Sell My House Pittsburgh : 8 Scenarios You Need to Know Where Fast Cash Is Best
Selling a home is exciting and nerve-wracking at the same time. On the one hand, it’s fun thinking about the money you’re getting from the property. If you’re moving, it’s a beautiful feeling to pack up and try life elsewhere, filled with hope and optimism. However, the sales process also has some natural anxiety to it. What if your home doesn’t sell? What if you don’t get what you’re asking for it? Anyone who thinks to themselves, “I’d like to sell my house in Pittsburgh ,” also invariably recognizes the pros and cons of selling their home via a real estate agent.
There are other ways to sell your home, though! Cash investors present an alternative that results in a super-fast home sale. Let’s look at the process of selling your home with a traditional real estate agent, as well as the process of selling your house to an all-cash buyer. Then we can take a look at eight scenarios where the fast-cash approach is probably the best!
Sell My House Pittsburgh: The Real Estate Agent Approach
There are two primary ways to sell your house in the Pittsburgh area: you can either sell it using a real estate agent or sell it to an all-cash buyer. As you might expect, there are advantages and disadvantages to both.
Selling your home via a real estate agent is the way most people find buyers for their homes. It’s also a slow process, often taking months from start to finish. There are typically a few steps to this process. The first one is to find an agent that is available to sell your property. You and your agent will discuss your home’s details, and your agent will walk through it. They’ll usually make some suggestions for renovations and upgrades during this walkthrough.
If your home is in a marketable condition, those repairs will usually be minor. However, if your property requires a significant amount of repair to make it desirable, you could be looking at tens of thousands in repair bills to bring your property to market. For primary residences, the repairs are usually minor since you would have repaired anything significant while living there. However, rental properties, inherited homes, homes that have gone through long times in probate, etc. often have substantial damage that would scare off the average buyer.
Once you’ve made the necessary repairs and enhancements to your property, your real estate agent will take some photos of your property and list it on various home sales websites, like Zillow. They’ll also list your property in the newspaper, and on other sites (like their own). If your agent thinks it’s something that one of their buyers might like, they’ll recommend it.
Open Houses and Offers (Hopefully)
Your agent will also schedule open houses. When you want to sell your house in Pittsburgh, they’ll advertise these events with signs locally and online. At these open houses, prospective buyers come in and take a look at your home. Of course, with COVID-19, many of these open houses are virtual – so people won’t walk through your home. Instead, your agent will give them a tour over FaceTime, Skype, or similar videoconferencing technology.
Eventually, the hope is that one of those prospective buyers will like your home so much that you’ll get an offer. That offer might be at asking, above, or below.
If you accept the offer, you’ll enter into escrow. The buyer will wire some earnest money and will start the buying process.
Many sellers make the mistake of thinking that, at this point, the prospective buyer will take possession of the house. Unfortunately, this belief is misguided. There are numerous reasons why the buyer can, legally, back out of the deal.
Buyers Can Walk Away Without Penalty
Most offers have three contingencies: appraisal, inspection, and the ability to obtain a loan. If your property doesn’t appraise for what the offer was, the buyer can back out without penalty. Similarly, if the inspector finds any (no matter how small) problem with the property, the buyer can back out. Finally, if the buyer cannot, in good faith, obtain a loan, they can cancel the deal.
These contingencies make it possible for any buyer to walk away without penalty. There’s always at least some flaw with every home! A lot of times, deals fall through on the financing step. Banks tighten credit suddenly (e.g., COVID-19), or the buyer doesn’t have as good credit as they think.
In all of these cases, when you sell your house in Pittsburgh with a traditional real estate agent, you’ll have to start over if the deal falls through. Your agent will have to re-list the home, look for new buyers, and so forth.
It might take a couple of months or more to get to the offer stage. As such, someone deciding to walk away can drag the selling process for many more months. Additionally, if you have any issues with your property (e.g., repairs), buyers will be reluctant to put down offers. It might take four to six months to get to the first offer, and then if they walk away, it drags the process out that much more.
Sell My House Pittsburgh: The Cash Investor Approach
The alternative method for selling your house in the Pittsburgh area is to sell it to a cash investor. This method is entirely different than using a traditional real estate agent.
First, you should know that this process is fast. You can have cash in your hand for your property in a matter of a week. You won’t have to wait months for your money, like with a real estate agent.
The process is comparatively straightforward. Once you say, “hey, I’d like to sell my home Pittsburgh,” you can contact the cash buyer. They’ll take down your information and ask you some preliminary questions about the property. For example, they’ll want to know some basic structural details, ensure that you legally own it, and get a rough sense of its condition.
Most cash investors will give you a ballpark estimate over the phone. However, this estimate is just that, an estimate. Without seeing the property, there’s no way for the cash buyer to know its worth.
