the process started simply and easily! Or for a Free Consultation on your house call or write S&C Homebuyers today at 413-314-3583 or SellToSC@sc-homebuyers.com.