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Is it worth it to list a fixer upper or would it be better to sell it as-is in a private sale? Not sure if these houses are worth paying commission. They sell for low enough that it seems flippers and renovators buying them anyway would pay the same without realtor involved.
Pay for an professional appraisal. $500 or so. If you cant at least do this step to see what its really worth, your......... well..... not smart enough to do a for sale by owner and your leaving money on the table.
Pay for an professional appraisal. $500 or so. If you cant at least do this step to see what its really worth, your......... well..... not smart enough to do a for sale by owner and your leaving money on the table.
lol, appraisal does not = market value smarty pants.
Is it worth it to list a fixer upper or would it be better to sell it as-is in a private sale? Not sure if these houses are worth paying commission. They sell for low enough that it seems flippers and renovators buying them anyway would pay the same without realtor involved.
If a realtor isn't involved, that means you will be. Do you have the time to show the houses and field all the emails, texts and phone calls a sale will involve? Are you prepared to deal with a wide range of people from tire-kickers, dreamers, low-ballers and the occasional 'normal' person? If so, go on your own.
We were approached by a cash buyer who wanted to buy our house a few months ago. They were needy, impulsive and flaked in the end. After realizing we did want to sell the house, we gladly signed up with a realtor. We wanted a buffer between us and the buyers.
I might be giving different advice if we had been dealing with a relatively normal buyer. Or maybe they were normal buyers and we just didn't have the experience to know that.
We took the realtor's advice to list now, instead of our plan for the spring. We got three offers in five days after listing and are currently in contract. We'll end up with more money than the first deal, there was a bidding war, without doing any of the work. After dealing with that first cash offer, we were more than willing to pay a commission.
You need to assess your market awareness, capabilities, patience and tolerance levels and then decide.
If a realtor isn't involved, that means you will be. Do you have the time to show the houses and field all the emails, texts and phone calls a sale will involve? Are you prepared to deal with a wide range of people from tire-kickers, dreamers, low-ballers and the occasional 'normal' person? If so, go on your own.
We were approached by a cash buyer who wanted to buy our house a few months ago. They were needy, impulsive and flaked in the end. After realizing we did want to sell the house, we gladly signed up with a realtor. We wanted a buffer between us and the buyers.
We took their advice to list now instead of our plan for the spring. We got three offers in five days after listing and are currently in contract. We'll end up with more money without doing any of the work. After dealing with that first cash offer, we were more than willing to pay a commission.
It would be all low ballers and cash buyers as it is a fixer-upper. I had a friend who sold an as-is home using a realtor. Contractors and investors jump on it when it first comes on the market and toss out low offers.
Then you have an all- weekend open house and advertise for investors to come on down and take a good look. They come in packs, make a mess, then they nitpick and low ball and you have to get a bidding war going.
The realtor was in a big hurry to get the thing sold that day. The seller is not sure if he was given proper advice from the realtor to give it up so soon.
There are MANY different kinds of homes that qualify as "old fixer uppers" and without knowing more about both the specifics of the OP's home AND THE LOCAL MARKET CONDITIONS it is impossible to generalize if FSBO makes more sense than listing "as-is" with MLS.
The EXPOSURE that one gets with MLS is huge and will include basically EVERYONE who might conceivably by a buyer -- some of the buyers will include "low ball" types BUT you will also have far more REGULAR retail shoppers. MANY of the retail buyers MAY find the "old" features of the home as a perfectly acceptable trade off to get a home that is a solid value.
If you believe that buyers who shop FSBO are going to offer the same amount as the sorts of buyers that shop MLS you are probably mistaken -- studies even by completely independent researchers at colleges bear out the data from National Association of Realtors that MLS listed homes sell for a better price and in shorter time frame.
I would further caution that though an appraisal is often useful for legal situations (such as an estate or the third party verification needed for collateral approval of mortgage) there is NOTHING magic about the appraisal itself and any competent real estate agent should be relied to suggest fair asking prices. Even if you do decide to forego MLS listing any decent real estate will certainly welcome the opportunity to discuss recently sold comparable homes with you at no charge.
It would be all low ballers and cash buyers as it is a fixer-upper. I had a friend who sold an as-is home using a realtor. Contractors and investors jump on it when it first comes on the market and toss out low offers.
Then you have an all- weekend open house and advertise for investors to come on down and take a good look. They come in packs, make a mess, then they nitpick and low ball and you have to get a bidding war going.
The realtor was in a big hurry to get the thing sold that day. The seller is not sure if he was given proper advice from the realtor to give it up so soon.
Split the difference and go with a flat fee brokerage? Seems like that would allow you to get on the MLS, deal with the one day circus, and move on with your life.
There are MANY different kinds of homes that qualify as "old fixer uppers" and without knowing more about both the specifics of the OP's home AND THE LOCAL MARKET CONDITIONS it is impossible to generalize if FSBO makes more sense than listing "as-is" with MLS.
The EXPOSURE that one gets with MLS is huge and will include basically EVERYONE who might conceivably by a buyer -- some of the buyers will include "low ball" types BUT you will also have far more REGULAR retail shoppers. MANY of the retail buyers MAY find the "old" features of the home as a perfectly acceptable trade off to get a home that is a solid value.
If you believe that buyers who shop FSBO are going to offer the same amount as the sorts of buyers that shop MLS you are probably mistaken -- studies even by completely independent researchers at colleges bear out the data from National Association of Realtors that MLS listed homes sell for a better price and in shorter time frame.
I would further caution that though an appraisal is often useful for legal situations (such as an estate or the third party verification needed for collateral approval of mortgage) there is NOTHING magic about the appraisal itself and any competent real estate agent should be relied to suggest fair asking prices. Even if you do decide to forego MLS listing any decent real estate will certainly welcome the opportunity to discuss recently sold comparable homes with you at no charge.
Thank you, that is practical advice. The house needs rehab/code work, not just update so I assume not eligible for conventional loan.
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