There are times when we need to make an unfortunate quick move, whether it’s for work, family, or financial stress. Handling something as large of an asset as a home can be so mentally taxing because of all the box moving, negotiations, paperwork, and much more that is required. Fortunately, there are a couple of saving graces that can make the process much easier.
There are some situations that require you to liquidate your assets quickly, including divorce, foreclosure, tax liens, debt, fire/water damage, or vacant properties. In any of these cases, you want to take care of the property quickly because they can be a constant burden on you, cost you in taxes, or require maintenance that comes out of pocket when the last thing you need is more expenses. In the case of foreclosure and divorce, sometimes you don’t have time to make some repairs, take pictures and pretty up, and list it on an MLS with a real estate agent. Then you have to go through the negotiation process, appraisal, inspection, buyers backing out, and closing with the title company and/or lawyers and dealing with the closing costs.
One of the things that you can do instead is contact a we buy houses or home buyer company that can find an investor who can take the property off your hands very quickly, without requiring a lot of debate and can cover closing costs. Oftentimes, a real estate investor will be able to pay cash so that you can avoid losing your home in foreclosure entirely, and you can walk away with some amount of money in your pocket and be able to start anew. Most deals like this begin and end within a week, so it can move really fast. This is because investors have direct access to capital and they have their own power teams that include contractors, lawyers, accountants, and so on, that can help move the transition very quickly and efficiently due to their experience in similar deals.
When it comes to divorce, usually a couple will liquidate a property and split the cash value down the middle (or some other previously agreed amount). Depending on the speed of the sale needed, a more traditional sales process can work because a real estate agent may be able to maximize the amount that can be gained from the property. But again, if the house is in a state of disrepair, it may be better to simply go with an investor or wholesaler who can get it sold more quickly. Trying to renovate a property during a divorce dispute can make things even more complicated, even to determine where the funds for the repairs come from. One side of the dispute may not want to pay for any of the repairs, and so the other side is left with either accepting a lower total amount or coughing up the funds for all the repairs on their own.
In issues with inheritance, sometimes an inheritor doesn’t live anywhere near the home or they are just never able to really do anything with it. So, the home sits there vacant and costing them money in property taxes and the property’s value slowly drops due to lack of maintenance. An investor can come in and give them full cash value for the property and take the burden entirely off the homeowners hands.
In any of these scenarios, it’s important to weight the pros and cons with an agent vs an investor. Sometimes the speed and ease when using an investor is a requirement, but at the cost of reducing total cash value. An investor generally looks for 70% of property value as the purchase price. But if you have the time to prepare and list your property, using a real estate agent and MLS will maximize the amount of money you can get for your property. If you’re in need of real estate investor company, check out Sell My House Easy Fast.