The foreclosure rate is one of the most daunting things you can face when trying to sell a home.
Nationwide, the sale of distressed properties accounts for half of all home sales, so those sold for below market value or out of foreclosure can be make the market tough – but not impossible.
There are many benefits in the price of foreclosed homes. Prospective buyers have to do a lot of looking for potential with these properties, and sparing them from that task can make your home stand out.
With foreclosures, the biggest issue is the state of disrepair most of these homes are in. If a home lacks attention, it will deteriorate over time. If the property was still inhabited, certain things would get fixed more quickly than they would now that no one is there.
A homeowner facing foreclosure is not likely to repair leaks and broken fixtures. An outdated bathroom or kitchen wouldn’t have been upgraded. Stained carpets would not be cleaned or replaced.
While it may offer a big reduction in price, a home buyer will benefit less from having to do a lot of repairing. Keeping your property landscaped and cleaned, you can keep your listing in the lead. Be sure to clean carpets and flooring and make any needed repairs, repaint fading, dirty or peeling areas, and, if you’re planning on new appliances after the move, consider buying them now if they’ll fit your kitchen as they’ll make it look more modern, even if you take them with you when you move.
If you’re considering remodeling projects, the bathroom and kitchen are the areas most likely to add to home value and the ones home buyers aren’t going to want to tackle.
Another advantage you’ll be able to offer over a distressed property is the possibility of a quicker closing. Paperwork can take months to go through on a foreclosed home. So the buyer can move quickly, prepare a 30 day closing date.
Competing with foreclosures when trying to sell a home is tough, but certainly not impossible.