Selling a Home As Is in North Dakota (A-to-Z Guide)

A seller listing a home ‘as is’ means they don’t intend to upgrade or fix anything. The buyer purchases the home as found on the day the contract is signed.

The seller must maintain that condition until the property sale closes, but no repairs or modifications will be done by the seller.

North Dakota’s purchase contract doesn’t include an ‘as is’ condition clause. In fact, the state-approved contract lists several items that the seller must warranty.

These include that the property is free from any construction liens and doesn’t contain any hazardous materials.

Yes, you can sell a home ‘as is’ in North Dakota. Although the seller must satisfy a small list of conditions that might require some repairs, other flaws and damage can be left as is.

Sellers must allow buyers access to the home to conduct property inspections, at the buyer’s expense.

These inspections aren’t required by law, and the professionals conducting the inspections must be licensed in North Dakota to operate as a home inspector.

How does selling a house ‘as is’ work in North Dakota? Let’s start that discussion with the property disclosure.

The North Dakota Real Estate Commission has a standard property disclosure form that must be completed by all sellers of residential real estate of no more than four units.

Sellers don’t need to hire a professional inspector to complete the report, but they need to be transparent about any faults and defects, and disclose these defects in writing on the form.

Homeowners selling a home with asbestos, radon or indoor mold, or owners selling a house with termite damage need to state those defects in writing on the disclosure.

Selling a house in a flood zone must be disclosed, even when the home hasn’t had any water damage from storms or flooding.

Sellers are required to complete a federal lead paint disclosure. That form includes the risks that a house with lead paint poses to families.

Owners selling a house with lead pipes, or one with a failed septic system, must disclose those problems.

Selling a house with fire damage, unpermitted work, or foundation issues requires homeowners to disclose those items and explain the problems in detail.

Haunted houses, bed bug infestations, and any hydraulic fracturing (fracking) on the property are conditions not listed on the disclosure form.

Property owners selling a house with polybutylene pipes aren’t specifically required to disclose the pipes, but a general statement about the condition of the plumbing in the house must be made.

You can leave stuff behind when you sell your North Dakota house ‘as is’ by completing the “This Sale Includes: Attached” section of the North Dakota sales contract.

The personal property you leave must be itemized and given to the buyers free and clear of any encumbrances or liens. Sellers cannot charge the buyer for the items as part of the home sale.

“Should you sell your North Dakota house ‘as is’ or fix it up?” This is an important consideration you need to answer before listing.

Only you know your anticipated sales calendar and the time and money you have to devote to repairing items before selling.

Evaluating the advantages and disadvantages of each option might make your decision to fix or sell ‘as is’ easier.

Why sell a North Dakota house ‘as is’? There are a number of advantages to doing so.

Pros of Selling Your House As Is

• You won’t experience the headache of repairing your house or hiring contractors to do the repairs.

• Your sale will move faster when you don’t wait for repairs to be completed. This is particularly true when selling to a North Dakota cash house buyer. Cash eliminates a number of delays, including receiving loan approval or going through an appraisal.

• When a licensed North Dakota home inspector completes a report, that’s the time turnkey buyers start the repair negotiations. These can be quite detailed. Many ‘as is’ buyers understand that buying a fixer means they’ll need to repair items in the house, so you’ll avoid that hassle.

• Once an inspection is done, that report must be incorporated into your property disclosure. Limiting inspections means limiting what you know about your house.

• Many ‘as is’ buyers allow you to leave things behind in the property. That saves time and money spent on disposal fees.

Cons of Selling Your House As Is

• Fixers don’t receive the same price offers as turnkey properties. Buyers deduct the repair costs and potentially added value from the price they offer. A review of the estimated closing costs for sellers allows you to decide if an offer is close to your desired sales price.

• Selling as a fixer limits your buyer pool. Most buyers look for turnkey properties or houses that require minimal repairs. However, you can always turn to a cash house buyer — they look for homes in bad condition. We will discuss them in the next section.

“How do I go about selling my house ‘as is’ in North Dakota?” There are a few ways to sell your house in the Peace Garden State.

Let’s start with selling to a cash real estate buyer in North Dakota.

