|
Navigating through the waters of foreclosure is, without doubt, a daunting task. When it comes to selling a home in foreclosure, understanding your options, the legalities, and the potential shortcuts to ease the process becomes crucial. This guide is constructed to walk you through one lesser-known option—selling to cash buyers, helping traverse this challenging path with informed confidence.
Understanding Foreclosure on Long Island First off, what is foreclosure? It’s a legal process where if someone can’t make their scheduled mortgage payments, they might lose ownership of their property. Long Island has its own nuances in the foreclosure process, which can be either through the courts (judicial) or outside of them (nonjudicial). Usually, this whole process wraps up in about 120 days after it officially kicks off. The Hurdles in the Foreclosure Selling Track Selling a house is tough. Selling a home in foreclosure? Even tougher. It comes with a bunch of complexities, like dealing with time pressures, managing finances, and handling the potential skepticism from buyers. Juggling all these challenges, along with the emotional stress it brings, can be quite a bit to handle. However, it’s important to understand that there are options available to sell your home quickly and mitigate the issues foreclosure can create. Traditional Methods of Selling a House in Foreclosure The first method most people consider when selling a home in foreclosure, or any home for that matter, is with a real estate agent. While real estate agents can be helpful, going the traditional route might take more time and cost a bit more than you’d like. On the other hand, one may consider a real estate auction. An auction might quicken the sale, but there’s a hefty risk of your home being sold for much less than it’s worth. The last option, a short sale – when the home is sold for less than the outstanding mortgage – is another path. But keep in mind, that it has its own web of complexities and can impact your credit score. Unlocking the potential of Cash Buyers Alright, let’s talk about a potential hero in the scenario of selling a home in foreclosure – cash buyers. These folks can bypass a lot of the traditional selling roadblocks, such as home inspections, waiting for mortgage approvals, and dealing with appraisals, which usually speeds up the closing of the sale quite a bit. The benefits of Cash Buyers Here’s why those attempting to sell a house in foreclosure might consider selling to a cash buyer:
How to Sell a Home in Foreclosure to Cash Buyers Cash buyers like us here at 180 Homes understand the intricacies and emotion involved in the foreclosure process. Our goal is to make it as easy as possible to navigate. Here’s how it works:
Avoid Foreclosure and Sell Your Home Fast with 180 Homes Borrowers faced with a looming NOD should begin by carefully examining the official complaint, taking note of payment windows and breaches of the mortgage contract. Contact your lender to begin a potential negotiation, as no one wants to deal with the consequences a foreclosure could create. If you think the best option is to sell a home in foreclosure, you’re in luck. 180 Homes specializes in CASH AS-IS offers and can close in as soon as 7 days! Contact 180 Homes today to learn more!
0 Comments
In the fast-paced world of real estate, a “cash offer in real estate” is a term that’s gaining momentum, especially among homeowners looking to sell their properties swiftly and efficiently. If you’re considering selling your home, understanding what a cash offer in real estate entails could be the key to a smooth and rapid transaction. This article aims to demystify cash offers, highlighting their benefits and processes, and guiding you through making informed decisions.