Assuming that the ballpark estimate interests you, the cash investor will schedule some time to look at your home. Note that you don’t need to worry about cleaning your home or performing repairs, unlike selling with a traditional agent. Cash buyers will take your house in any condition. Leaky roof? No problem! Rotting floors? Again, no problem.
The inspection will be comprehensive as the investor will use this information to determine a fair offer.
Assuming your home meets the criteria the cash buyer has for investing, they will write you a fair offer. This fair offer will take into account the good and the bad of your property. It will take into account the cost to fix the leaky roof, sure, but it will also take into account the potential that your home has once fixed up. Perhaps it could easily be the most beautiful home on the block. That would work in your property’s favor!
There’s no obligation for the offer. You don’t have to accept it. You can get a quote from a different company or decline it and sell it with a real estate agent. The choice is entirely yours.
If you accept the offer, the investor and you will agree to the closing date (in as little as seven days). You’ll sign the property over officially and receive a check for the agreed-upon amount!
Cash Investor vs. Real Estate Agent: Which Is Better?
There’s no denying that each method has its pros and cons. With a real estate agent, you’re getting the property’s value according to the most up-to-date factors. Whether you sell your home in winter or summer can play a role in how much you receive as an offer (winter months are slower and tend to have fewer buyers who offer less money). So it can be satisfying to know that you put your home on the market and this is its value. Of course, the downside is that you have to pay a commission to both your agent and the buyer’s agent (5-6% total).
The problem is that homes don’t necessarily sell. Sometimes they’ll sit on the market for months without a buyer. Other homes will sell, but only if you invest tens of thousands to make them better. There’s also a lot of variation in agents. Some are fantastic and will find the one buyer out of a thousand who will pay top-dollar for the property. Others are less motivated and take a few photos, put it up for sale, and see what happens.
In summary, real estate agents are more of a gamble. You might roll the dice and do well. You might also come up empty with a lot of time wasted!
Conversely, if you want to sell your house Pittsburgh as fast and reliably as possible, you want a cash investor. You’ll know you aren’t wasting your time and you’ll know precisely how much money you’ll get for your home. You don’t even have to pay real estate commissions with a cash buyer since there are no agents!
With an all-cash investor, you have predictability. You know, at the end of the short process, you will be walking away with real, cold, hard cash!
Situations Where an All-Cash Offer Works Best
While many people elect to sell their primary residences with a real estate agent, that’s not always the best course of action. Here are eight situations, in particular, where an all-cash offer works best.
Sell My House Pittsburgh: I Inherited the Home
Inherited homes are notoriously difficult to sell for a couple of reasons.
Depending on how long your relatives lived in the property, it may need significant repairs. It’s also not uncommon for people who have lived in the same home for 50 years to have extremely dated aesthetics. While your uncle might have loved wood paneling, there aren’t many buyers out there who want to buy a home with such a dated interior.
Further complicating selling inherited homes in Pittsburgh is the fact that you might not live near the city. For example, if you accepted a job in Los Angeles or New York, you can’t fly back for six months to oversee the repairs necessary and to go through the salei9.s process with a traditional real estate agent. Ultimately, you need the home sold as soon as possible.
That’s where the speed aspect of the all-cash investor is beneficial. With an investor, you can give them a call, get a rough ballpark figure, and, only if that’s acceptable to you, would you need to fly in to oversee the inspection (which takes no more than a day). If you like the final offer, you can sign, and just show up for closing.
Yes, you’ll still have some travel, but it would be nearly impossible to take the weeks off necessary to sell your home with an agent if you have a full-time job. However, with an investor, you’d just need to take a couple of days off to get your home sold. One for the inspection and one to collect your check!
Need to Downsize
Do you need to downsize? If so, you may wish to consider selling to an investor instead of deciding to sell your house Pittsburgh with a traditional real estate agent.
Let’s say you’re looking to downsize due to medical reasons. Perhaps you have a bad back or other health issues that prevent you from taking care of your current property. Maybe mowing the lawn, keeping the place clean, and other daily chores have become too complicated.
You could, in theory, sell your home with a real estate agent. You still have this big home to take care of while you’re going through the sales process. If it’s painful or difficult, those months of sitting in the house can be difficult.
On the other hand, an all-cash investor could provide you with the funds you need to leave your home ASAP. Having your money come all-cash means that you can put an all-cash offer down on your desired new property.
So, picture this scenario. On Monday, you make a call to the investor company. By next Monday, you receive a check for $500,000 (your home’s value). Then, you place an all-cash offer on a new condo worth $200,000. You can tell them you’ll close in a few days since you have the cash. You settle on the new condo the following Monday.
In two weeks, you’ve downsized your Pittsburgh home! With real estate agents, that process would take a bare minimum of two months, and likely much longer.
