Usually, when a homeowner puts his house up for sale, he needs cash for a specific purpose (job relocation, divorce, death and etc.). Although the need for cash is immediate, the process of selling a house isn’t something that can be achieved overnight. Despite this, a homeowner still has a few options to close a sale quickly. Instead of hiring a real estate agent, homeowners should look into selling to an investor for the following reasons:
A well-known advantage of selling to an investor is that repairing the house can be skipped. This is referred to as “selling as-is”. The meaning of this term will depend on the seller and the investor’s agreement but, commonly, it means that the investor will buy the house in its current state. Sometimes, investors even purchase houses they haven’t physically seen. For a seller, it is to your advantage since the money needed to do repairs can now be extra cash in your pocket.
The usual process of having to wait for a good offer to be made doesn’t happen with seller-investor deals. Once an investor sees that everything is in order, he’ll be able to make an offer in 48 hours or less. Investors also don’t have to wait for financing approval as they often purchase in cash. For a seller to get an offer this quick means that he’ll have cash in his pocket quickly. He’ll also be able to spend the money for the purpose he intended for it.
Of course, the worst thing that could happen in foreclosure is a homeowner (and his family) loses the home. Selling a house to an investor will not affect your credit score and could help to avoid foreclosure. It may also mean that you might have some cash left to use towards other things e.g., rent deposit for an apartment.
When selling your house with a realtor, you have to pay commission for their service. With an investor, however, no commissions are involved. The amount that the seller and investor agree upon is the amount that’s going to be released on the date that the sale is closed.
The bottom line is selling to an investor is effective when you are in urgent need of cash for your house. With this decision, you’ll have less of a hassle, the close will be quicker, you can avoid credit damage when foreclosure is eminent and you don’t have to worry about commission costs and fees. This is why it’s beneficial to work with an investor in selling your house. The most important benefit to remember, in this case, is that you’ll have money in your pocket quicker. You’ll be able to allot it towards your bills, mortgages or you and your family’s needs.
Gold Path Real Estate is an experienced residential real estate investment company in the Twin Cities. Need some advice on your specific situation? Call today at 612-758-0071.