The Problems Sellers Face When Trying To Sell Their Homes Through Traditional Methods

Everyone who is trying to sell a home wishes for a quick and simple sale. Unfortunately, that does not always happen. Traditional methods of sale can be the right option for your situation, but there are many other cases where a cash sale to an investor is the best choice. There are a number of reasons why a cash sale is in your favor as the seller, and actually few disadvantages. These are the top home seller problems people face when trying to sell their homes through traditional methods that do not often affect cash sales.

Buyers Cannot Get Funding

If a buyer is interested in purchasing your home, but cannot get a loan, the sale will likely fall through. The inability of the buyer to secure a loan is becoming a significant reason why many sales fall through. This can be a problem particularly if an appraisal determines there is something about the property that leads to a denial of the loan. To use an example, homes that are too close to a gas station are not eligible for FHA loans. Buyer funding is also a problem for foreclosures, for which loans are often not awarded.

Privacy Issues

Selling traditionally means that everyone will know that you are selling your home. While this is not an issue for everyone, it can be an problem in some cases. Pictures of your home and its interior will be displayed where everyone can see them, and if you are no longer living in the home it advertises that the home is empty. In certain areas this can be a serious problem if looters consider your home a prime target. If your home is in foreclosure, you also might not want your neighbors to know about it. A cash sale to an investor will help you sell the home quickly and quietly, and no one will be the wiser.

An Unfavorable Market

An unfavorable market can affect selling a house in any number of ways. It can affect whether or not buyers get funding, as mentioned previously. It can mean there is an abundance of homes for sale and/or not enough buyers interested in buying. There may be nothing wrong with your home at all, but it may sit on the market for a significant amount of time simply because there are not enough buyers interested in the area. As with all real estate, location plays a major role in how fast it sells and for how much. Even a gorgeous, well-maintained house can have problems selling in a city or neighborhood where people do not want to live. The condition of nearby houses can also affect whether buyers are interested in your home.

Maintaining The Property

If you have moved out of state or live out of state and are trying to sell a family member’s home, maintaining the property can be a real headache. Cost is also a factor – maintaining a property is an additional expense that adds up the longer the home remains unsold. When selling a house, it needs to be maintained like a show home for a traditional sale so a real estate agent can give tours or hold open houses. This can be a nuisance whether you are currently living in the home or not.

There Are Problems With The Property

If there are sufficient problems with the property, or even with nearby properties, it can prove to be a major obstacle to selling your home. Inspectors can uncover major problems you didn’t even know were there, making you realize your home might not sell as easily as you thought. Cities can even declare the home unsafe for human habitation if the problem is significant enough, such as if there was water damage. This is before the home passes the buyer’s inspections, which are often the most rigorous of all and usually end in a long laundry list of items you need to address. Many sellers would prefer not to go through that hassle.

Contingencies

A seller who wants to get rid of their home might be held up by the fact that the buyer wants them to do work first. For example, the home might need a new roof, and the buyer might insist that is done as a condition of the sale. Sellers that do not want to deal with contingencies or simply cannot should consider selling to an investor. Investors are willing to pay cash up front and will buy your home with no contingencies.

Emotional Barriers

Emotional barriers can also be a significant problem for sellers. Selling a home is an emotional thing to do and many are not prepared for it. This is particularly true if the home belonged to a loved one who has passed away. Simply being in the house can be painful if that is the case. This makes maintaining or showing the home more painful than it should be. People in this situation must seriously consider a cash sale soon for the sake of their mental health.

Additional Costs

Anyone looking to sell their home in a traditional way will be on the hook for substantial additional costs, such as real estate agent commission fees. Even small things, like beautifying the house in order to show it can end up costing significant amounts of money and time you may not have. By selling the home for cash to an investor, you do not need a real estate agent, nor do you need to spend any significant amount of time and money to make the house look attractive to buyers.

While a cash sale can result in the house being sold for a little less, it can be a lifesaver for anyone who needs to sell a property quickly for any reason. Besides, that cost can easily be offset by the seller not having to make expensive repairs and renovations. A cash sale could close in as little as five days, as opposed to the weeks it can take to close on a home otherwise. The buyer handles everything, leaving the seller to walk away and continue on with their lives. Selling to an investor is a very solid option for anyone facing the home seller problems mentioned in this guide.