Friday, November 1, 2013

Selling a Home AS-IS can Cost Thousands

Most home sellers today do their homework. There is a vast array of information on how to prep a home to sell for top dollar on the internet and cable TV. Most savvy sellers have watched an occasional HGTV program or YouTube video showing how to stage a home and flip a house. They know that to get the highest price possible for their home, it will take a bit of elbow grease and organization. Sellers expecting optimal dollars need to understand that buyers want optimal condition.

Sometimes I still run into someone who balks at making repairs to their home. They say, “Let the buyer tackle that project. I want the home sold AS-IS.” 

Sometimes it does make sense to hold off on an expensive repair that would be nice but not necessary. These are more expensive cosmetic repairs like new siding or windows. However anything that would prevent a buyer from getting financing or insurance is a must like a new roof if the shingles are showing extensive wear or septic system if it is not compliant. These issues will not be overlooked by any buyer. 

Cosmetic and minor repairs will definitely reflect in what a home buyer offers on a property. Replacing doors with holes, broken glass in windows and settling cracks in a ceiling make a huge difference in a buyer’s perception of a home. Damage like this is always noticed by the buyers 

4 Reasons to Make Home Repairs Before Listing

  1. Less Buyer Distraction. Buyers will be able to focus on the positive attributes of your home rather than needed repairs.
  2. Homebuyers Inflate Repair Costs. My rule of thumb is: If it will cost a seller $100 to fix an issue, the buyer will ask for a $1000!
  3. Easier Negotiations. When a purchase agreement comes in, it doesn’t come with a “laundry list” of things the buyer will have to repair to justify the low offer.
  4. Faster to SOLD! Homes that are in optimal condition do sell quickly. Homes that need repairs often can sit on the mark for weeks or months longer waiting for a buyer willing to accept the home in its current condition. Longer market time can mean having to reduce the price significantly to keep buyers interested.

Copyright 2013