4 Best Ways for Selling a Home in Louisiana

You can approach selling a house in Louisiana several ways. Some have higher costs and take more effort than others.

You’ll avoid many of the downsides of advertising to the general public when you sell a property in Louisiana privately.

There’s no need to be bothered by strangers touring your house when you’re not there. You also won’t have the hassle of cleaning up every morning in case a potential buyer wants to see your home during the day (and then say they aren’t interested).

A private sale won’t risk your family’s safety by having images of your house, and specific rooms, featured on the internet for the public to see.

These are just a few of the things you’ll avoid when you sell privately. So, how do you arrange for a private sale? Let’s detail how to sell a home in Louisiana this way.

What Are Home Buying Companies?

Home buying companies are real estate investors. They’re also known as cash home buyers because they purchase Louisiana homes without using traditional mortgages.

Professionals who buy investment properties in Louisiana work as companies, but some work as individual entrepreneurs. Hedge funds also buy homes as investments.

Property investors in Louisiana buy all types of homes, from single-family to multifamily housing.

Whether your house is in bad or good condition, they will make you an offer. Some investors focus on buying rental houses, while others like to buy fixers to repair and then resell to the general public.

The benefits of selling your home to an investor are particularly important if you are facing specific challenges, including:

• selling a house before it goes into foreclosure
• selling a home with renters who won’t leave the property
• selling a property before bankruptcy
• selling a damaged house
• selling a marital property before divorce
• selling a house that was inherited
• selling house for job relocation
• selling a house with unpaid property taxes
• selling a hoarder’s house
• selling to downsize to a smaller property

And there are many more reasons homeowners might sell to a real estate investor.

Home buying companies use investor-friendly title companies in Louisiana with a history of working with investment professionals.

These title firms handle escrow and also move quickly and professionally to close on a cash sale.

Selling a house by private sale to an investor has some concrete advantages.

Pros of Selling to a Home Buying Company

• You’ll sell your Louisiana house fast if you opt for using an investor.

• You won’t have the delays of a sale to a typical buyer who needs a traditional home loan. Mortgages add weeks to the closing calendar. Cash house buying companies don’t use traditional lending services — and that means a faster sale.

• You can avoid upgrading and repairing. Investment companies buy your house as is.You can even skip a home cleanout. Simply box up what you want and then leave the rest for the investor to handle.

• You won’t have to use a real estate agent and pay them a commission, which would be about 2-5% of your selling price.

• Your investor will also typically cover other seller closing costs.

Cons of Selling to a Home Buying Company

But here is what to remember about this type of sale:

• Cash property buyers in Louisiana generally won’t offer market value for your property.

Investors factor the cost of repairs in their offer, and they also add a potential estimated profit.

But when comparing your offer with what a real estate agent would sell your house for, don’t forget that in an investor sale, you don’t have to pay closing costs and Realtor fees, which partially compensates for a lower offer.

How to Find an Ethical Home Buying Company

There’s no guarantee that a home buying company will act in good faith, but that’s true of any business in any industry, including real estate agents.

If you take time to do research, you can locate a professional cash investment firm with a history that demonstrates ethical business practices.

It’s easy to find cash buyers who advertise “sell my house fast for cash” if you just use the internet. Not all, however, can back up that claim.

Start with a list of a few local cash buyers and vet them by reading about their background and experience listed on the “About Us” page on their website.

That page should list the training, experience, and expertise of the investor. Look for a minimum of three years in the cash buying field.

Once that’s done, look at Yelp, Facebook, Google, Trustpilot, and Real Estate Bees for any reviews of your prospects.

Also, scan the local branch of the Better Business Bureau. This agency referees complaints between consumers and businesses. Your investors may have claims filed there.

Don’t have time to do all this research and vetting? Many homeowners don’t.

If you want to speed up the vetting process but still locate an ethical cash buyer, request a cash offer on your house by using HouseCashin.

HouseCashin offers a way to connect with a nationwide network of experienced professionals.

The cash buyers partnering with the HouseCashin network are prescreened and vetted, providing you access to investors who operate professionally and have a history of moving quickly to close.