How to Sell a House As Is, Fast and For Cash Directly to an Investor

Who Are Cash House Buyers?

Cash buyers purchase real estate for their business. These buyers operate as solo investors, investment firms, or even as hedge funds.

Investors operate by using their own cash or they borrow money from private lenders to purchase your property.

Financing from private lenders allows the investors to move quickly to close the sale.

Unlike mortgages from banks or savings and loans, private money doesn’t have all the qualifying requirements to obtain a loan.

For example, with private funding, sellers won’t need to order an appraisal and wait for a report.

Cash investors buy investment homes in North Dakota that need repair. The property is then repaired or remodeled to resell to other buyers. This is known as “house flipping”.

Some real estate investors in North Dakota specialize in buying rental properties. These buyers purchase current rentals or buy homes that can be converted to rentals.

When you sell your house to an investor, the buyer typically handles all the details of the sale.

They advertise house buying as a service to people who are in a hurry or those who prefer a quick and easy transaction rather than a more complicated traditional sale.

Some of the categories of such sellers are:

• heirs selling an estate home
• homeowners selling a house in poor condition
• couples selling a home during divorce
• seniors looking to downsize
• workers selling a house for job relocation
• property owners selling a home to avoid a foreclosure
• owners selling a house with taxes owed

Investors typically work with local North Dakota investor-friendly title companies with experience in closing cash sales.

Pros of Selling Your House As Is Directly to an Investor

• Selling to a company that buys houses is generally a speedy sale. Sales can sometimes close in a week.

• Cash house buyers don’t require appraisals or the downtime waiting for loan approval.

• Selling to an investor also means you don’t pay a seller’s agent commission fee. One of the strongest home buying companies’ selling points is that they process transactions without realtors involved.

• Investors also pay both buyer and seller closing costs for the transaction. That’s another significant savings.

Cons of Selling Your House As Is Directly to an Investor

• You probably won’t receive market value for your home. Investors factor in the cost of the repairs and potential added value into their offers.

• You’ll need to vet your investor carefully because you won’t have a professional agent covering your fiduciary rights. Of course, you can hire an agent to represent you, but it would make little financial sense to pay them a commission on top of the discounted offer you are accepting from the investor.

Finding the Best Cash House Buying Company

Locating a cash house buyer is easy if you use your browser to search for investors in your area by typing the following search terms. Here is an example for Bismarck as a target location.

If you live in a rural area, search by using the city closest to your house. This will bring up local investors.

• we buy houses Bismarck, ND
• sell my house fast Bismarck, ND
• cash house buyers Bismarck, ND
• sell my house for cash Bismarck, ND
• iBuyer companies Bismarck, ND

Filter your list of investors to find the people or companies with at least three years in the investment field. This provides the experience and the track record to close your house.

The next step is to do some research into the investors left on your list after your initial screening.

How to Choose an Ethical Investor?

Locate the “About Us” page on the investor’s website. It should identify the investor and provide background information.

If the website doesn’t have this information, it’s time to remove them from your list of prospects.

Reputable companies and investors are transparent about who you will be working with in the transaction.

North Dakota requires investors to have a license to buy and sell real estate. Use the North Dakota Real Estate Commission Licensee Directory online search tool to confirm a license.

If the investor isn’t licensed, scratch them off your list. You can also research the prospective investors by using the local branch of the Better Business Bureau (BBB) website.

Another easy way to review your prospects is to review consumer review websites. If you’re seeing valid complaints against an investor on your list, select a different investor.

If you don’t have the time or energy for the research, you can make the search easier by requesting a cash offer from the companies partnering with HouseCashin.

With one online request, you’ll receive cash offers from up to five vetted investors.

HouseCashin researches and pre-screens its partner companies and refers your request for an offer to investors for you. Request your cash offers now.

The next listing option is to sell your house yourself.

How to Sell a House As Is by Listing It by Owner

Listing your house yourself is known as FSBO — “for sale by owner”. Owners take on all the listing and advertising duties when choosing this way.

When selling a home in North Dakota by yourself, a house value calculator can be your secret weapon. It gives you a quick estimate of your home’s worth, helping you set a fair and competitive price that attracts buyers while ensuring you don’t sell yourself short.