Lots of Repairs Needed Before I Sell My House Pittsburgh
Buyers prefer turnkey houses that don’t require much work. Homes that need significant repair aren’t desirable by the vast majority of prospective homeowners. Some will appreciate a DIY project, but those buyers are few and far between. They’re also the type to hunt for deals, so they’re unlikely to provide you with the best money for your property.
If you have a home that requires many repairs before going on the market, most real estate agents will tell you that you need to make them before you sell.
Let’s suppose the property needs $50,000 in repairs. You have three options. You can try to sell as-is and not have much interest. Alternatively, you can make the repairs. The problem with this approach is that you need $50,000. Many people don’t have that type of money lying around, so you need to obtain a loan or HELOC to pay the contractors to make the repairs. If your home still doesn’t sell, you’re on the hook for both the property costs and the underlying HELOC.
The last approach is to sell to an investor. With this approach, you’ll receive a fair offer, but you won’t need to perform any repairs. The proposal that you get will consider those repairs. You don’t need to open any HELOCs or damage your credit. All you need to do is collect the check.
Bad Tenants Mean You Need to Sell Fast
Unwieldy tenants can make you think, “I need to sell my house Pittsburgh.” Typically, buyers looking for homes through real estate agents aren’t looking for properties that have tenants. They want homes that they can move into, not homes from which they can make money.
So, if you have bad tenants, you could wait for the lease to expire, fix the house, and then try and put it on the open market. Alternatively, you could sell to a cash investor. They would then assume the property – tenants and all – and let you walk away from it headache-free.
There’s also a liability benefit to this solution. If you believe that your tenants have caused problems that could expose yourself to unwanted liability, then you can sell your home to an investor and let them deal with that risk.
Give yourself peace of mind by getting rid of a bad situation with tenants!
Sell My House Pittsburgh: Divorce
Pennsylvania follows an “equitable distribution” model when it comes to divorce. This model means that during divorce proceedings, a judge will take a look at all the factors of a marriage to determine a fair and equal distribution of money. They’ll consider which spouse earns more, the contributions of each spouse, the standard of living, and so forth.
Often, divorcees must sell the home or homes held within the course of a marriage. Since the goal is usually to settle these proceedings as quickly as possible, selling the house with a traditional real estate agent is often not an option. That could take months, and nobody wants their divorce to drag on longer than necessary!
In these situations, many people turn to all-cash investors who can quickly buy the property, and then they can divide the proceeds appropriately!
Avoid Foreclosure by Selling
Foreclosure is a word that strikes terror in the heart of any homeowner. During the foreclosure process, a party with an unpaid debt against the property (usually the bank with a mortgage), takes control of the home to sell it and pay off the balance.
If you have missed a few mortgage payments, the bank will begin foreclosure proceedings against you. One of the most devastating aspects of foreclosure is the credit rating drop you’ll encounter. A foreclosure can drop someone’s credit by up to 160 points. Foreclosure can quickly turn a good credit score into a bad one.
You can always pay off the amount you owe on the mortgage to avoid foreclosure. The problem is that most people don’t have hundreds of thousands necessary to pay off the mortgage balance. If they did, they wouldn’t need the mortgage in the first place!
Selling with a real estate agent takes too long. The bank won’t wait six months when they can foreclose and get their money much quicker. An all-cash investor can write you an offer and get it done before the bank can foreclose. The investor pays the debt you owe to the bank and gives you any additional money left over. The bank stops the foreclosure proceedings, which saves your credit!
There are some nuances above and beyond the scope of this post, but suffice it to say, with timely action and an all-cash offer, you can avert a foreclosure!
Sell Your House in Pittsburgh with a Property Tax Lien
A property tax lien can be a death sentence for selling your home using a real estate agent. To get your home, you’d need to pay off the property taxes as, without that paid off, the county won’t transfer the house into your name.
A cash investor can buy the property and pay the lien for you as part of that purchase. You get to walk away from the house without worrying about clearing out the lien before putting your home on the market. This solution can help you espiecially if you have been searching, “How Can I Sell My House Pittsburgh With A Property Tax Lien On It?”
Got an Urgent Job Offer? Don’t Wait! Sell Now!
Sometimes the right opportunity comes along, and it requires urgency. Let’s say you get your dream job in New York. Great! They want you to start a week from now. That’s a problem. You can’t sell your home that fast!
Fortunately, with an all-cash buyer, you can accept the job offer and get a check for your property quickly. That way, you’ll be able to focus on your exciting new position, rather than worrying about your home!
Sell My House Pittsburgh: Yes, It Can Be Fast
The above eight points are reasons you might want to get fast cash instead of selling via a real estate agent. There are other reasons, as well.
If you’re looking for a no-obligation all-cash offer for your property, please give me a call! I would be happy to work with you to get you the money you deserve for your property – as fast as possible!