When it's time to move out and move on, most people envision selling their home to a new couple or individual who will enjoy it as much as they have. However, if your home is older and in need of a little remodeling, you might be approached by a flipper and asked to sell to them. You may also approach a flipper on your own after seeing a "we buy houses" billboard or online advertisement. Flippers, also known as home rehab investors, tend to buy older homes, fix them up, and resell them. Should you sell to a flipper? That depends, there are both pros and cons to this option.
Pro: You can sell the home as-is.
If you were to list the home with a realtor and find a standard buyer, they might ask you to make a few changes to the home prior to the purchase. The bank might even require that certain changes are made prior to the sale. When you sell to a flipper, however, they buy the home in as-is condition because their goal is to make changes. This can save you time and money, especially if you're not handy and would have to hire someone to do any repairs for you.
Con: You may not get as much for the home.
Flippers buy houses to make a profit. Their goal is to buy homes cheap, fix them up, and turn a profit. As such, they may not pay you as much for the home as a private buyer would. If you really need to make a certain amount on the sale of your home, selling to a flipper may not be your best choice.
Pro: You don't have to find a realtor.
Working with a realtor is pretty essential if you're selling to private buyers. However, flippers tend to either work as their own realtors or buy houses outright with cash. You generally generally need a realtor to represent you in this type of sale, so you can avoid paying commission and spending time searching for the right realtor.
Con: You'll have to do your own research.
Because you won't have a realtor representing you in the sale, it will be up to you to determine what the home is worth and what a fair price is. You will have to spend some time doing some research on pricing and also ensuring the flipper you're selling to is reputable. If you're really busy, this may take up too much of your time.
Share27 September 2018
When I started looking for a new home, I realized that there were a few things I needed to be careful about. For instance, I really needed to focus on finding a home that would appreciate in value, so I began thinking about investing in the right property. After quite a bit of research, I was able to find a great neighborhood that had a big support system for my family. After we found a house we loved, we worked with a real estate agent to procure it, and it was really nice to feel like we belonged somewhere. Read this blog about ways to find amazing pieces of real estate the first time around.