One of the most challenging FSBO duties is finding buyers.

Where Can You List a House For Sale by Owner?

Using websites to advertise for sale by owner is the easiest way to put your listing in front of a large group of potential buyers.

Most of these sites are free to use, but they also have paid services to increase the visibility of your listing.

Create a video touring your property and add it to your listings on real estate websites. Advertise your property on social media too. Find local Facebook groups for people buying and selling homes.

Another quick and easy way to advertise your listing is to put a sign on the property. This has better results when the property is in a well-trafficked area.

Pros of Selling Your House by Listing It by Owner

• Sellers pay a real estate commission of between 2.5-3% of the sales price to the listing agent. Commissions are negotiable, and sellers may pay more in some areas of North Dakota. You’ll avoid paying any commissions on the seller’s side when you sell as an FSBO.

• Listing by yourself means you can determine all the details of the listing and sales transaction. You’re in charge of everything involved in the sale of your home.

• Your property is your only focus, unlike agents who may have a number of listings and other buyers to represent. Your single focus may mean you sell your house faster compared to working with an agent.

Cons of Selling Your House by Listing It by Owner

• Most buyers need a mortgage loan to purchase your property. You’ll end up waiting for your buyer to have a loan application approved. You’ll also need to wait weeks for a house appraisal and the underwriter to approve the loan.

• Selling by owner means you won’t have a professional agent to represent your interests in the property transaction.

• Without a background and experience in home sales, you may make a mistake. Mistakes mean delay, and that might mean your sale falls apart and you lose your buyer. You might even end up in court if your mistake is a major one. As an FSBO, you’ll need to be familiar with the details of the closing costs when selling a home by owner.

The last listing option we’ll cover is to hire a professional to list your property and guide you through the sale.

Who Are Real Estate Agents?

Your real estate agent is your personal representative operating on your behalf during the sale.

Your agent assists you in listing, marketing your house, negotiating offers, guiding you through the sales contract, and then supervising title and escrow steps.

Peace Garden State prospective agents must take coursework and pass exams on that material to apply for a license to work as a salesperson.

Agents work under the supervision of a broker who holds a special license for that work that requires additional courses and exams.

The North Dakota Association of Realtors is the state branch of the trade group, National Association of Realtors (NAR).

Agents using the designation of Realtor are members of that professional trade group. They take an oath to work ethically in representing you.

Pros of Selling Your House As Is with a Real Estate Agent

• Realtors have access to a unique database of comparable sales in your neighborhood. These sales, called “comps”, provide the agent with a list of features and finishes included in each property that has sold. This helps you set a sales price for your property that will sell quickly and appraise without any problems.

• Your Realtor is a licensed professional who takes an oath to put your fiduciary interests first. They have the education, training, and experience to represent you during the listing and sales transaction.

Cons of Selling Your House As Is with a Real Estate Agent

• North Dakota agents earn between 5-6% of the sales price as a commission. This depends on the geographic location and also the negotiations done over commission fees. The average Realtor cost to sell a home is the largest portion of the closing costs in North Dakota.

• You won’t be your agent’s only client. Agents must divide their time between a number of buyers and sellers. Your fixer will be just one of the many properties requiring your agent’s time and energy.

• Agents will market your house to the public. These prospective buyers generally require a mortgage to buy your property. This means spending time waiting for the buyer to be approved and the home to appraise for the selling price. This can add weeks to the closing calendar.

How to Choose an Ethical Real Estate Agent?

The first step to vetting a real estate agent is to make sure your prospects are licensed to do business in North Dakota.

The North Dakota Real Estate Commission Licensee Directory online search tool allows you to to check if your agent is licensed and listed as “active” in the state.

Check with the commission to see if any of your agents have been disciplined by the agency.

The local branch of the Better Business Bureau (BBB) also mediates disputes between real estate agents and dissatisfied clients.

Check with the BBB to see if any complaints have been filed against your list of potential agents.

Ask your neighbors if they’ve worked with an agent who has experience in listing and marketing ‘as is’ properties.