I have learned alot from this blog and hope someone here can help me with this. My husband’s dept is being disorganized and a few people will be offered new jobs in TX, we’re in GA. We have no idea if we’ll go to TX or not. Info is being slow to come from higher up. He’s a federal employee. We know we need to get rid of our home no matter what. We owe $113,000 on the mortgage. The house is in need of repairs, foundation, plumbing, and a few other things. The homes in our neighborhood when selling, are going for $160,000 to $200,00. We have too much debt to put any money in making repairs. So are wondering about contacting some of those ads that”buy ugly houses”. Has anyone ever had dealings with that type of transaction? What should we know going into something like this? What should we be wary of? I just want to get out from this house. All we care about is getting enough to pay the loan off. I appreciate any insights you have to offer.
Before I did that, and I don’t trust those companies anyway, I would list the house and price it about $10K below what the others are selling for. Make a list of the issues that are huge, like the foundation, and disclose those. Let the buyers negotiate from there. They may want you to knock of $20K, but you would still get it sold. We are selling our house. Last Summer, we put $25K into shoring up our foundation and the garage floor is sinking and the driveway would cost $10K to redo. We are lsting our house at normal price, maybe a little below, and let the buyers negotiate. We may lose a little money on top of the $25K we can’t recoup, but we will get out of it. Also, disclose eberything and see if you can get them to sign off on it “as is”. That way, they can’t really come back to you and say we want money becaue of this, that and the other.
My opinion is that you should put the home for sale, rent in the new state to which you move and wait for the house to sell. if you haven’t made improvements or maintenance to it, it will be tough to sell it unless it is in a prime location where you live. so it will take a long time to sell it. flipper style buyer, in my opinion, would be a person who makes a living buying homes in bad conditions in good neighborhoods, improving them and then selling them.
you would have to investigate who these people may be, but it may not be easy because they could be a real estate person, a person with an architecture background or a contractor. you may have to ask by word of mouth who makes his or her living that way in your town. some of these people are willing to live in these homes while they are improving them, then sell them and move to their next project. you could otherwise try selling to a new home buyer that has the energy and time to repair it. sometimes flipper type buyers buy on speculation new homes being built by developers, with the hope of selling them when the homes are completed.
I have friends who have lost a lot of their savings because they were enticed to plans like those, just before the housing market turned sour last year. but that is not your situation. you should at least spend time and energy in making the house as presentable as possible, doing things you can manage, like painting, maintaining the yard, removing clutter. one guy i knew who would live in houses he was repairing until he sold them was a good gardener, so he used to make the garden very attractive while reparing and painting the house.