Homeowners must find a clear solution when facing foreclosure or a necessary relocation. A traditional real estate transaction could take several months or even up to one year to complete the process. This could prevent a homeowner that needs to sell their home quickly from stopping their mortgage payments. If they have defaulted on the mortgage, they may not have the time to complete a quick sale through a real estate agent.
A home buying company provides them with a cash offer for their property and may negotiate for a fair and reasonable price. It is not a traditional real estate transaction and agents are not required. Property owners can avoid foreclosure and move faster if they sell the property to an investor instead of engaging in a traditional real estate transaction.
The Purchase is As-Is
An as-is purchase comes without a warranty, and the buyer will not request changes to the property. This means that the buyer is purchasing the property as it is without repairs and without scheduling a property inspection. Once the transaction is completed, the buyer cannot report any issues to the seller or collect any additional funds from the seller to repair structural or interior issues that depreciate the value of the home. Homeowners can sell their home as-is to an investor by contacting PlacePitch right now.
The Investor Will Have Enough to Buy the Home
Unlike selling a home to a buyer through a traditional real estate agency, the seller will not have to wait to find out if the buyer has been approved for financing and if they have enough to pay for the home. The investors have their own capital to make the purchase. As soon as the homeowner accepts the offer, the investors provide them with a direct deposit into their bank account. The home buying companies will not present an offer for which they do not have adequate funds to cover, and the homeowner will not face significant delays in processing the payment or transferring the home out of their name.
The Closing is Faster
A traditional real estate transaction requires an official closing at which the lender, the buyer, seller, agent, and attorney must be present. One of the parties must pay the closing costs during the transaction, and it could take several months before the closing is even scheduled.
In the background, the title company would be searching to see if the seller has the legal right to sell the property. The lender would be verifying all information provided by the buyer, and the attorney would have to review all the documents presented by all parties. With a home buying company, the process is completed much faster, and the homeowner doesn’t have to attend a lengthy closing process or pay fees for closing.
More Flexible Purchase Agreements
An investor provides a more flexible purchase agreement for the homeowner, and they won’t have to go through a lot of red tapes to complete the transaction. They provide an offer after looking at the home, and the homeowner has several days to consider the offer. They can accept or deny the offer, and some investors may negotiate with them based on how much the homeowner needs to get out of the sale. The purchase agreement is not the same as a traditional real estate transaction, and if the property owner changes their mind, they can end the sale of their home.
You Won’t Need an Agent
In a traditional real estate transaction, the seller signs a contract with an agent to promote and show the property to potential buyers. The buyer signs a separate contract with the same agent or an agent that is legally allowed to represent the seller.
The selling agent will present offers to the seller as buyers present them, and they will keep both parties informed about the process. The agent will receive a commission from the sale of the home. If they are both the selling and listing agent, the agent gets the full commission. If another agent acted as the selling or listing agent, the commission is split between the agents.
You Don’t Have to Invest More Money into Your Home
In a traditional real estate transaction, the buyer sets up a property inspection, and if there are any major issues with the property, the seller must repair them. If there is too much damage, the buyer can end the transaction.
If the seller doesn’t have the money to complete the repairs, they could negotiate with the buyer to decrease the price of the home based on the cost of the necessary repairs. With a home buying company, the property owner is selling the property as it is, and they will not be responsible for any repairs or changes to improve the home. However, the offer will reflect the current condition of the home, and they could complete repairs to increase the offer they receive.
Homeowners Could Do This Instead of Dealing with Foreclosure
When facing foreclosure, the lender has presented the homeowner with an option to catch up the payments, or the property will be sold at auction. If the property owner knows they are about to default on their mortgage, they could sell the property to an investor to carry the note and pay off the mortgage to get the property. They could also sell the home for a predetermined price that will pay off their mortgage and prevent the foreclosure altogether.
You Don’t Have to Stage the Property
Staging the property is a process that allows the buyer to see the home with minimal items inside it. It shows the buyer what the home will look like if they were living in it. Home buying companies do not require this step.
Homeowners can sell their home to a home buying company and avoid the lengthy process of selling it through a real estate agent. The process is completed faster than a traditional real estate transaction. It is a great way to avoid foreclosure and negative repercussions on their credit history and scores.
