You have an old house you want to sell, but it needs work. What can you do?
Most real estate agents suggest that you repair and renovate your home before it even hits the market. But not everyone has the time and money to do so. Luckily, there are other options available.
Why Is It So Hard to Sell an Old House?
First, there’s the market. Most people don’t want to buy an old house. In fact, most people expect homes to be fully modernized. Buyers want a new HVAC system and water heater. They don’t just want a solid roof and foundation, they also want updated colors, fixtures, and styles. People go into a home wanting it to be perfect, and most of them don’t want to do significant renovations and repairs, especially if they’re going to be moving in shortly.
Second, there’s lenders. If there’s anything wrong with your home that would make it not habitable, a mortgage company isn’t going to lend the money to buy it. Even if it is habitable, the lender will require an appraisal, and you may not get much for a property with serious problems.
Old houses tend to have a lot of issues to repair, both structural and simply cosmetic. Most people don’t have the money to repair their old houses, so they languish on the market.
Should You Repair an Old House?
Consider it this way. You could have a property worth $120,000 and put in $60,000 of repairs. But those $60,000 of repairs may only ensure that you can sell it for $120,000.
Homeowners run into a few issues when they try to repair their houses:
- It’s a huge up-front cost. A lot of people just don’t have that kind of cash lying around.
- It often costs more than it brings in (the expense of the repairs doesn’t increase the house price as much as the expense itself).
- It’s extremely disruptive. You have to move out to complete most repairs.
- It’s time consuming. That’s time spent still paying a mortgage or property taxes.
- It can go wrong. Sometimes the problems in a home can be more serious than they seemed, or they can be worsened.
Plus, even if you do repair your home, there’s really no guarantee that someone will be interested in it. You will still need to renovate and update it “to market standards,” which can require knowledge of current design trends.
In short, most homeowners will lose money if they try to make repairs on an old house. It’s easy to start with updates to fixtures and end up finding out that your entire home needs to be rewired to be under code. Still, many people do it because they think it’s their only option.
Realistically, the only reasons you should repair an old house are if the repairs are fairly minor or if there are repairs you’re competent enough to do on your own.
Selling a House to a Cash Buyer
What’s the solution if you don’t have the money, time, or inclination to repair your old house? Cash home buyers.
Cash home buyers are able to make a cash offer on your property as is. Because they aren’t working with a lender, they don’t need an appraisal or permission. Even better, they can release the funds to you within days rather than weeks or months, letting you move on to your new forever home.
Cash home buyers are real estate investors who look for properties to repair and recondition. Because they are professionals, they can renovate and repair old homes at a fraction of the cost of other renovation companies. And because they are such experts at renovating, they are also able to offer you a fair value for your home, renovate it, and still make a profit.
You can sell a home to a cash home buyer quickly. All they need is a quick look around the home, and then they’ll provide you with a no-obligation quote that you can choose to accept or decline. Cash home buying companies are flexible. Even if you can’t move out right now, you can still make a deal.
At Geaux Home Buyers, we don’t care if your home is old, ugly, or just outdated. We can renovate and repair with the best of them. All we need is your call. Contact us today to schedule a walkthrough pf your Baton Rouge house and find out how much we can offer for your home.