Pros and cons of selling to an investor
Looking to sell your house quickly?
It seems like anywhere you go these days, you will see a sign offering to buy your house for cash (although the true pros will have their signs on Facebook). This is one of the most noticeable ways that a real estate investor will advertise to buy. If you’re looking to sell your house, it may be a good option for you, but you will have to look at the pros and cons of selling to an investor.
Advantages of selling to an investor
There are lots of ways to get paid.
When you sell your house with a traditional Realtor®, you will often have a limited set of options for getting paid, but a real estate investor will usually have a lot of ways to pay for your house so you can get your money as soon as possible. Real estate investors will never make an offer on a house contingent on financing or the sale of another property. Investors make their money by closing deals quickly. In many cases, investors will have the ability to buy your house for cash, or other financing options that won’t be subject to traditional mortgage delays. This can be a great option for owners who need to sell a house that may need significant repairs. Sometimes these repairs will prevent a traditional mortgage lender from approving a home loan.
They often buy houses as they are.
When you sell your house through a Realtor®, you have to make sure that the house is ready to pass inspection. Traditional buyers will also expect to be able to move into the home as soon as the contract has closed, so they’ll want repairs to be made prior to closing day. Real estate investors on the other hand, aren’t looking for properties that are move-in ready, and are often times more interested in the potential value of the home.
This gives us some flexibility when it comes to inspections and repairs. This is great news for sellers who have some issues to fix with the house. If you’re concerned that your home won’t pass inspection, then you should seriously consider selling to a local investor. Chances are you’ll actually end up getting more for your home than if you tried to cover the cost of repairs out of pocket.
Make the sale quickly.
Real estate investors are not interested in spending too much time on the sale. They want to get the deal done as quickly as possible. Look for them to close the deal within a week or two. One of the main benefits of selling to an investor is the speed in which they can close. If investors aren’t reliant on mortgage approval or inspection reports, then they’re able to close the deal much faster than a traditional buyer. Provided there aren’t any issues with the title of the home, you should expect to get a home sold to an investor in the fraction of the time of a traditional closing.
One of the biggest advantages to selling to an investor is the ability to avoid foreclosure. If you’re behind on mortgage payments, and are at risk for foreclosure, you may not be able to sell in time. Don’t risk destroying your credit with a foreclosure. If selling to an investor is an option for you, then you should definitely give us a call. There is absolutely no obligation to talking with us about your home, and we might be able to save you from a financial nightmare.
If you’re looking to sell your home quickly and hassle free, then give us a call at (214) 643-8755 today.
Disadvantages (sort of)
You don’t know why they’re looking to buy your house.
Someone acting as a real estate investor does not have to be an actual Realtor. They can be looking to purchase a house for themselves or a number of other investment related reasons. You will probably never know who ended up with your house. This of course isn’t to say that an investor will buy your home and do something you don’t like, but selling to an investor is not like a traditional real estate transaction. Chances are, it will be remodeled and sold or rented out to new tenants, but you’ll most likely never know who ended up buying your home. This may not sound like a big deal to most, but to some people it matters. Not a big disadvantage, but we want to be as transparent as possible.
They might be a scam artist.
It’s sad to say, but there are plenty of people who are looking to take advantage of people. The real estate industry is no different. Make sure you know the people you’re dealing with as well as understand the contract terms before you sign anything. When you sell your home to Browder Property Investments, LLC, you know that you’re dealing with experienced real estate professionals. We are never willing to compromise our reputation to make an extra buck on a deal. We will never pressure you into a contract you’re not comfortable with. Long-term success comes from building a solid foundation of trust and honesty. High-pressure sales tactics will never be a part of our playbook.
You might sell below the market value.
A Realtor has an interest in helping you get the most money out of your house because they get a commission on the sale, but a real estate investor is interested in getting your house for as little as possible. This can be a double-edged sword though. On one hand, you can look at what homes in your area getting, but be mindful of repair costs. If your home needs $25,000 worth of foundation work, then you can’t use area comps that are based on move-in ready homes.
The benefit of selling a home to an investor is that they’re willing to buy homes regardless of condition. This doesn’t mean you should accept a low-ball offer, but be mindful of why you’re looking for a quick sale. We promise not to have unrealistic expectations with our offer, as long as you try to do the same. At the end of the day, the best deals are those that don’t leave either party feeling like they came out on the losing end. We want everyone we work with to be able to confidently recommend us to friends and family.
Are you ready to sell your house?
If you’re looking to sell your house quickly, then a real estate investor may be the best option for you. Make sure that you do your research to make sure you get what you deserve.