U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Real Estate
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 01-31-2018, 07:37 PM
 
Location: Miami-Jax
5,293 posts, read 5,837,574 times
Reputation: 2706

Advertisements

Quote:
Originally Posted by Winter Sucks View Post
Thank you. After disclosing the problems of the house to a realtor, they may require me to have possible "violations" fixed...plus I'd owe them a percentage of the selling price. That's why I thought it would be quicker and easier to sell to "Ugly Houses" because they know it's "as is".
I am pretty sure you would get more listing on MLS even after you pay realtor commission. There shouldn't be any violations that need to be fixed...there could be things that almost all retail buyers would want fixed, but you're not seeking a retail buyer anyway.

Up to you...wholesalers are looking to get great deals and flip the contract for a profit at your expense...but then again as you realize it is to save you time and hassle most of the time.
Reply With Quote Quick reply to this message

 
Old 01-31-2018, 07:42 PM
 
4,392 posts, read 7,552,804 times
Reputation: 6243
Sometimes, they get you sign a contract to sell your house to them for $50k and close the next few weeks. They put it up for sale with a realtor and find a buyer for $200k. They do a double closing at the day of sale and close on your end for $50k, and close with the other guy for $200k and profit $150k for doing nothing.

And your left wondering, why didnt I just list it with a realtor myself and keep the money since they didnt actually do anything to the property?
Reply With Quote Quick reply to this message
 
Old 01-31-2018, 09:04 PM
 
Location: Wisconsin
15,075 posts, read 14,411,256 times
Reputation: 34136
That company, or a similar company, offered me something like $80,000 for my condo "as is". I sold it through a realtor, "as is" for about $150,000.
Reply With Quote Quick reply to this message
 
Old 02-01-2018, 12:03 AM
 
Location: Montrose, CO
310 posts, read 95,869 times
Reputation: 1133
Quote:
Originally Posted by lchoro View Post
I've heard that they typically pay 25-30 percent below market value for a house in decent condition and up to 50 percent off for one that needs extensive work. They and others seem to be send out frequent standard form letters and postcards to elderly who have a lot of equity and low income, which restricts their ability to refinance the mortgage or repair the home. My mom used to get the postcards all the time. My mom used to get those close in 7 days letters almost weekly.

You can visit their web sites and view their inventory of homes. From there, you can check the county or city real estate database to see how much they paid as well as do a comparison to recent neighborhood sales. You could probably check your own neighborhood's sales for these firms as they will list the name of the buyer for the buyer.
That's exactly what happened to a relative of mine. His house would have been worth $150,000 if he had maintained it, but because he didn't, WBUH bought it for $75k. Maintenance would not have been $75,000. Idiot.
Reply With Quote Quick reply to this message
 
Old 02-01-2018, 12:15 AM
 
1,357 posts, read 677,627 times
Reputation: 966
Quote:
Originally Posted by 399083453 View Post
Sometimes, they get you sign a contract to sell your house to them for $50k and close the next few weeks. They put it up for sale with a realtor and find a buyer for $200k. They do a double closing at the day of sale and close on your end for $50k, and close with the other guy for $200k and profit $150k for doing nothing.

And your left wondering, why didnt I just list it with a realtor myself and keep the money since they didnt actually do anything to the property?
Exactly, as I described earlier, their contract allows them to frequently act as a middleman on flips and do a double close. Their contract leaves them an out, too. So you move out of town; you are gambling on getting paid.
Reply With Quote Quick reply to this message
 
Old 02-01-2018, 02:29 AM
 
361 posts, read 325,333 times
Reputation: 939
I had a friend whose house needed a new roof and updating. She was offered $28,000. She was ready to take the offer, but I convinced her to list it in MLS. It took about six weeks from listing to closing and she walked with about $80,000 after all expenses.
Reply With Quote Quick reply to this message
 
Old 02-01-2018, 02:45 AM
 
1,464 posts, read 562,196 times
Reputation: 2023
Probably well discussed in other places but I never understood their branding. I get that they want to give the message that they will buy houses regardless of the condition. However, nobody wants to believe that they have an ugly house. Many sellers take negative feedback on their houses personally. Also, I would imagine that much of the business that this company gets is from people inheriting their parents' home.

Mom spent hours working on the garden of her very modest and outdated home (was the family home) and now she's just passed on and her two sons inherit it. The don't live in the area and don't want to become embroiled in potentially contentious and emotional traditional sales process so they make the hard decision to just quickly and easily sell it to one of these companies.

Selling the home must be done but it's very emotional because they grew up in that home and since dad died, her flower garden was her one joy in life and despite being an outdated home, she had pride in it and kept it so tidy. The older son was even born in that house and dad died there. Now they want to sell it to some company that buys "ugly houses"??? Not exactly a positive image for these sellers and doesn't suggest that their difficult transaction will be treated with even a semblance of sensitivity.
Reply With Quote Quick reply to this message
 
Old 02-01-2018, 03:37 AM
 
690 posts, read 244,885 times
Reputation: 1123
Quote:
Originally Posted by Winter Sucks View Post
If so, did you receive an offer good enough to accept, or was it so low ball that you said "no way"?
They were very nice and professional but they offered 120K. At the time we did go back and ask if they could do better and they came up 5K but that was an undervalue we couldn't take.

We eventually sold for 199K. We did fix up the house a little but we only spent 10K.

I think this does work for some people but a very small subset.
Reply With Quote Quick reply to this message
 
Old 02-01-2018, 06:44 AM
 
1,464 posts, read 562,196 times
Reputation: 2023
Quote:
Originally Posted by just_because View Post
Probably well discussed in other places but I never understood their branding. I get that they want to give the message that they will buy houses regardless of the condition. However, nobody wants to believe that they have an ugly house. Many sellers take negative feedback on their houses personally. Also, I would imagine that much of the business that this company gets is from people inheriting their parents' home.

Mom spent hours working on the garden of her very modest and outdated home (was the family home) and now she's just passed on and her two sons inherit it. The don't live in the area and don't want to become embroiled in potentially contentious and emotional traditional sales process so they make the hard decision to just quickly and easily sell it to one of these companies.

Selling the home must be done but it's very emotional because they grew up in that home and since dad died, her flower garden was her one joy in life and despite being an outdated home, she had pride in it and kept it so tidy. The older son was even born in that house and dad died there. Now they want to sell it to some company that buys "ugly houses"??? Not exactly a positive image for these sellers and doesn't suggest that their difficult transaction will be treated with even a semblance of sensitivity.
It also suggests that they'll give you a low price for it because just by calling these guys you've already tacitly acknowledged that the home you're selling is an ugly s-hole. Getting a low price offer for the house might be the reality of their business model but I don't think it's good branding to give the market that impression before they even call you.
Reply With Quote Quick reply to this message
 
Old 02-01-2018, 07:08 AM
 
314 posts, read 121,309 times
Reputation: 704
One concern of selling through a realtor is our house has gotten water in heavy rains. Yes, I would disclose that. However, there are a few brick walls in corners of the basement with black mold, which we don't touch and have never gotten ill from. I heard it can cost thousands of dollars for mold removal and don't want to put that much money into this old house. That's another reason I thought the Ugly House people would take it off my hands, no questions asked.

I appreciate all the feedback.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Real Estate
Follow City-Data.com founder on our Forum or

All times are GMT -6.

2005-2017, Advameg, Inc.

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32 - Top