Understanding Cash Offers In Real Estate A cash offer in real estate is straightforward: it’s an offer to buy a property without the involvement of a mortgage or financing. This means the buyer has the funds available to purchase your home outright, without the need for a bank loan. This approach contrasts significantly with traditional mortgage-based purchases, where buyers rely on a lender’s approval and funding. For homeowners, the appeal of a cash offer in real estate is multifold. It simplifies the selling process, potentially accelerates the timeline, and provides a degree of certainty often missing in traditional sales. Why Consider a Cash Offer For Your Home Speed of Sale When you compare a traditional sale to a cash offer in real estate, the difference in speed is striking. In a conventional sale, buyers typically need 30-60 days to secure financing, whereas cash offers can close in as little as a week. This rapid process is a boon if you’re in a situation where you need to sell quickly. Reduced Complexity A cash offer in real estate significantly cuts down on paperwork and procedural steps. There’s no waiting for bank approvals, no loan underwriting, and often, cash buyers waive contingencies like appraisals and inspections, further simplifying the process. This straightforward approach is especially appealing if you’re looking for a hassle-free sale. Avoiding Financing Fall-Through In traditional sales, deals can fall through due to buyers’ financing issues, an uncertainty that can be stressful. Cash offers in real estate remove this risk, offering a level of security that your sale will go through once the offer is accepted. How Do Cash Offers Work? Understanding the process is crucial when considering a cash offer in real estate. Upon receiving an offer, you’ll review it just like any other, but without the typical contingencies related to financing. Inspections and appraisals may still occur, but they are often less of a deal-breaker than in financed deals. If you accept the offer, the closing process is typically straightforward, focusing on the legal transfer of property. Pros and Cons of Accepting a Cash Offer While the advantages of accepting a cash offer in real estate are evident — speed, certainty, and simplicity — there are considerations to bear in mind. Sometimes, cash offers may be slightly lower than what you might achieve in a traditional market, reflecting the convenience and speed of the transaction. Additionally, the pool of buyers able to make cash offers is smaller than those purchasing through financing, which could affect your sale’s marketing strategy. Preparing Your Home For a Cash Offer If you’re leaning towards accepting a cash offer in real estate, preparing your home can make a significant difference. While cash buyers often purchase homes “as-is,” ensuring your property is presentable can impact the offer you receive. Start by addressing any major repair issues, decluttering, and giving your home a good clean. These steps don’t just improve aesthetics; they also signal to the buyer that the property has been well-maintained. A crucial part of preparation is setting a realistic price. Unlike traditional sales, where you might price a home higher to leave room for negotiation, cash offers in real estate often require a more pragmatic approach to pricing. Research your local market and consider getting a professional valuation to price your home competitively. Choosing the Right Cash Buyer Not all cash buyers are created equal. When considering a cash offer in real estate, it’s essential to vet potential buyers. Look for signs of credibility and professionalism, such as a track record of successful purchases or positive reviews from sellers. Beware of buyers who seem to make unrealistic promises or rush you into a decision. t’s also advisable to engage with multiple cash buyers if possible. This gives you a better chance of receiving a fair price and terms that align with your needs. Don’t hesitate to ask questions about their process and timeline to ensure you’re making an informed decision. 180 Homes Offers Cash For Houses Cash offers in real estate present a compelling option for homeowners looking to sell quickly and with less hassle. By understanding what cash offers entail, the processes involved, and how to prepare and choose the right buyer, you can navigate this route effectively. Remember, while there are benefits to a cash sale, it’s crucial to weigh these against your specific circumstances and goals. At 180 Homes, we don’t mandate a home inspection or appraisal to make our cash-as-is offer. For a smooth and stress-free property transaction, turn to 180 Homes. Learn more about 180 Homes simple as-is cash offers today! If you’re looking to sell your home on Long Island, you’re stepping into a market full of opportunity. Here, you’ll find a wealth of practical advice to make sure your home not only gets sold but does so in a way that’s as rewarding and stress-free as possible. You’ve got a journey ahead, but with these top tips to sell your home, you’ll be signing off on a successful sale in no time.
