Seller with homes that are in great shape, are in a position to consider upgrades, and with no time constraints to sell are best left to the retail market. That's the traditional way of selling - working with a real estate agent, posting it to the websites we all look at, and working with agents from listing to close. For those properties, I sell homes for a flat fee of $3,000 plus 2.5% co-broker commission, a program that could save you as much as $4,000 on a $200,000 sale. You can read more about this program here.
But selling to an investor is a better fit for many sellers. Here are some conditions where the investor market may be a better option for you.
Sellers with a property in less-than-perfect condition. Properties that have some sort of distress often scare off buyers. And in many cases, these properties can’t be purchased with traditional financing, making options more limited. Distress can be condition - if the property needs significant repairs, it may not pass the inspections and appraisals needed for a buyer to secure traditional financing. And distress can be other conditions - a lien on the property, problematic tenants, or back taxes.
Sellers with restricted timelines. Even in a competitive market, average wait times are around 28 days to receive an offer. Mortgage companies are encouraging their buyers to schedule closings 45 days out. If the right buyer comes along and everything goes according to plan, sellers are looking at nearly a three month process - and longer if things don't go perfectly. Owners who need to move quickly to relocate, are going through a divorce, or facing foreclosure may not be well suited for this kind of a wait. The investor market can be a better fit for them.
Sellers with homes where the investment of time and money won't mean a larger net profit. Owners who can make upgrades can often improve the value of their property and their net sale price. But for some homes, the cost of rehab, the cost of holding the property longer, and the higher real estate agent fees mean the same net proceeds if you had sold quickly to an investor.
If you think your situation might be better for a sale on the investor market, let's talk. I’m looking to purchase the property directly and I work with a small group of investors who are ready to make fast offers with cash or investor financing.