Posted on July 29, 2018 by allisonreeves
You have a house you have been in for a bit, or has been in your possession for a while—but do need to sell a house that needs repairs? As years have gone on, you did minor repairs but now it’s time to sell… And man, this place could use some work! The question is, how do you sell a house that needs repairs?
What do you fix and what do you let slide by? We are going to cover what repairs should be taken care of and how to sell a house as is.
Before Your Start Thinking About Selling a House that Needs Repairs
Evaluate the market in the area. For example… you may not need to put granite counter tops in that 5th ward property you have been trying to sell. Make repairs that makes the most sense and put your home in an appropriate price point for the area. What amenities do other houses in the area have? If you have a realtor, don’t be afraid to ask for their input and experience on what is typical for the area and how you can stand out without being unreasonable or overzealous.
Be aware that it’s not always about fixing everything that is broken; it’s about making the biggest impact especially in the eyes of a buyer. Use discretion when making repairs and do your own due diligence.
Selling a House That Needs Repair As-Is
Here’s the good news: You don’t actually have to do anything at all! If you need to sell a house that needs repairs, many investors will buy a property as-is. Selling as is requires only one thing- the right price. If the home is damaged beyond the point of repairs being feasible for you to get done with your time and funds, this could be a great option. The right price can cause a feeding frenzy among investors and the house can fly off the market.
Downsides exist for selling as is, with all the benefits. Selling “as-is” can come with a negative connotation and negatively bias the buyer. Buyers may also try to low-ball you. You will likely attract fewer buyers and convincing the interested ones why your property is worth paying for.
Minor Repair, Maximum Benefit for Selling
The intermediate option is to do minor repairs and give the buyer some room to be imaginative. There are actually buyers out there who prefer a fixer upper to be able to put their signature on the home and customize it a bit.
There are some repairs that need to be made, or a home will have a hard time finding a family. For example, a new roof is usually too much for a home buyer to consider when looking at a fixer upper.
If you decide to take the middle road, make sure you cover these repairs that impact buyers greatly but don’t break the bank: patch holes in the walls, use neutral paint to “clean” up a bit, replace broken hardware, fix the roof (definitely the most expensive on this list, but well worth the investment), amending code violations, replacing broken glass, and repairing appliances.
Summary: Sell a House That Needs Repairs
The best way to attract the most buyers with a modest pocket is to go the route of minor repairs, but the damage might be unmanageable by anyone other than a serious flipper or contractor. Weigh your options, use your realtors experience and do what makes sense for you!