A house can be sold through different channels – which may or may not be available at the time you put your property on the market. A house is an immovable property and selling the asset entails quite a few legal hoops. As a property owner, you would like to sell the property for the best price and as quickly as possible. But those two don’t always go together. You either have to wait to sell your house for the best price, or sell the house quickly at a marginal discount. There are several reasons why you may want to sell a house quickly – such as a sudden job change or transfer to another city, financial crunch in the family, etc. Detailed in this article are the reasons why you must sell your property to a real estate investor.
Intro to a Real Estate Investor
A real estate investor is a professional who deals with transactions involving residential or commercial properties. There are different types of real estate investors flippers, buyholdflip investor, buy and hold investor, and wholesaler. A real estate investor usually looks for properties that are in worn-down, but salvageable condition. Flippers usually look for commercial or residential properties situated in towns that are expected to develop and see an appreciation in land value going forward.
Benefits of Selling a Property to a Real Estate Investor
Not everyone is in a hurry to sell their house. But if you are, then it is extremely handy to have a buyer who can buy your property quickly. Invariably, offers from real estate investors start pouring in within a day or two after you put the property on the market. An investor would typically visit your property, examine its state, and offer a buying price on the spot. When you’re selling a property through a realtor, you cannot expect such levels of steadfastness.
Investors do not have to draw a mortgage or get a bank loan approval to buy your property. Generally, the seller receives cash right away, as soon as the house is officially sold. Such speedy transactions are hard to come by when you’re dealing with a standard buyer. There are also instances when the payment could be done in advance, especially if the investor is quite keen on buying the property and doesn’t want it to slip through his hands. The sale closure could take a month, but it’s usually much quicker. The speed with which you get the sale done may depend on your location and the particular investor you’re dealing with.
No Additional Costs
When selling a property to an investor, you are directly dealing with him. There is no middleman or realtor in the picture. This means you need not put up with any commission cuts. Also there aren’t any hidden costs or charges.
No Repairs Needed
When selling a house to the end user or through a realtor, you may have to prep your house quite a bit to make your house an attractive proposition or just to get buyers interested. In fact, it’s quite difficult to sell a dilapidated house to a standard buyer. Fortunately, repairs and updates could get you sailing. But what if you don’t have the time or funds for repairs? What if you have no option but to sell the house in its present condition? Fortunately, an investor won’t mind buying your house irrespective of the physical state it is in.
As a buyer, this is quite a relief. However, the price that your house fetches would depend on the condition it is in. If it’s in an extremely bad condition, the investor could reduce his offer price significantly since he would have to spend money out of his own pocket later on to get the house back on its feet.
Thanks to the quick sales process, a homeowner can avoid a foreclosure. A foreclosure is nothing but the legal action a bank resorts to when the homeowner defaults on or is unable to keep up with his mortgage payments. To make up for the lost monthly payments andor if the bank feels the property owner isn’t financially stable enough to make mortgage payments going forward, the bank would put the property on the market without considering the buyer’s thoughts about it. The bank takes home the money the home owner owes to the bank and lets the property owner keep what remains.
Why is foreclosure not ideal for a homeowner? With a foreclosure, a bank is basically trying to recoup its money and is not keen on making a profit for the homeowner or itself. It puts the property on the market for almost throwaway prices to attract as many potential buyers possible. In fact, quite a few potential buyers keep their house-buying plans on the back-burner till a foreclosure offer pops up. Long story short, a foreclosure benefits the financial institution and the buyer but not necessarily the property owner.
Since a real estate investor buys a property almost in a jiffy, a homeowner need not wait until a foreclosure to sell his property and clear his mortgage commitments. Kindly note your house would always fetch more money from a real estate investor than through a foreclosure.
A real estate investor isn’t your ideal buyer at all times. If you are not in a hurry to sell your property and don’t mind waiting weeks or months to get the sale through, you can most certainly deal with more conventional buyers. However, if you are in a hurry to sell your house and don’t have the time or energy to put up with inspections, approvals, multiple costs, bank approvals, etc. a real estate investor is your best bet. We buy houses in Elmwood Village, Buffalo (We Buy Houses Elmwood Village). If you live in Elmwood Village or own a property in the region and would like to sell it quickly, we would not mind buying it. Besides wrapping up the procedure quickly, we would offer the best possible price for your house.