Pros and Cons of Selling Your Home to an Investor
So you want to sell your house? Maybe you are facing foreclosure. Maybe you just want to get rid of it fast. Well more than likely you will run into a real estate investor like ourselves here at Sell Homes Fast Texas.
Many of you have probably seen the signs around your town: “We Buy Houses CASH” or “We Buy Houses FAST.” But if you’re like most home sellers, this could be your first experience dealing with investors. Knowledge empowers good decisions, so here are the pros and cons of selling to a real estate investor.
Keep reading to learn more…
PROS of selling a home to a real estate investor
Flexible payment options
Certified funds, cash, pre-scheduled cash payments, and assumption of your existing mortgage payments are available payment methods, among others. Most investors who buy houses fast, including Big State Home
Buyers, are able to pay cash in full at closing, and may also or other services at no out-of-pocket costs.
Selling “as is”
Investors buy homes “as is” in order to flip them. As a seller, that allows you to avoid any costly repairs that would normally be considered your responsibility. If you know you cannot aord to repair or stage your house yourself, then you might consider selling to a real estate investor.
Some investors can close in as little as seven days because the sale of the
property does not rely on approved financing, appraised values or home
inspections. Being able to skip all of these steps speeds up the process.
We regularly close in less than a month, and some other investors offer the same fast service.
No need to move before you sell!
Unlike with a Realtor®, you can negotiate so that you do not have to move out of your home before you sell it. The house does not need to be “show ready” for months on end while waiting for a buyer. When you do find a buyer, you also don’t have to be out of the house until you sign the dotted line. Even then, you can almost always negotiate a lease-back agreement with your buyer, meaning you can have the equity you need out of your home before you move out.
CONS of selling a home to a real estate investor
Selling below market value
Real estate investors are aware of the advantages behind their cash or as well as the risk they assume by purchasing “as is.” The discount in necessary to sell a house quickly and reflects the “price” of a quick sale. Investors also have to pay closing costs, repairs, holding costs, and back taxes, and or enough for you to consider it fair.
To avoid scam artists posing as investors, get the name of the investor and research online to know more about them. Ask for references, and do they look and act like a profession that can and will buy this house. While this is a start, you can actually do a lot yourself to make sure you are working with a credible and reliable company.
Investors do not need a license to buy
It’s true. Because investors aren’t representing a buyer or a seller in the transaction and are only representing themselves, they do not need a license. Some investors are corporations while others are individuals buying and selling on their own. Do not decide on a company to sell your house to without researching them. You can also ask about their experience and credentials, and a reputable buyer will deliver.
We hope this gives some insight as to how we maybe a resource to you and your family.
If you have any questions or are ready to get started, click here to get in contact with one of our representatives.