Thinking about selling to an investor but worried if it’s the right decision?
You might find it a bit hard to make a choice between fixing up your house to sell on your own, listing with a real estate agent, or just to sell as-is to a cash buyer.
If you have listed your house or property for sale then it’s possible that someone has told you about selling your home to an investor. Chances are you may have been approached already by an investor interested in your house. Many investors are not just out to buy your house for pennies on the dollar, in fact, many times they want to help you get the best win-win scenario possible.
While we’re a bit biased, there are 7 key reasons sell house fast Miami may make perfect sense for you and your situation.
When selling to an investor makes sense:
1. Skip repairs and sell your house as-is.
When planning to sell a house, repairs can be very costly and sometimes you may not have the money or the time. Most realtors list houses in the best conditions and if yours is not in optimal shape, its price may drop significantly.
Selling to an investor helps you avoid this entirely, as the investor is always ready to take up the house as it is. Why? Because they typically buy the house with the intent of fixing it up themselves to resell or rent it out. If you’ve ever watched those house flipping shows on TV, this is exactly what we mean.
Therefore, helping you avoid any overhead costs that you might have to incur in by repairing your house before selling on your own.
2. Cash is king.
There’s nothing like cold hard cash or as they say, cash is king. Most investors looking for properties to buy usually have ready cash. Therefore, if you have an investor willing to buy your house, chances are they are able to pay full in cash, completely eliminating the need to wait for loan approvals, appraisals, and traditional processes.
Cash is more enticing now in the real estate market keeping in mind the financial restrictions in place after the last mortgage crisis.
By selling to an investor and receiving your money in one lump-sum payment, it can help you find another house if you were looking for a new place or take care of any other things you need with the cash.
3. Faster closings.
With cash offers, you also get faster closings. If you’re looking to sell your house within a short time period, then selling to an investor is your best option. There are fewer bureaucracies involved when selling your property to an investor as compared to when selling it traditional such as with a Realtor.
A well-orchestrated sale to an investor may take as little as 7 days for the deal to be closed. This is very convenient for those situations where you need cash faster. Maybe you’re in a tough spot and need cash (you have your reasons). If so, this is the best option for you.
4. Get out of your mortgage.
If you’re stuck in a 30-year mortgage, having trouble paying, or simply want to get out to move somewhere else, selling to an investor can be a great option. In most cases, the cash transaction can wipe out the mortgage entirely.
If not, most investors are willing to take over the mortgage on your property. During the selling process, the investor will transfer your mortgage to them or have some other creative options for you. This will give you a chance to get another mortgage if you looking to buy another house.
This can be a great option if you want to get out of a mortgage and why selling to an investor is preferred.
5. You get to stay in your house longer.
Selling to an investor means that you don’t have to move out of your house before you actually sell it. In many cases, Realtors may require you to move out of your house so that repairs can be done and staging prepared so that viewings can be arranged with prospective buyers.
This can be quite an inconvenience if you do not yet have a place to go or in tough family situations. When dealing with an investor you only move out after the sale is completed and you might also get a grace period to look for another place.
6. You need flexibility.
If you need to sell your house in an awkward situation, investors typically can be more flexible than selling the traditional route. An example might be if you own a property that is rented with tenants in it, you may be able to sell the property without having to remove the tenants first.
Other situations like divorce or inheriting a house with a family that involves multiple decision makers, having an investor purchase your house outright can be a better option since most traditional buyers won’t want to wait for the “drama” to play out.
7. Save on commissions.
When selling your house the traditional route, typically you have to list it with a real estate agent. This usually involves giving up at least 3-6% of your home’s equity in order for the agent to make their commission. On a $200,000 house that is $6,000-$12,000 that could otherwise go in your pocket.
Many times, homeowners think they are getting a low-ball offer from an investor but when you calculate all the selling costs such as repairs, fees, and commissions involved with selling through a Realtor, often times you the homeowner can walk away with a lot more.
At the end of the day always do what’s best for you. We just wanted to crush the misconceptions of selling to an investor as a scary thing. Not all investors are “out to get you” or take your property from you.
Factoring in things like not having to do repairs or move out to sell the house; you are actually getting a better deal in many cases.
We hope this helps, and if you have any questions feel free to contact us for advice.