There are no commissions or referral fees whether you decide to accept an offer or you end up declining all of the offers you receive on your property.

If that sounds good to you, request a cash offer on your house now.

A classic real estate sale means having a licensed real estate agent do everything for you. Let’s see how it works and how it compares to other methods.

Who Are Real Estate Agents?

Real estate professionals offer services to help homeowners list and market properties. They are trained in handling contract negotiations when selling a house in Louisiana.

Agents assist you in navigating the title and escrow process once you’ve accepted an offer.

Those using the title “Realtor” are members of the Louisiana Realtors, a branch of the National Association of Realtors (NAR).

Realtors belonging to this trade group take an oath to operate professionally and ethically.

Pros of Using a Real Estate Agent

• Real estate agents know the ins and outs of selling a property in Louisiana. They bring education, experience, and training to help homeowners eliminate delays and avoid the most common problems that happen during a real estate transaction.

• Realtors have access to databases of prior sales and the current listings in your area. This information allows sellers to set an aggressive price to bring the highest dollar for the sale.

• Licensed agents put your interests above all others during the sales transaction. They have a fiduciary responsibility to put their clients first.

Cons of Using a Real Estate Agent

• Commission costs in Louisiana are approximately 5% of the sales price. This fee goes to the brokerages involved in the sale. The average Realtor cost to sell a home is the lion’s share of your closing costs.

• Your home might not sell immediately, and during the term of the listing contract, your agent will continue to market your house to the public. You may meet many potential buyers until one of them actually purchases your home.

• Home shoppers from the general public generally require a mortgage to buy a property. This will add weeks to the time needed to close the sale on your house.

How to Find a Good Real Estate Agent

Your family, friends, and coworkers may have some ideas, but you’ll want to edit those prospects with an eye to those who have at least three years of experience.

Locating an agent with the expertise to sell homes in your neighborhood is an advantage because they know the properties in your area.

Once you have several prospects, it’s time to vet them. Start with the local branch of the Better Business Bureau (BBB).

They handle consumer complaints, and the agents you are considering hiring may have public filings there.

Louisiana Realtors also hears complaints against member agents. Consult that office about the prospects on your list.

Invite a few agents to your house for a listing presentation. That pitch should include a marketing plan for your home. After the interviews, select the agent you liked the most.

The next sales option we’ll cover is the for-sale-by-owner listing, also known as “FSBO.”

The FSBO method eliminates the real estate commissions, but you’ll also miss out on helpful services a Realtor provides.

These include pricing, listing, marketing, negotiations, legal scrutiny, and supervising the escrow process.

As for determining your home’s value, you can use our home worth calculator to assist you in setting your listing price.

However, no online calculator is as accurate as a Realtor’s CMA (comparative market analysis), that you can order from them as a separate service, or a home appraiser’s report.

It’s difficult to find buyers when working alone, but there are a number of ways open to FSBO sellers to do this.

Ways to Market Your House Yourself

• Put a sign or two next to your house. You can buy “for sale by owner” signs on Amazon or just make them yourself.

• Film a home walkthrough to share on the internet. You don’t have to make a professional video if your house is not a luxury property or if it’s not in a super competitive market.

• Go on the best FSBO sites and advertise your house there. Most of them won’t charge you for a basic ad. And at a fee, you will be able to promote your property even more effectively.

Pros of Marketing Your House Yourself

If you know what you are doing, here are the perks that can make an FSBO sale your best choice.

• You won’t have any commissions. These fees are a huge part of your closing costs in Louisiana.

• You have the final say on everything involved in your sale — how and when to list, how and where to market, and when to close the sale.

• Your home is your only focus. You can spend all of your time marketing your house without having to meet the demands of other clients.

Cons of Marketing Your House Yourself

But here is what could make it the worst option.

• You will need to understand the legal real estate requirements to sell your home. This is a complex subject to figure out.

• While you may think you will save on Realtor commissions, you may actually lose money by underpricing your property or by unprofessionally negotiating the closing costs when selling a home by owner. This is the case with many FSBO sellers, especially when they sell to a buyer who has a real estate agent assisting them (which is the majority of the buyers).

