Selling an Old House Fast [2 Best Ways]

Planning how to sell an older home can be overwhelming, as such a property often needs costly repairs and renovations, which are time-consuming, exhausting, and expensive for a property owner.

If you choose to sell the house without making repairs, the process becomes even more challenging for several reasons:

• Most house buyers want turnkey homes that are ready for occupancy.
• The poor condition of the house significantly limits the number of people interested in the property, and as a result, you are struggling to sell it quickly.

Still, you can sell an old property as-is, fast, and without making repairs.

Who Can Buy an Old House As Is?

Selling your old house as-is means you will need to find home buyers who are willing to do the required renovations after the sale, and this can be rather difficult.

Some of the main issues of working with typical house buyers include:

• The potential buyers need a mortgage, yet most lenders require the old house to be in good enough condition before issuing a loan.
• The buyer has to go through the mortgage application and approval process, which can be lengthy.

Besides, there’s no guarantee that they will be approved for the loan.

That said, there’s a type of buyer who purchases old homes in bad condition and fast: a real estate investor.

Real estate investors (also referred to as cash home buyers or sometimes as house flippers) are professionals who buy distressed properties in their current condition for cash.

For cash buyers, distressed homes are an investment opportunity, which means they’re not as picky as conventional buyers who want ready-to-move-in homes.

Cash investors buy old homes as is, fix them, and resell them or rent them out for profit.

How Does Selling to a Real Estate Investor Work?

The following is the standard procedure for selling a house to a real estate investor:

1. Request a cash offer from the real estate investor.
2. Arrange a property visit with the investor so they can assess it.
3. Review the offer made to you. Investors will usually make you an offer 24 hours after the property walkthrough.
4. Sign a contract with the investor if you’re satisfied with the offer. Your cash investor will then put money in escrow and handle the rest of the sale and closing process.
5. Close on the property and receive your cash in 3 to 30 days from when you signed the contract.

Pros and Cons of Selling an Older House to a Real Estate Investor

Selling a house to an investor has several benefits.

• You can sell a property in bad condition without having to make any repairs, which saves you time and money.
• Real estate investors pay for houses in cash. They don’t have to wait for mortgage approval to buy your property.
• Cash buyers cover home seller closing costs, unlike typical buyers.
• Cash real estate buyers typically close faster than a regular home buyer. You can close and get your cash in less than a month when working with an investor.
• A cash buyer oversees every aspect of the sale, and because of this, you don’t need a real estate agent. As a result, you can avoid paying high realtor costs when selling a house.
• Working with an investor has fewer formalities and procedures. For example, you don’t have to go through lender-required home inspections and appraisals, which typical buyers have to order during the mortgage application and approval process.

However, there’s one major issue with selling an older property to an investor:

• Selling an old house as-is means the offer may be lower than the home’s local market value. An investor assesses their profit margin by factoring in the as-is status of your property, renovations, and closing costs.

Where to Find a Good Real Estate Investor

It can be difficult to find the right real estate investor — you need someone reputable, ethical, and who operates in your area.

At HouseCashin, we have partnered with seasoned cash house investors from all states.

We have an extensive network of serious buyers who have been carefully screened for experience and proper ethical practices as real estate professionals.

To get contacted by one or a few of them, fill out and submit a cash offer request form on our website.

You could receive multiple, no-obligation cash offers from investors operating in your area with just one request.

Once you receive a satisfactory offer, you can accept it and move towards closing, which typically takes 30 days or less. Get cash offers for your old house now.

Another way you can sell an old house is by selling it the conventional way: marketing it to the general public through various channels.

To do so, you may choose to sell the house by yourself as a “for sale by owner” (FSBO) listing, or seek the services of a real estate agent who will handle the entire sales process.

Even so, selling an older property the classic way is somewhat complicated and involves formalities that are difficult to figure out for a non-professional.

The following sections highlight what the sales process involves.

Repair the Property

When selling an older house the conventional way, you will have to renovate the property.

You’ll need to enhance the curb appeal, spruce up the interior, and fix everything that’s broken before you can list and sell it. Very few home buyers agree to buy properties with major damage.

Furthermore, they depend on a lender to approve the purchase, and most lenders won’t finance a home in bad condition.

The first step when selling an older home traditionally is to renovate it. Some of the most common problems associated with old properties include:

• Asbestos: Older homes built before 1980 contained hazardous materials such as asbestos. Asbestos, which was used for insulation, was later proven to cause respiratory issues and cancer, and therefore professional removal is recommended.

  Before selling a house with asbestos, you may spend between $2,000 and $30,000 to remove it.

