Selling a house in poor condition? What you need to know

Considering selling a home in poor condition?
Even in the best of times, selling a home is a time consuming, stressful and expensive process. Unfortunately, these problems only increase when you are selling a home in poor condition.

Fortunately, you are not alone. About 38% of the current housing supply was built before 1970 - meaning that these houses withstood at least five decades of decay, abrasion, wind, rain and sun.

If you are thinking of selling a home in poor condition, you have come to the right place. Keep reading for more information on the tips, tricks and key techniques you need to know when selling a home in poor condition.

Is it worth selling a home in poor condition?

Simply put, yes. Every year, thousands of homes are sold as they are, often in poor or really terrible condition. But what does it even mean to sell a house in bad condition or in bad condition?

For some homes, a bad situation can have one or more serious defects in the home, such as structural problems, weather damage, black mold or an active pest plague. However, for most drawings, poor condition tends to indicate something less dramatic - think of cosmetic defects, stained tiles, outdated moldings, peeling paint or a neglected backyard.

To help you determine if you are selling a home in poor condition, we have divided the term “poor condition” into three separate sub-categories.

Completely uninhabitable
In order for your home to be uninhabitable, it will usually have one or more serious safety issues. These topics can include:

Lead or asbestos in place
Exposed or damaged electrical wiring
Serious malfunction in the piping
Black mold
Hard cracks in the foundations

Residential but requires serious repairs
Although they are a step above completely uninhabitable, homes in this category are in dire need of renovation and some repairs. While it may be habitable, an inspector will likely mark some major issues in his report. These topics can include:

   Heating, ventilation, and air conditioning - not good systems
Damaged piping
Defective chimney
Broken light fixtures
Moderate damage to the roof
Cracks in the base
Large rot in wood cladding

Residential but in need of superficial or routine repairs
Common condition, these houses may be with repairs, but they have good foundations and a solid structure. In order for your home to fit into this category, it probably suffers from late repairs and / or delayed maintenance. These topics can include:

Dirty flooring
Untidy landscaping
Slight rot in wood cladding
Improper kitchen space
Dirty faucets
Improper switches or sockets / lack of lighting

What is the most common reason a property fails to sell?

Contrary to popular belief, the most common reason a property fails in a sale is not a bad situation, it is flawed research. If a priced property is too high for local buyers, there is a very good chance it will not be sold.

If you want to prevent a house from standing, you must set a realistic price. This is especially true if you are trying to persuade buyers to put the hard earned deposit into a home with problems If you are having trouble getting an accurate listing price, we recommend that you contact a licensed appraiser or professional real estate agent.

What should not be fixed when selling a house?
selling a house in poor condition

In most cases, there is no need to fix maintenance issues or routine repairs. However, you will not know for sure what is worthwhile and what should not be fixed until you talk to the buyers.

Once a buyer makes an offer, the results of a home inspection before purchase may speed up negotiations on repairs. Alternatively, the buyer may leverage the condition of your home to request a discount on the agreed price.

How do you sell a home that requires major repairs?

You have several options if you want to sell a home that needs major repairs. To make the process as clear as possible, we have listed the three most common ways to bring down a home in very poor condition:

Invest in major repairs

If you are trying to sell a home in a competitive market, you may have no choice but to bite into the money and spend on repairs. While it will rarely make sense to fix everything, investing in some major focused repairs can make a big difference in the tradability of the listing and the buyers' interest.

Focus on cosmetic repairs

Often, you will get more money for your money by spending your money on minor repairs and low-cost cosmetic repairs. For example, if you find it difficult to maintain the interest of buyers as soon as they walk in the door, the problem may be the interior of the house is not attractive. To address this specific problem, you should invest in some low-cost cosmetic repairs - think about renovating air conditioners, repainting the interior wall and replacing outdated fixtures.

Just sell as is

Sellers often consider a deal as it is when they are short on time, money or motivation. When you sell as is, you make it clear that every buyer will have to take on the burden of any major repairs. Please note, however, that you are still required by law to disclose any problem with the home.

Related News Real Estate Entrepreneurs

Responses