• You’ll need to assist your buyer in navigating the mortgage process when they need a loan to buy. This means navigating the lender’s appraisal to make sure it matches the contracted sales price.

• You won’t have anyone to back you up with sales expertise and training.

• Any mistakes you make could delay your closing. A big mistake may have your buyer cancel the sale.

You have an eye on a house, but you don’t have the money to buy it because you haven’t sold your current home yet.

There’s a way to buy that new property and sell your home simultaneously by using iBuyer companies in Louisiana. These companies offer “buy before you sell” services.

You can sell your current house and buy a new property at the same time by using the equity in your current home in this arrangement.

This even gives you the ability to make a cash offer, as well as the down payment to buy.

A sale to an iBuyer means you don’t have to make a contingency offer on your new house. With cash, you can close on your new house fast, with the iBuyer then closing on the contract on your former home.

Those were the selling options for Louisiana homeowners. Let’s now go through the sales process beginning with the listing.

When you list with a brokerage, you’ll need to sign a formal listing contract. But selling your house without a real estate agent eliminates this step.

Before Signing a Purchase Contract

All Louisiana sellers must complete a Property Disclosure Document (PDD).

This document informs the buyer of any defect that could reduce the value of the home, lists anything that presents a risk to the new owners, and itemizes changes to the home that reduce the lifespan of the property.

The article “How to Sell Your Home As Is in Louisiana” offers more in-depth details about the state-mandated disclosure.

Marketing the Property

Once you’ve signed the listing agreement, it’s time to develop a marketing plan for the property. Your agent will do this, or you’ll be on your own to create one when you do everything yourself.

The plan might include “for sale” signs for the house, print and online advertisements, and a calendar to open the house for public viewing.

The marketing plan might draw a buyer right away, or it may take a few months to sell your house. Fixers generally take longer to sell compared with turnkey properties.

You’ll also find that investors, unlike the general public, don’t require marketing to attract offers, and they are interested in homes offered in as-is condition.

Accepting an Offer

Your buyer’s agent will present an offer to you or to your agent, if you are represented by one.

Homeowners selling as an FSBO, or receiving a contract from an investor, will have an offer given directly to them.

Along with the offer, all buyers will provide earnest money that demonstrates the intent to close the transaction.

Once you accept the offer, you, your real estate agent, an attorney representing you, or your investor will open escrow on your property by using a title company. Your earnest money deposit will be used to open escrow.

A title company is a neutral third party licensed by the state to serve as the coordinator for the sale paperwork and money transfer in Louisiana, in addition to conducting title searches.

Buyer Due Diligence Period

Once the title company opens escrow, your buyer will do their due diligence to inspect your property.

Your buyers will have home inspections done to look for any problems and to evaluate the items noted on the homeowner’s disclosure.

The title agent will also conduct a search to discover any unpaid liens or encumbrances on your home during this period. Any problems, called clouds on the title, will be handled during this time.

If your buyer uses a mortgage to buy, their lender will review your buyer’s qualifications and order an appraisal of the house.

You’ll wait for the lender’s underwriter to make the final approval before the loan can be funded.
When you sell to a cash investor, you’ll eliminate the lender-related steps.

Closing

Your title officer or real estate attorney (if you elect to use one) will arrange for the final meeting where you’ll sign the escrow documents and the money for the sale will be transferred.

At least 24 hours before the signing, you’ll receive the Uniform Settlement Statement to examine.

This document is an itemized list of all fees and credits, as well as the money transferred as part of the sale.

You’ll pay your closing costs and real estate commissions during this time, although homeowners selling as an FSBO or to an investor will skip these payments.

These costs and commissions will be listed on the settlement statement.

The last step requires your title officer to file the property deed with the Clerk of Court’s Office in the parish where your property is located.

After closing, the new buyer will receive the keys to the property.

We’ve introduced four approaches to selling your house in the Bayou State, and the steps from listing to closing during a typical sales transaction.

The next steps involve contacting investors to compare offers and to locate seasoned Realtors to review marketing plans and discuss commission charges.

And you can request cash offers from the HouseCashin investors right now! There are never any fees, and you’re under absolutely no obligation to accept any of them!