10 Tips to Sell a Home on Long Island 1) Understand the Local Market Before you stick that ‘For Sale’ sign in the yard, take a moment to understand the ebb and flow of the Long Island housing market. Scour through recent sales in your area to figure out how much homes are selling for and how quickly they’re moving. Notice when homes sell fastest—this can tell you the best time to put your house on the market. A well-priced home that aligns with the local trends is like a beacon to eager buyers. 2) Enhance Curb Appeal First impressions count for everything when it comes to selling your home. A tidy, attractive exterior can make all the difference. Simple fixes like freshening up your garden, painting the front door, or ensuring the facade of your home is neat and clean can give potential buyers a lasting positive impression. 3) Declutter and Depersonalize Think of your house as a blank slate for the buyer’s future home. Clear out the clutter and take down personal photos or decorations. By doing so, you allow potential buyers to imagine their own lives unfolding within the walls of your home. Plus, decluttering makes rooms look bigger, which is always a bonus. 4) Professional Photography Since most home searches start online, stunning pictures of your home are crucial. Professional photographers know how to capture the beauty and unique features of your home in every shot. Investing in professional photos can make your listing shine online and draw in potential buyers. 5) Stage Your Home Staging is about presenting your home in the best light. You don’t have to be a pro or spend lots of money. Arrange your furniture to showcase the space, and add a few touches—like a vase of fresh flowers or a neatly set dining table—to help buyers see the potential. Staging makes your home look more appealing and helps it sell faster. 6) Make Necessary Repairs Now’s the time to fix those little home repairs you’ve been ignoring. A dripping tap or a squeaky door might seem trivial, but they can be turn-offs for buyers. Small fixes can have a big impact, showing that your home has been well-cared-for, which can translate to a quicker sale. 7) Markey Effectively Online Make sure your home gets noticed by listing it on popular property websites and using social media to your advantage. Share your listing far and wide, and don’t hesitate to ask friends and family to spread the word. With the right online strategy, your home could capture the hearts of buyers near and far. 8) Host Open Houses and Private Showings Invite potential buyers to experience your home in person through open houses or private showings. Make sure your home is clean, bright, and welcoming. These events give buyers a real feel for the home and can be the pivotal moment that leads to a sale. 9) Be Prepared to Negotiate Negotiation is part and parcel of selling a home. Have a clear idea of what you’re willing to accept and be open to discussion with buyers. A flexible approach can help seal the deal, and being prepared means you’re more likely to walk away happy. 10) Choose the Right Real Estate Agent Picking an experienced real estate agent can make your selling journey smoother. They should know the ins and outs of the Long Island market and be equipped to handle the details, from pricing to negotiations. A good agent is your ally, making sure your home sells quickly and for the best price. The Fastest Way to Sell Your House When time is of the essence and you’re looking for the swiftest route to sell your home on Long Island, selling to cash buyers emerges as the top contender. This method is arguably the quickest and involves the least hassle. When you sell your home for cash, you bypass the lengthy mortgage approval processes and sidestep the typical buyer contingencies. This means no waiting for bank loan approvals, no appraisal requirements, and no nail-biting periods where the deal could fall through. Cash buyers are often investors ready to buy your home as-is, which means you won’t have to worry about making repairs or staging your home. This can be a huge relief, especially if you’re in a tough financial spot or need to move on from the property quickly due to life circumstances. The process is straightforward: once you’ve agreed on a price, the transaction can move to closing without the usual delays. In many cases, you can have money in your hand in a matter of weeks, if not days. Opting for a cash sale can also be financially savvy. While the offer from a cash buyer might be lower than what you could potentially get from a traditional market sale, when you factor in the absence of agent commissions, repair costs, and the time value of money, the convenience can often offset a slightly lower sale price. This route is not just about speed; it’s about convenience and certainty. It’s a streamlined solution for those who value ease and efficiency in the selling process. If a quick and straightforward sale is what you’re after, selling to a cash buyer on Long Island could be the best move you make. Selling a Home is Easy with 180 Homes Selling your home on Long Island is a big step, but with these top tips to sell your home, it’s one that can be taken with confidence. Remember, every bit of effort you put into preparing your home can pay off when it comes time to sell. If you’re looking for guidance or support, don’t hesitate to reach out to professionals who can help you navigate the process. With a solid plan and the right approach, you’ll be celebrating a successful sale before you know it. At 180 Homes, we don’t mandate a home inspection or appraisal to make our cash-as-is offer. For a smooth and stress-free property transaction, turn to 180 Homes. Learn more about 180 Homes simple as-is cash offers today! When you’re considering selling your home, there’s a multitude of options available. Among these is selling a home to investors, a choice that’s becoming increasingly popular for those seeking a quick and hassle-free sale. In this guide, we’ll explore what selling a home to investors entails and why it might be the easiest way to sell your home quickly.
