How to sell a house with damages?
Selling a house with damages doesn’t mean you have to accept any low-ball price that comes your way. Damaged property is still sellable property, which means there are many ways to maximize its value despite the damage. Here are a few things to know about selling a damaged house.
Know What Type of Damage You’re Dealing With
Various types of things can represent damage to a home. Clear and obvious damage, such as from fire, or flooding will stand out. More subtle damage, such as from insects, rot, and bad pipes can also exponentially lower the value of a home.
It’s your job to find and disclose all the damage to the house. Knowing what you’re dealing with can give you a better understanding of how to proceed with the sale. Disclosing all the proper information will keep you on the right side of the law. Disclosure will also help attract potential buyers who are serious about the property.
The best way to figure out everything wrong is to order an inspection. That inspection can help you make a better decision and ease the worries of potential buyers. Additionally, the inspection can give you more room to find potential buyers who will bid knowing precisely what they’re getting into.
Know If You Should Fix Defects or Sell As-Is
Not all defects represent extreme home damages. Once you know the full extent of the damage, you can start to look at potential costs for dealing with it. If you have to fix some piping issues or replace a small section of the home, it may be worth it.
Compare the costs and time it takes to make the repairs to the potential selling price you can ask for after the repairs. If the cost to repair or replace isn’t feasible, then you may find it better to just sell the property as-is.
Even with mild damage, selling as-is can still help you realize a profit. A small fire in a single room won’t severely lower the value of a home. This means an as-is offer can still come close to a good asking price.
A foundation repair and replacing some appliances can convert a house with damages into a property someone will want to pay full price for. However, fire damage can require remediation and structural repairs that send costs skyrocketing.
Know How to Leverage the Value of a Damaged Home
A big mistake many homeowners make concerning damaged properties is to only try traditional routes of selling it. Some investors will skip over certain types of damaged homes altogether. The pool of potential buyers starts off smaller than you would probably like. You need to expand that pool.
Remember, your house is typically more than just the structure. When attempting to sell it, consider the types of buyers that will want such a property. In this way, you can cater to a specific niche. For example, there are people out there that love a challenge and have no issues with purchasing a fixer-upper or contractor special.
Many investors who like flipping properties will gladly jump at the chance to do all the work when it comes to repairing the house for resale. Additionally, some buyers may have an eye for the land the house sits on, rather than the house itself. These people will often just demolish the home anyway so they can build what they want, so damage isn’t always an issue for them.
The point is, where one person sees a house with damages, another person may see an opportunity. These are the potential buyers you want to court.
Know What to Expect When You’re Selling
The truth is, people will rarely ever recoup the full market value of a house with damages. This means you need to keep your expectations in check. You might balk at what you personally consider a low-ball offer, without realizing that what you’re seeing is a legitimately good offer for the damaged property.
Do your research so you can recognize when a good offer comes your way. You can also start immediately and save time, money, and effort by requesting a cash offer for your home, as-is, from Sell House Fast.