In the United States over the last several months the real estate market could only be described as a seller’s market. That sounds like great news if you need to sell your house, but despite the fact that many homes in the San Diego area and across the country are selling relatively quickly for a higher price point it can still take a very considerable length of time to sell through a realtor. If the thought of interviewing realtors, cleaning and staging your home for showings, and waiting for conventional funding to be approved in order to sell seems like it will be tedious or take too long, you may consider selling your property to a real estate investor instead.
By selling your home to a real estate investor, you escape the slow process of showings and open houses and waiting for a bank to dictate the terms of a loan. Not all investors are created equal though, there are many different types of real estate investors who you could work with to complete the fast sale of your home.
What are the different types of real estate investors?
A professional home buyer may be many different things: a person, a company, or even a corporation. Each of these offer different experiences to home buyers but the main characteristic they all share is that they include real estate as part of their long term investment strategy.
Real estate investors may hold one or many investment properties, and may keep them long term or may sell quickly depending on their revenue plan. When searching for a buyer to quickly buy your home for cash you may deal with flippers, landlords, quick resellers, buy-and-hold investors, instant cash buyers or ibuyers. Though each of these possibilities may have a different plan for your home long term, the important thing for your bottom line is to find the most lucrative deal that will divest you from the home in the shortest amount of time.
How are investors different?
Most homes are purchased by private buyers who plan to use the property as either a primary residence or a vacation property. They are planning to live in the home to some degree, whether that be for downsizing after their kids are gone or buying a home for their family to grow into. Most of these buyers are working with a real estate agent in a prescribed area to find a home they can envision living in now and growing into over time. But this process can take time.
Prospective buyers looking to purchase a home that will become part of their family’s story are dramatically different from those buying for investment purposes. They may wish to look at a house several times and regularly consider aspects about the property like improvements that may need to be completed. In addition, the time it may take for inspections, appraisals, any property fixes that are agreed upon within the contract as well as funding from the financial institutions can be considerable. Money is also often a major factor in selling your house to a private party because real estate agent commission can be high and any repairs to the property prior to sale must come out of the seller’s pocket.
By contrast, selling to a real estate investor can be fast, easy, and leave you with both time and money in your pocket. Working with a real estate investor means no commission paid to a third party. When you deal with an investor who works with sellers on a daily basis and knows the market trends, you will get a fair price for your home without having to waste either time or money.
Reasons to sell to a home investor
There are many good reasons the traditional route of selling a home may not be the best solution for every homeseller. Aside from the financial implications of languishing in a traditional sale or the amount of money required to secure a completed transaction, there are many circumstances which may benefit from the easy sale of a house for cash:
- Death, tragedy or crime – If a death occured within the property, either by natural causes or as part of a crime it can be difficult to sell. Police records are public record, and statistics have shown that many homebuyers will search the address of a property before they make an offer on it. Generally, the property value of a home where a recent death has occured is dramatically lower but home investors are unlikely to consider this as a factor when considering whether to purchase a property. This is something you will need to disclose to any potential buyers
- Illness or aging – The slow decline of a close family member can be a difficult thing to watch and oftentimes round the clock care is required. The price of high quality residential facilities is exorbitant, so selling a home quickly to obtain liquid capital can be essential for the care of many elderly family members. And it’s unlikely you will want dozens of people trampling through the house at a moment’s notice when listing with a realtor.
- Lots of inventory in your neighborhood – Though the real estate market in general has a lower than normal number of houses for sale, there are areas of San Diego where the number of properties on the market is historically high. In an area where there is substantial inventory, it can be extremely difficult to sell a home quickly because there are options for prospective buyers to consider. A real estate investor may think that multiple comparable homes nearby is an advantage, and might even offer more for your property as a result.
- Job relocation – Few things require a faster move than a new job opportunity. If you have just accepted the perfect position but need to get out of a home quickly so that you can move on with your life, a real estate investor might just be the solution.
- No contingencies – In the event that you have happened upon your dream home, but need to get rid of the house you are currently living in, there are a couple of very distinct options. You could write a contingency into the contract which states that you will buy the new property only if your current house sells. This is certainly a viable option, but in a seller’s market when oftentimes there are multiple offers on desirable properties including a contingency may mean the end of your chances of an accepted offer. By selling to an investor, the sales price would be available to you right away and your new home could go into escrow without delay.
- Contract that falls through – Whether it is the result of financing that falls through, or the parties fail to reach an agreement on price or repairs real estate contracts can fall through. Real estate investors tend to close on contracts within a few days and without the requirement of repairs, so the likelihood of a contract becoming null is dramatically reduced.
Selling your home to a career investor can be fast, efficient, and also lucrative. Investors make it their purpose to provide homeowners with a fair market value for their property and complete all sales as quickly and as easily as possible. If you are looking to quickly sell a home for cash in the San Diego area and would like to deal with a family owned business who can offer the highest possible sale prices, call Trusted House Buyers.