Why Sell Your Home to Investors If you’re aiming for a swift sale, selling a home to investors can be a lucrative and efficient choice. Here’s why:
The Speed of Selling to Investors In a traditional home sale, the process can take months. From listing to closing, it can be a drawn-out affair, not to mention the time spent on repairs and staging. In contrast, selling a home to investors can often be completed in a matter of weeks, sometimes even days. This quickness is undeniably a key advantage, especially for those who need to relocate quickly or settle financial obligations. How Does Selling a Home to Investors Work? The process of selling a home to investors is straightforward:
Understanding Investor Offer When selling a home to investors, it’s essential to have realistic expectations regarding pricing. Offers are typically below market value, as investors aim to make a profit through future renovations and sales. However, considering the speed and convenience, many find this trade-off acceptable. Finding the Right Investor Not all investors are created equal. It’s important to do your research and ensure you’re dealing with reputable professionals. Look for investors with positive reviews and a track record of successful purchases. Be cautious of investors who refuse to provide references or those who pressure you into making quick decisions. Trustworthiness and transparency are key. Selling a Home to Investors vs Traditional Selling When compared to traditional selling, selling a home to investors is often less time-consuming and more straightforward. This method eliminates the need for open houses, negotiations with multiple buyers, and the uncertainty of dealing with potential financing fall-throughs. Trustworthy local services with stellar reviews and clear-cut approaches are the way to go. 180 Homes shines in this area, providing a smooth and uncomplicated selling journey for numerous homeowners. Begin your journey with a quick phone call or by filling out our easy online form. Selling Your Home Quickly with 180 Homes Selling a home to investors can be an efficient and stress-free avenue, particularly for those looking to sell quickly without the hassle of renovations or extensive marketing. While it might not fetch the highest possible market price, the convenience and speed are often compelling reasons to consider this option. If you’re in a situation where a quick, straightforward sale is paramount, selling a home to investors could be the ideal solution for you. At 180 Homes, we don’t mandate a home inspection or appraisal to make our cash-as-is offer. For a smooth and stress-free property transaction, turn to 180 Homes. Learn more about 180 Homes’ simple as-is cash offers today! As financially damaging as the mortgage collapse of 2009 was, it wasn’t nearly as widespread as what we are currently facing. There are many people in various sectors who are currently not earning a paycheck or generating income. Savings have been exhausted and paying everyday bills has become more difficult. Fortunately, the government has thrown many homeowners a lifeline and halted mortgage payments for the time being. Before you blindly assume that you do not, or should not, make your payment there are a few critical items you should know. This information could have a dramatic impact on your situation in just a short few months down the road. Here are five things you should do if you can’t make your next mortgage payment.
1) Call Customer Service Don’t make the assumption that you don’t have to pay your mortgage based on what you heard on the news or saw on social media. Sure, there is a good chance that your lender is offering some kind of deferment, but it isn’t a guarantee. Even if they are offering something you need to know exactly what you are getting into. There is a big difference between a modification and a deferment. A loan modification typically will decrease your interest rate to a monthly payment you can afford. Any missed payments are tacked onto the back end of the loan. With a deferment your lender is simply allowing you to miss the next three months of payments without any negative impact on your credit. The catch is that they are going to ask for the payment in full after the 90 day period. If you cannot make the full payment your lender may start the process of foreclosure or take some other kind of adverse action. Individual lenders may handle things differently which is why it is so important to talk to customer service before making any decision. 2) Construct a 3 Month Plan As of right now nobody really knows when things are going to change. Some states appear to be less impacted than others, but it doesn’t mean they are totally out of the woods. If you don’t think you can make your payment you should come up with a short term three month plan. Simply put, how do you plan on making your payment after the 90 day period? Lenders don’t have to accept partial payments or even extend the deferment period if they don’t want to. To err on the side of caution you should assume that you need the full payment in order to stave off foreclosure. What is the likelihood of your business opening in the next few weeks or your paycheck bouncing back to normal? If it does, will you have the ability to accumulate the full payment? Without a firm plan in place you run the risk of losing your home. 3) Weigh Future Earnings There are many sectors impacted by COVID-19. Everything from restaurants to commissioned sales agents have seen a severe dip in income. While the short term goal is to protect your home from foreclosure in the next few months, you also need to think about the relative big picture. Is your employment or business in an area that will need time to ramp back up? Will you make the some income over the next 12 months? Will you be forced to change careers and prolong the period prior to generating income? You don’t want to simply put a Band-Aid on the problem if the cut is much deeper. It may be best to take action now, before things get too much worse. 