Are you thinking about selling your house to a local home buyer?
If you are a homeowner in , you have several options for selling a property; including listing on the MLS with a Realtor, a flat-fee listing service, you can sell to someone you know, or use a “For Sale By Owner” website.
Another option Sellers use are local home buyers. Homeowners make this choice when they want a fast sale, don’t want to do any renovations or maintenance, or don’t want to pay real estate agent commissions or fees. Also, these transactions can help when a Seller wants to avoid the uncertainty of inspections and appraisals of a traditional sale, or they want to avoid Buyers coming through the home for confidentiality or health concerns.
Selling to an real estate buyer can be quick and profitable for you. But, it’s important to know how investors operate and to ensure you are working with a trustworthy professional. Learn more about selling to a real estate investor below!
What’s the Difference between Real Estate Investors & Local Home Buyers?
Most local home buyers are real estate investors, however, not all real estate investors are local home buyers. Real estate investors might include iBuyers, Hedge Funds, REIT’s or other type of buyers. Local home buyers usually live and work in the area you are trying to sell your home. They are concerned about the numbers just like other investors but, they are also concerned with their community and maintaining a solid local reputation. In a large corporate transaction, your home sale is just another line on the calendar and the numbers better make sense. A good local home buyer will be concerned with helping you overcome the situation you are facing and won’t walk away from the deal.
Advantages of selling to a local home buyer
- Market Knowledge – Local Home Buyer’s know and understand the market. They can compare your property with similar comparable units and accurately evaluate repair costs
- Quick Offer – Market knowledge and access to contractors means a local investor can quickly evaluate your property and provide you with an offer, usually within a day or so.
- No Fees – When you sell to a local home buyer, you avoid Agent Commissions, Closing Contributions, Home Warranties, Termite Bonds, Transaction Fees and more. All the numbers are up front and easy for you to understand.
- Sell As-Is – Local home buyers use cash so they aren’t restricted by the banks on property condition. Sell your house without maintenance, updating, renovating, repairing, cleaning or staging. In some circumstances, you might be able to sell with a tenant in the property.
- Choose your Closing – Whether you need to sell immediately or need the guarantee of a future closing date, reputable local home buyers can let you set the date. You might even be able to move out after the closing once you have cash in your hands!
- Protection – Keep an endless string of buyers out of your property to protect your privacy and confidentiality. Avoid exposing your home to vandalism, theft, squatters or disease.
- Options – Local home buyers have multiple ways to buy your property. Experience and creativity allow them to structure deals you can’t create with a traditional listing. Flexibility can create a win-win transaction for everyone!
Disadvantages of selling to a local home buyer
Selling to a local home buyer isn’t for everyone. Homeowners sell to real estate investors for two primary reasons: Convenience and Speed. The discount for convenience and speed is price. Real estate investors make their money by taking the risk on property condition and future real estate market prices. An owner occupant buyer might pay more for your property if the home can qualify for financing or if the property suits what they are looking for.
Hard to Sell Property
Rough conditions can make your property difficult to sell and cause major stress. You may have even listed your home on the MLS and had buyer’s back out of offers. This is where local home buyers create convenience, most investors specialize in closing hard to sell properties.
Sellers dealing with the following life situations may have difficulty selling their home with a traditional listing.
Financial Hardship – Some of the many financial circumstances include; Foreclosure, Short Sale, Loss of Income, Bankruptcy, Tax Liens, etc. Often these situations present a very limited time to close a deal and get out from under the financial burden. Home Buyers can close fast and often save these situations from getting worse. Often, an agent listing on the MLS won’t move fast enough to help. This is where the speed of a real estate investor offer helps!
Property Condition – Delayed maintenance issues, lack of updates, unfinished renovation projects and code violations are common culprits of hard to sell properties. Often times, a prospective buyer can’t get bank financing to cover the repair items or they don’t have the time & energy to hire contractors to repair the property before they move in.
Life Circumstances – Divorce, Relocation, Illness/Injury, Death, Loss of Interest are all part of life. Each of these life circumstances creates its own unique scenario for those involved. Quick, guaranteed offers from a local home buyer can allow you to focus your attention on where it needs to be and not on a problem property.
Inherited Properties – Death of a Family Member, Probate Issues, Lack of Management experience, Out of Area property are all reasons to reach out to a local home buyer. When elderly homeowners leave a property it is not uncommon to see a lack of maintenance, past tax bills, utility liens and more. Any title issues or disputes about the will can draw out the timeline, stress and expense of your inheritance!
Rental Properties – Having rental properties is great, until it’s not, and that change can happen quickly! Evictions, tenant damage, lack of maintenance, loss of rental income, loss of interest in being a landlord are all reasons you might need to sell quickly and easily. Depending on occupancy, property condition and your timeline, you might be able to list the home and sell on the MLS. However, if those scenarios are not in your favor, it might be time to call a local real estate investor.
Spire Property Solutions can buy your Hard To Sell Property!
Get your no-obligation offer below!
How do you find a Local Home Buyer?
It’s easy to find a local home buyer, finding a good one is a little more challenging.
Recommendations – Ask around! Have any of your friends or family members used or know of a reputable local home buyer? If so, ask about their experience.
Internet – A Google search for Local Home Buyer in your area will turn up plenty of companies. You can also find a local home buyer on Facebook. Fill out a form or call the number to talk with someone at the company.
Direct Mail – Many local home buyers use direct mail to contact sellers in the neighborhoods they want to buy.
MLS/FSBO – List your property For Sale By Owner or with the help of a real estate agent. Be sure to use terms like: Fixer Upper, As-Is Sale, Cash Offer Only, and others to target cash buyers.
Is this Local Home Buyer a Good One?
Selling your property is a major decision, be sure to choose your buyer with equal consideration. Local Home Buyer’s are like every other industry or profession; a few are GREAT, some are GOOD, Most are BAD!
Here are some questions you can ask or research on any potential real estate investors:
- Are they a Local Home Buyer?
- Are they the final buyer?
- Are they on Google, Yelp, Etc?
- On Facebook, YouTube, Etc?
- 5 Star Reviews on multiple sites?
- Are they Professionally Licensed?
- Are they BBB Accredited?
- Can they provide Proof of Funds?
- What are their plans for the property?
- What Contract forms do they use?
If you want to work with a professional local home buyer with a solid reputation, you should call Spire Property Solutions at (678) 318-1801!