As the trend of flipping houses is becoming more prevalent, fixer-uppers are no longer taboo on the housing market. If a prospective buyer is willing to make the investment, then there is plenty of potential for a quick and successful sale. However, not every house in that state is going to find someone who wants to be responsible for a multitude of changes right after they buy a house. Therefore, before listing your house as a “fixer-upper”, make sure you cover all your bases and know what you need to do to make the sale successful.
According to multiple real estate websites, a fixer-upper can include houses that are in need of maintenance to those that are not yet ready for residence. This is a large span, and therefore when listing your house for sale, it would be best to be more specific rather than lean towards the more general terms. Save buyers a trip if they are uninterested in replacing the hardwood floors or repainting every room, and have a contractor’s report on hand to provide to the potential new owner. When selling a house as is, fixer-upper or not, it might be more beneficial to take certain steps in order to provide as much information as possible. In addition to the contractor’s report, this include an exterminator’s check for termite damage, an official home inspector’s review, and a couple different appraisals of the property to be sure it is being listed in the correct price range. All of these together will paint a more cohesive picture for the potential buyer of what they have in store before they place a bid.
All of the reports listed in the last paragraph do in fact put a financial strain on you as the current owner. However, houses are sold based on appearance most of all. If someone walks into your house and paint is peeling, there is obvious wood rotting in the deck, and appliances are calling out to be replaced, that is not going to bring a lot of hope that the house will sell like that. When you sit down for negotiations regarding selling a house as is, consider how much work is required for the house to be restored to its best condition. When you are first considering listing your house in this condition, you should be asking yourself, “What is the value of my home?” This will help determine how much you should adjust the price for concessions so that the new owners can make the adjustments they want without too much financial strain. There are two ways you can take steps to selling a house as a fixer-upper. The first is to lower the price and let the new owners make the changes to their taste. This means less work on your part, but most likely also a lower sale price overall. The second is to make the repairs or updates yourself prior to listing, which might allow you to list the house at a higher price (or a more expected price, considering the extent of the changes). All of this depends on the time, money, and effort you want to invest in this process.
It’s going to be harder selling a house as is in the winter. Can you imagine moving into a house in December and having to deal with a lack of insulation, or fixing the deck when it’s freezing out? Fixer-uppers are going to sell much better in the spring and summer (also the normal high points for sellers in the real estate market) when people have more time and better weather to commit to these projects. Keep an eye on neighborhood sales, and also see what condition they are selling in. If you are the only fixer-upper in a neighborhood of homes in perfect condition, there’s a good chance you’ll have a harder time selling without doing at least some of the renovations prior to listing. A buyer likes to see that the owner has taken the initiative to make their house presentable, so even if you are selling as is, always try to spruce up the place as much as possible and accentuate the positives. Every house is sellable, and there is a buyer for every house. All you have to do now is connect with the right agent to help make that sale a success.
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