Selling a home as-is in Texas means that you’re selling the house in the condition that it’s in. Whether your home is in perfect condition to fetch the highest price on the market or it’s distressed and it needs a lot of work. This is what it means to sell your home as-is.
However, when a homeowner is selling a home as-is, it typically means their home needs a lot of work or they’re in a distress situation where they need to sell their home quickly. For example, a quick sale could be a short sale, an auction, or selling directly to an investor.
Short sale: A short sale occurs when a homeowner in a tough financial situation sells their home for less than is owed on the mortgage. The lender gets all the proceeds of the sale and either forgive the difference or gets a deficiency judgment against the borrower. This means the borrower has to repay the difference between the sale price and what’s owed on the original mortgage.
Auction: Selling your home in an auction might be a good way to sell your home as-is. During an auction, you have the option to set a minimum bid price. That way you won’t lose money on a low winning bid.
Selling directly to an investor: Selling directly to an investor can be a good option if you’re in the ideal situation. Investors are seeking to purchase properties below market value and then force the appreciation higher through a rehab. Depending on your circumstance selling to an investor might be an easy way for you to sell your home as is in Texas.
How to sell a house for cash in Texas?
If you want to sell your house for cash in Texas, you have mainly two options. You can have a for sale by owner where you market the property and sell it yourself to maximize your profit. Or you can sell it to an investor.
Option one can be a lot of work, but you have a chance of maximizing your return.
If you want to learn more about how to sell your property by the owner, here is a related article, we hope you find interesting and helpful.
As far as selling to an investor there are more than enough homebuyers in Texas, locally and nationally that will give you a cash offer.
If you do a quick Google search, you’ll be able to find cash home buyers in your local area. You will find small investors buying 4-5 homes per year to larger companies like Zillow and Opendoor, all with advantages and disadvantages.
Can you sell a house as is in Texas?
Yes, you can sell a home as-is in Texas. You will find that you will not have a shortage of individuals or companies fighting tooth and nail to purchase your home.
Is it bad to sell a house as-is?
It depends on who you’re asking. Are you asking the homeowner? Or are you asking the person who is purchasing the property? For the most part, people who are selling their home as-is, are in a tough situation that they’re trying to get out of. So, in essence, selling their home wouldn’t be a bad thing. However, it would be bad if you attempted to sell, but instead, you were scammed and lost your property. Always do your homework before you work with anyone about selling your home or anything for that matter. There are scammers in every industry including real estate.
Pros and cons of selling a house as-is
There are some potential issues you will face with selling your home as-is. Below you’ll find the disadvantages:
- Lowball offers
Once potential buyers see a home selling as is. Their first instinct is to send in lowball offers because they know the homeowner is in trouble and needs to sell their property quickly.
- Attract Fewer buyers
Most home shoppers are looking for move-in-ready homes. Typically, a home selling as is, screams I need a lot of work, buyer beware. Your buyer pool will mostly be of investors and weekend worries looking for a do-it-yourself project.
- Less money
Chances are if you’re selling your home as-is, you’re going to get less money for your property.
- Losing your home
Yes, selling your home this way means for some homeowners they are losing a property they want to keep. It’s tough living in a property for several years building up memories and then having to sell it because you fell into financial difficulties.
Most homeowners should avoid selling their homes as-is. However, there are certain situations where selling as-is really is desirable. These reasons include:
- You can’t afford to make repairs
You might be in a financial situation or otherwise, where making any repairs even the smallest isn’t feasible. If the property has defects and you have no way to repair them, you may have no other choice but to sell as-is.
- Easier selling process
Selling your home, the traditional way through a realtor can take weeks if not months to complete the transaction. Alternatively, selling to an investor can take less than two weeks in many cases. Since the purchase is done using cash it eliminates the need for a lengthy lending process.
- Relieve yourself of the burden
Having a home that’s financially burdensome can be a tough situation to be in and it can create unnecessary stress. Getting rid of the property might help you, although it’s not a guarantee.
- Saves time
If you have the money for the repairs, but you don’t have the time. Selling your home as-is will definitely work for you. Time is our most important asset and if you’re short on it, this might be a great option.
Selling your home as-is in Texas can be a good option for you depending on your circumstance. If you are in a bind financially or otherwise, it could work out in your favor. It’s definitely not an option for everyone one but it can be a lifeline for others.