If your house has become a burden and you want to dispose of it as quickly as possible, the best route to take is that of a real estate investor. But you have to choose a reliable investor like Trusted House Buyers, especially if your house is in San Diego.
The company allows you to make the highest proceeds from your house by eliminating costly expenses like pre-listing repairs, upgrades, and agent commissions.
But before you even contact an investor, the first question you have to ask yourself is: how much will an investor pay for my house; and how much can I make selling my house? This article seeks to answer these and other related questions.
Who Is A Real Estate Investor?
A real estate investor is any individual or company that typically pays cash for houses to improve and resell or lease them out for a passive profit. There are many benefits of selling your house to an investor like Trusted House Buyers, including closing the deal quickly and receiving one lump sum payment. Furthermore, you won’t have to pay six to ten percent of your sale to a real estate agent as a commission as we cover all closing costs, period.
Another benefit of using an investor like Trusted House Buyers is that they do not use the traditional bank financing option. Therefore, you aren’t dealing with a buyer who has to negotiate with a lender or go through all the hurdles associated with traditional real estate financing. Using outside financing can add complications, delays in the process, and additional costs.
You might think that these are buyer problems, but when a buyer can’t get financing and your prospective sale falls through—it quickly becomes a seller problem. With an investor, you simply accept their offer, receive a lump sum payment, and hand over the house and deed.
How Much Will An Investor Pay For Your House?
Under normal circumstances, a real estate investor will pay you between sixty and ninety percent of the market value of your house. This is not a bad offer, considering that the industry average is about sixty-five percent. At Trusted House Buyers, we’ve helped hundreds of homeowners across San Diego county to provide a smooth, stress-free process and the most cash in your pocket at the end of the sale.
However, several factors will determine how much you get from your real estate investor for your house, including your house’s desirability (value, location, and scarcity), the current state of your house, and the type of real estate investor you are working with.
Currently, there are only three main types of real estate investors: iBuyers, buy-and-hold, and house-flippers. For you to estimate how much you are likely to get for your house, you have to understand which type of investor you are dealing with.
This real estate investor is quite new. They use complex computer algorithms to locate houses that have the potential to make a good profit. This investor will only purchase houses that need little repairs or maintenance to make their profit through real estate commissions. In ideal cases, an iBuyer investor pays about eighty percent of the home’s market value, but they have a lot of hidden fees and costs that can add up very quickly
This type of real estate investor will give you the least amount for your house because their profit is based on their ability to resell the house at a profit. That’s why house flippers capitalize on lower-value houses. Therefore, the highest they are probably willing to give is sixty-five percent of the market value of your home.
Although this type of real estate investor pays more than a house flipper, they pay less than an iBuyer. They usually buy houses in bulk and upgrade them into rental houses to make a profit through monthly rent from tenants. With a buy-and-hold investor, you can expect to get between sixty and seventy-five percent of the market value of your home.
Selling your home is an always stressful and often drawn-out process. That’s true of any home sale situation, but it is certainly true if you are selling your house after buying a new one. That scenario can lend itself to all kinds of problems if your home doesn’t sell for some reason. Yet another reason to consider selling to an investor before buying a new home.Imagine what a weight off your shoulders a cash offer from a Trusted House Buyer professional would be. You should make sure that the investor you are dealing with is reliable and willing to help you save money by covering all the costs like transfer fees, agent commissions, and repair and improvement costs.