Should You Make Repairs On Your House or Sell ‘As Is’?
As you prepare to sell a house, a good preparation, amongst other factors, is key in getting buyers to like your property. Repairs can take a huge chunk of your money—which may not be readily available. On the other hand, repairs, renovations, and improving the curb appeal of your house can result in getting more buyers or increase the value of your home.
Selling your home ‘as is’ is an option you can explore. It can reduce the burden of repairs and other preparations needed to make your home ready. Buyers who are willing to purchase homes ‘as is’ offer a welcome relief to sellers.
In this article, we’ll explore whether it’s a better option to make repairs before putting up a house for sale, or whether it’s better to sell it ‘as is.’
Home Repairs Are Expensive
If the home is not in a good condition, you need to make repairs and improvements to make it more appealing. Repairs could include changing the plumbing system, improving the ventilation system, re-doing the outdoor area, and/or changing the roofing.
This can involve building contractors, applying for an alteration license, construction materials, and acquisition of new appliances. This can be a costly affair which may not be feasible in your financial position.
There’s also the likelihood of not getting a return on your investment for repairs. If you don’t get the job done before seasonal market (or seller’s market), your investment could have been in vain.
Instead, work with ‘as is’ buyers like Leave the Key Homebuyers to bypass the financial burden and uncertainties associated with making repairs.
Taking Advantage Of The Seller’s Market
In real estate, a ‘seller’s market’ is when conditions are favorable to homeowners who want to sell their houses. For example, there may be a high demand for houses, but few sellers of houses. As mentioned above, investing in repairs may result in you missing these favorable market conditions.
Spring, for instance, is one of the best times to sell a home because of weather conditions that support a good curb appeal. During spring, there are longer and warmer days, and this offers buyers an opportunity to view as many properties as possible.
Many buyers are investors willing to buy homes ‘as is.’ You can approach them to take advantage of better prices and quick sales associated with the season.
In a distress situation, there may be pressing financial issues that require your urgent attention. They may range from medical emergencies, looming home foreclosure, bills, or the urgency to acquire a new home elsewhere.
Companies like Nexus Homebuyers purchase homes ‘as is’ and can offer you much needed quick cash. Before working with a buying company, always look for independent online reviews or word-of-mouth recommendations to determine their suitability and reputation.
Selling ‘As Is’ Reduces the Burden of Formalities
Selling homes involves an exhausting process that involves dealing with various parties to make the deal go through. You will need to deal with a photographer, repair contractor, legal practitioner, marketing experts, and different prospective buyers.
Dealing with these parties can involve setting up meetings, traveling, and using finances which can be draining overall. But reputable ‘as is’ buyers have few requirements, and this option requires simple steps.
If you work with a reputable buying company, you will eliminate dealing with many formalities, which can prove difficult and time consuming.
Selling ‘As Is’ Gives Room for Negotiation
By selling your house ‘as is’, you offer your prospective buyers more room to negotiate a reasonable price. This is beneficial for both you and them; because you get to sell your house without investing in repairs and missing out on the seasonal market, and they get to spend a little less money than they bargained for.
Dealing with a reputable ‘as is’ buyer company gives you negotiating power, too. Such negotiations are based on the following aspects:
- Expected Repairs: it’s important to conduct an inspection before selling your house ‘as is’. The inspection report will form a basis to set the price and to negotiate from an objective angle.
- The Initial Offer: it’s common for cash buyers to give you an indicative offer based on preliminary details—for example, pictures, description, location, and size of the home—given upon inquiry. Such an offer can be negotiated downwards after a site visit. But keep your options open and keep in mind that the buyer will expect reasonable price, because they’ll need to invest further in repairs.
The decision to make repairs or to sell your house ‘as is’ depends on your personal circumstances. Sit down with your partner and discuss your situation and goals before making a final decision.
Selling a house ‘as is’ eliminates the need to do extensive repairs or deal with multiple parties and formalities during the transaction. Overall, selling your home ‘as is’ improves the speed, reduces the cost, and the stress involved when selling a house.