Selling A House For Fast Cash: As-Is Vs. Fix It Up
When you drive around your community and see “sold” signs on every other house, you can feel pressured to selling the house fast cash and finally make that big life change. But then you remember all the fixes and renovations that need to be done before you can offer your house, and you start to wonder: what if I just don’t do any of it and list the house “as is?”
What Does “As Is” Mean?
When you sell a home “as is,” you’re telling the buyer that they’re buying it in its existing condition without any repairs being made. The seller will not make any repairs or provide any credits even if a house inspector finds major problems, such as a cracked foundation or a roof that is soon to collapse.
Which is Better: Selling A House For Fast Cash: As-Is Vs. Fix It Up
As time passes in a home, it’s easy to neglect some of the upkeep tasks that need to be completed. It’s human nature to forget about little repairs like touching up the paint or patching a hole, but what do you do when it’s time to sell and you realize you should have? How about selling it “as is” or investing in repairs? Renovating a house before putting it on the market is typically a better strategy. Most homebuyers will be more interested in purchasing a property that has been recently updated and is in good repair. However, if you’re in a hurry to move out of your home for personal or financial reasons, you can sell it as-is and save the cost of making any repairs. Foreclosure can be avoided, for instance, if you sell your home “as is.” In this case, it’s preferable to forego some profit in order to avoid foreclosure. However, if you are not dealing with an emergency, the decision of whether or not your house needs repairs before being listed might be more delicate. If you are unclear as to whether or not your house is marketable in its current condition, visiting any open houses in the area is a great idea. If every other home in the neighborhood has updated bathrooms and kitchens, yours will have a harder time selling if you don’t do the same.
Do Buyers Want “As Is” Listings?
Poor-condition houses don’t normally sell for a high price because they don’t appeal to the average buyer. Let’s be honest: few people buying their first house are interested in a project. However, there are plenty of buyers out there who will take your house off your hands. Flippers are always on the lookout for run-down homes that can be purchased at a discount and subsequently renovated for a profit. Many local investors may be interested in purchasing your home if the necessary repairs are simple but beyond your capabilities. Homes offered “as is” are more amenable to remodeling, so you could attract a buyer looking for a project. Some ordinary homebuyers, like speculators, will pay a premium for the opportunity to acquire a property with a solid internal structure despite an unsightly external appearance. Rather than starting from scratch, they can have the house of their dreams by tearing down a few walls, modernizing the kitchen, perhaps adding a bathroom, and replacing the lighting.