When you need to sell your house fast in Aurora, you may be ready to call a realtor and list it right away. However, real estate transactions can be pretty complicated and inspection and appraisals can have a big impact on the home selling process. It’s not always easy to know what the outcome of a buyer’s inspection or appraisal will be. Below we’ll take a look at what sellers in Aurora need to know about inspections and appraisals, and an alternative to the traditional home sale process which takes the guesswork out of determining the bottom line proceeds of a real estate sale and allows you to sell your house fast in Aurora.
Contingencies
A typical real estate contract will contain contingencies, one of which is an inspection contingency. This intricate part of a traditional real estate contract allows protection for the buyer and gives the buyer a specific time frame in which a home inspection can be conducted. If the home inspector finds issues with the house, he or she will document those issues in the inspection report which is given to the buyer. An outline for how those issues should be handled can be found in the contract itself, and then the buyer can request for the seller to make repairs, give a credit at closing to pay for future repair, or make no request – or some combination of those choices depending on the individual items that come up in the inspection report. A buyer can also request an extension for more time to do further inspection. Inspection contingencies can delay the sale of the property and cost the seller quite a bit of time and money.
Repair Expenses
While inspections and appraisals are a normal part of a real estate sale, they usually contain surprises for the seller. Inspections which focus on the structure and safety of a property can bring to light many items that need to be upgraded to current building and energy codes. This can include items such as the furnace and air conditioner, plumbing and electrical systems, water and sewer lines, and the condition of the roof and foundation. If the inspector finds problems and is concerned especially about safety, the negative report may cause the buyer to wonder whether the house is going to need a lot of work and whether they want to put money into making repairs. They may ask for repair credits or a price reduction, or they may want to cancel the contract altogether. A seller who wants to make repairs or give the buyers a credit will want to consult at least three professionals for estimates to compare the price and amount of time needed for the requested work. When you need to sell your house fast in Aurora, waiting on a contractor’s schedule can cost a lot of time. Time isn’t the only cost when you have to make repairs to a house to get it sold. Unfortunately, these types of repairs and end up costing the seller tens of thousands of dollars, depending on the severity of the problems the buyer’s inspector recommends to be corrected.
Valuation
An inspection will focus on the issues with the home itself, but the appraisal will focus on the market value, given all variables involved. The appraisal will take into account the nearby comparable properties (comps) that have most recently sold. Appraisers have predetermined values for the number of bedrooms and bathrooms, and will add or subtract value to a property depending on the features when measured up against the comps. For example, an appraiser may subtract value on an appraisal of a house with one car garage when compared to a house with a two car garage, or may add value if one house has more square footage than its comps. Because mortgage lenders require the appraisal to meet a loan-to-value ratio (LTV) as part of the underwriting on the loan, any buyer using financing will need an appraisal. Lenders use the LTV as a guideline indicating the risk of approving the loan — the lower the ratio, the lower to risk on the loan. If the LTV is high, the lender might require the buyer purchase mortgage insurance. The LTV guidelines can also vary depending on the loan product being used.
Deal Breakers
When you need to sell your house fast in Aurora, failing to understand the impact of inspections and appraisals on the sale can cost a seller a lot of time and money. Sadly, many sellers discover their house just isn’t worth what they thought too late – after a buyer has complete the home inspection and appraisal. With these and many other contingency clauses in a typical real estate contract that protect buyers, many problems can result in the sale falling through because a buyer’s lender will not approve the loan. The buyer might ask the seller to make repairs or cover the cost of the repairs, and the seller ends up putting more money into the house or paying more money out of closing just to get the house sold. Sometimes, the buyer will walk from the deal leaving the seller with the task of re-listing and trying to find another buyer who will ask why the first deal fell through. It’s rare to get a better offer on a house once it has been under contract, fallen out of contract, and been re-listed. And the longer it takes to sell a house, the more it costs an owner in property taxes, insurance, utilities, and other holding costs which add up on a daily basis.
How To Sell Your House Fast in Aurora Without All The Headaches
Many homeowners in Aurora are discovering an easier, hassle-free way to sell a house quickly without all the contract contingencies, inspections, or appraisals that can end up costing them thousands of dollars. Kendall Partners has developed a proven, simple way to sell your house fast so you have access to the proceeds of the sale when you need it. You’ll have a clear picture of what those proceeds will be because we use a simple, one-page contract with no legalese or hidden costs. You also won’t experience any of the surprises that pop up in a traditional real estate transaction, and we even pay the standard closing costs for you! Give us a call to speak to one of our friendly team members about your specific circumstances and see for yourself if selling your house quickly for cash is the right option for you. We’re problem solver who care about helping you sell your house, no matter your reason for selling. We’re compassionate, respectful, and professional – and our 5 star Google reviews prove it! Call us at (630) 389-8232 or submit your information below and we’ll get in contact with your shortly. We can help you sell your house fast in Aurora. Trusted, local, and ready to help you find the solution to selling your house fast!