Selling your fixer-upper home quickly isn’t as difficult as those fast-talking, “I’ll Make You A Cash Offer In Five Minutes” commercials want you to think. Fast cash buyers look for desparate sellers and in return for a quick deal, will pay BOTTOM DOLLAR. They want you to accept their offer before you put the property on the open market so they can avoid having to compete with other buyers. So avoid them. If you need to sell a fixer-upper home quickly, you still want to generate competing offers that maximize the sale price. Here are five simple tips for selling your fiixer-upper that will attract more offers faster and put more cash in your pocket after the sale.
Tip 1: Hire An Agent
The key to marketing any home is to reach as many potential buyers as possible. Licensed agents have access to the marketing power of the local Multiple Listing Service (MLS) and the experience to help you develop effective pricing and marketing strategies. They can also evaluate offers and weed out the ones with tricky terms that might cost you money.
Tip 2: Price To Sell
Price the property to sell within your desired time frame. A common pricing strategy is to develop several price/schedule scenarios and pick the one that fits your schedule as the offering price. Here’s how it works.
Let’s say comparable homes in your area are selling in 45 days on average. The estimated market value of your property is $100,000 given its location, features and condition. To sell faster, consider a discounted “30 day price” and even a “15 day price” to attract offers faster. Our pricing options might look like this:
– 45 day price: $100,000 (estimated market value selling in the typical marketing period)
– 30 day price: $95,000
– 15 day price: $90,000
If we need a quick sale, adjusting the offering price to attract more buyers faster can be an effective strategy.
Tip 3: Remove Obstacles
Even when selling a fixer-upper, there may be a set of minimum requirements pertaining to the property that could be obstacles to closing escrow. These could include placing seismic strapping on the water heater, installing smoke detectors, or having the lateral sewer line inspected. Selling the home “as-is” may not eliminate these obstacles. Your agent can provide a list of requirements.
Sellers should also have all necessary paperwork on-hand before putting the home on the market. Not having all needed documents can cause delays as sellers scramble to get their hands on important items required by the escrow officer. This is especially important for homes sold by trusts or estates in probate.
Tip 4: Tell Buyers What You Want
Sharing your offer selection criteria with buyers helps them write offers that meet your needs. Prioritize your criteria so they understand what is MOST important, since there will be trade-offs. If you want a quick-closing cash deal, tell them. Keywords that reflect your needs such as #FixerUpper #CashHomeSale #QuickHomeSale and #Flipper used in online advertising can help attract cash buyers.
Tip 5: Set An Offer Date
Setting an offer review date lets buyers know you want to move quickly and that you expect to receive more than one offer. Knowing there will be competition motivates buyers to sharpen their pencils and submit competitive prices and terms.
Every property, regardless of condition, has value in the market. Don’t take that “fair cash offer” before applying these tips to generate multiple, competitive offers while still closing escrow quickly.
If you have questions about these tips or need help selling a unique fixer-upper home in the San Francisco Bay Area, please send us a note using Contact Us.