• Lead pipes: Lead pipes were commonly used for plumbing systems in the 1980s. Although highly durable, they pose a huge health risk and may need to be removed. When selling a house with lead pipes, replacement costs between $1,500 and $4,000.
• Polybutylene pipes: These plastic pipes were used in homes built between the late 1970s and mid-1990s.

  However, the pipes are prone to cracking, and generally not durable. When selling a house with polybutylene pipes, you may be requested to replace them and spend around $2,000 to $15,000.

• Lead paint: Homes built before 1978 contain up to 50% lead (paint, pipes, etc.), which was found to be a major health hazard. Deleading an old house costs about $3,000 when selling a house with lead paint.
• Bad roof: Roofs on old houses tend to suffer from wear, leaks, and structural issues. Replacing the roof costs about $5,000 to $12,000 when selling a house with an old roof.
• Foundation issues: Moisture and structural settling can weaken the foundation of an old house. Minor cracks can be repaired for $2,000, while major repairs may cost you over $10,000. Read more on selling a house with foundation problems.
• Structural damage: Older homes may experience settling (slowly sinking or shifting into the ground over time), which cracks and weakens the floor, foundation, and walls.

  Minor leveling costs about $2,000, while significant repairs may exceed $10,000. Learn more about selling a house with structural damage.

There are many other issues associated with older homes, including gaps in windows and doors, toxic black mold and water damage, termite damage, and electrical issues.

As a result, restoration costs for an older house can easily set you back tens of thousands of dollars.

What Does a Traditional Real Estate Sale Entail?

When selling an older house the traditional way, you first need to decide whether you’ll be hiring an agent or selling by yourself.

If you choose to hire a local real estate agent, they will act as your representative and oversee the majority of the sales process, from listing and marketing to price negotiations and closing.

The catch, however, is that you’ll have to pay a hefty commission of between 2% and 6% of the selling price.

You may also choose to sell by yourself, which is difficult when you have no professional training in real estate sales. And there are still FSBO closing costs to pay.

You may lack the expertise to set and negotiate the best price for your house. There’s also the issue with filling out numerous disclosures and paperwork, which is a legal responsibility.

Whichever option you pick, you’ll have to go through the following steps:

1. Examine the scope and degree of damage. Hire a professional contractor to inspect the damage and estimate repair costs.
2. Set a suitable price. To determine a fair price for your home, your agent will conduct a CMA (comparative market analysis).

   If you’re selling by yourself, use online home valuation software (you can try our home market value estimator for this purpose) and local real estate market data to determine a good asking price.

3. Ready the house for sale. Renovate the property and clean it.
4. List and advertise the house. An agent will list your house on the local MLS and manage any other marketing efforts.

   If you’re handling the sale by yourself, list your property on popular listing platforms such as Zillow, Opendoor, and Redfin, as well as other FSBO listing websites.

5. Negotiate offers. Talk to prospective buyers and compare offers to land the best deal possible.
6. Allow the buyer to have your property professionally inspected and appraised, and wait for the respective reports.

   Typical homebuyers require a professional home inspection and appraisal as part of the mortgage approval process. If the house is found to have a lower market value than your asking price, you will need to renegotiate with your buyer.

7. Work with a title company to handle the paperwork and transfer property ownership. Once the title search is done, you can schedule a closing date.
8. Finalize closing and get the money in your bank account.

Pros and Cons of Selling an Old House Traditionally

Selling your old house traditionally has the following benefits:

• The real estate agent (if you decide to hire one) handles all aspects of the sale and protects the seller’s best interests.
• The old property may be sold at its market value (if the real estate agent or the seller themselves are experienced enough).

Still, there are several downsides to selling an old home the conventional way.

• High realtor commission fees (if the seller uses an agent). Commission charges cost 2% to 6% of the final sale price.
• You will be required to make repairs and renovations, which can be expensive and time-consuming.
• A traditional sale takes a lot of time, compared to selling to an investor. This is due to the lengthy marketing, and sales process, as well as the time spent on renovation.
• Lenders require inspections and appraisals from homebuyers, which drags out the sale process.
• Typical buyers are very picky. As a result, negotiations with them and their real estate agents can be draining.

Now that you know the two best ways to sell your old house fast, you can easily choose the one that best suits your needs.

Now that you know the different ways to sell your property, the next step is to compare how much you can get for it by selling to a real estate investor versus using a real estate agent.

To do this, find a few local professionals and compare their offers. When talking to a real estate agent, don’t forget to ask for a quote on their commission, in addition to the estimated property price.

And as for real estate investors, request all-cash quotes on your house and compare the offers coming from reputable professional cash buyers working in your area.