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Selling Your Home to An Investor vs Realtor: Which Option Is Right for You?

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Selling a house is stressful, especially if you’ve already purchased another property or are otherwise racing against the clock to sell your home. The entire process can feel like a massive weight on your shoulders. Having a terrific realtor to help market your home and court potential buyers can help a lot, but it isn’t necessarily a solution to all your problems.

The real estate industry is evolving, though, and selling your home via realtor is no longer the only real option. Nowadays, it’s becoming increasingly common for homeowners to sell their homes to real estate investors. Depending on your situation, working with an investor rather than a realtor might be a good option for you.

Here are a few of the core differences of selling with an investor, versus working with a realtor:

  • You can sell your home in as-is condition: One of the biggest perks of selling your home to an investor rather than listing it on the real estate market is that you can usually sell in as-is condition. Perhaps the most stressful part of selling your home is trying to make the house as attractive as you can to as many buyers as possible. Repainting, re-carpeting, replacing old appliances, and doing landscaping to improve curb appeal are all steps that a realtor might recommend to enhance your home’s value and sale chances. Of course, these steps cost money and can take a long time. If you don’t have time or money to spare, selling to an investor might be your best bet. Investors will often by homes in as-is condition and then handle renovation and upkeep work on their own.
  • The entire process can go very quickly: In hot real estate markets, fairly priced homes can sell within a few days of listing. If you don’t live in a hot market, though, it can take a lot longer for a buyer to come along—even with a skilled realtor pulling strings. A wonderful thing about selling to investors is that the process moves along very quickly. With the right investor, you could close on your home’s sale in less than a week. This option is ideal if you are relocating, if you need cash fast, or if you just don’t want to deal with a long listing.
  • Investors aren’t afraid to buy properties with encumbrances and other issues: Does your home have a lien, judgment, or some other burden placed upon it? Are there any issues with your title? Are there environmental or structural problems with your property? Most buyers will run from these types of properties. A realtor can sometimes help you clear liens or other issues, but can’t necessarily make a buyer want to take a chance on your property. Real estate investors are skilled at clearing up these problems and are typically willing to buy regardless of them.
  • You don’t pay realtor commissions: When you buy a house, even if you have a realtor helping you shop around, communicate with the seller, and negotiate the deal, you don’t pay the realtor. Instead, the realtor gets paid a commission based on the sale price of the home, subtracted from the total sum. This arrangement seems just about ideal when you are buying. When you sell your home, the realtor’s commission comes out of your home’s sale price. In other words, you end up with less money than you might expect. When you sell to an investor, there is no realtor or middleman. Instead, all the money goes toward settling the mortgage and compensating you for your equity in the home. There are usually no other fees with a direct-to-investor sale either, an ideal way of doing business if you want to maximize your profits.

These are just a few of the benefits of working with a real estate investor instead of a realtor. If you are interested in selling your home and you live in Cupertino, Willow Glen, Campbell, Fremont, Belmont, or San Mateo, then Twinley Homes wants to hear from you! We are real estate investors who buy homes for cash and renovate them with the goal of spurring neighborhood revitalization. We often help buyers with foreclosure avoidance or debt problems, but we are willing to buy just about any home in our target radius.

To learn more about what we do and how we work, contact us or give us a call right away at 408-909-8946.