How To Sell A Home In Poor Condition
A Strategic Approach
If you’ve got a home that’s in poor condition, and you’re looking to sell as-is, now is the time. Right now we’re in the midst of a panic related to a virus that has been labeled COVID-19. Political unrest is at an all-time high, and things are going to continue being volatile at least until November 3rd’s election.
In New York City alone, at least 420,000 people have left. That’s specifically owing to COVID-19. Numbers for L.A., San Francisco, and San Diego are scant, but in the last decade, over 5,000,000 have left Cali.
That’s an average of 1 in 8 of the total California population. Accordingly, those who have left these big cities are going to be looking for affordable options elsewhere. On the other side of that coin, enterprising investors will be looking for deals in N.Y.C. and L.A.
Real Estate Ripples Take Years To Calm Down
If you have a property that isn’t in the best condition, you can flog it off as-is, and you’ll have more buyers available right now than there have been in many years. But there’s a mild catch: right now, everything hinges on the coming election. Even so, real estate tends to take a while to catch up with the rest of the economy.
When the hits start coming, their immediate effect compels property owners to make bold choices. The effect of those choices usually takes a few years to mature in the market. So even if Trump wins, the market will remain volatile through 2021. Some expect a housing crash in 2021 like that of 2008.
This means a lot of home buyers will specifically be looking for homes that are “cheaper” than normal. That’s a home which is in poor condition. They will be on the hunt for $10k to $100k fixer-uppers. So if you’ve got a house that’s livable, but needs a little TLC, now is the time to list. And there are certain strategies you can use to help you move the property quicker.
A Few Specific Strategies To Consider
One strategy involves precisely how you price the property, and how you list it. Even with the best property listed a little below market price, potential buyers are going to try and bargain with you. Unless you’ve got the time to see a hundred different potential buyers, you shouldn’t stick to your price. You should anticipate the haggle.
Now, with an as-is property, there are several ways to go about this. One, establish what the absolute minimum amount you want to receive is. From there, list the property about $4k to $10k higher (depending on your bottom line), and be sure you take the most flattering pictures of the property possible, saving the problematic elements until the end of the showing.
Two, a list that bare minimum price as the listing cost, sell as-is, and refuse to negotiate about anything. With this second alternative, you’ll want to list the flaws of the property and show everything in detail on the listing. There are properties for $8k in West Virginia that are selling like hot-cakes, just look at Zillow.com to see how true that is. Either approach here may work.
Another tip involves informing the sale of your property with vetted strategy from groups who specialize in helping buyers sell as-is homes. Check out this sell a house in a bad condition article for some more in-depth data about best practices from the professionals regarding the sale of poor condition properties.