4) Capital/Equity Evaluation If you can’t make your payment and your employment situation is shaky, you should do a full capital evaluation. In addition to basic checking and savings accounts you should look into your retirement funds, pensions, stock holdings and any other type of capital accounts. Perhaps, you could draw from these penalty free or with a discounted interest rate. If you have an accountant or financial advisor it is recommended to talk to them prior to making any rash decisions. You can also explore the option of a HELOC if you have equity. HELOC rates are nearing historic lows and can provide interest only payment flexibility. That being said, they also add to total amount owed, which will negate future sales profits. 5) Get a Cash Offer For Your Property If you know that your employment situation may not improve for several months, it is best to act now. Before you get any lates on your credit report or the real estate market dips it could be worth considering selling now. Selling now could put you in a better position to capture what equity you do have in your home and limit risk of losing your home to foreclosure if things don’t improve. Having an offer on the table would at least give you an idea of what you’d net and walk away with as a result of the sale. With us, getting a cash offer for you property is easy and fast….. Contact 180 Homes today! Doing nothing about your situation likely will not improve it – hoping and wishing will not make the problem go away. The reality is that you most likely have more positive options than you think. Start by reaching out to customer service, taking inventory on your income, assets and employment, and reaching out to us to see what we could pay in cash for your home. The quicker you are to take action the more likely you can make the best of a negative situation. In the ever-evolving Long Island real estate market, you might find yourself considering the option of selling a house as is. It’s an avenue that promises potential savings in time and resources. But like any property sale, it comes with its unique set of challenges and benefits.
Understanding As Is House Sales Selling a house as is means you’re offering the property without committing to any repairs or renovations. Essentially, what you see is what you get. In Long Island's fiercely competitive market, selling a house as is can be particularly appealing in scenarios like:
Benefits to Selling a House As-Is When you’re selling a house in its current condition, you’re essentially streamlining the sale process. Here’s what you stand to gain:
Potential Challenges to Be Aware Of However, with benefits come challenges. Because the house is sold in its present state, it might fetch a lower price than if it were renovated. Yet, if you factor in the costs and time of potential renovations, this pricing might still be well worth the trade-off. It’s essential to manage buyer perceptions. Being transparent about the house’s condition can prevent misunderstandings and foster trust. How to Sell a House As-Is on Long Island Navigating the Long Island real estate market can seem like a complex dance, especially when you’re exploring the less-trodden path of selling a house as is. To ensure you don’t miss a step and make the most out of your as-is sale, here’s a structured guide to steer you in the right direction:
Selling a House As Is to Cash Buyers If you’re looking to simplify the process of selling a house as is, cash buyers are your best bet. Cash buyers can finalize sales without the cumbersome traditional escrow process. Plus, you eliminate potential issues like loan denials. The absence of lengthy inspections or appraisals further hastens the process. Here’s how the process works:
The key to a successful home sale is partnering with dependable cash buyers. Local services with commendable reviews and straightforward methodologies are your best bet. 180 Homes stands out in this regard, ensuring a hassle-free selling experience for countless homeowners. Kickstart the process with a simple phone call or by submitting our online form. 180 Homes Makes Selling Your House As Is Easy Selling a property can be daunting, but the process becomes considerably smoother when you consider selling a house as is in Long Island. By considering cash buyers, you’re setting yourself up for a seamless transaction. Remember, with the right steps and approach, your property sale can be well worth the work. At 180 Homes, we don’t mandate a home inspection or appraisal to make our cash-as-is offer. For a smooth and stress-free property transaction, turn to 180 Homes. Learn more about 180 Homes’ simple as-is cash offers today! Not all properties are created equal. Some can become very difficult for homeowners, realtors, and real estate investors to resell. Depending on the holding costs and resell value fluctuations, many of these hard-to-sell properties can sometimes sell for less than they were purchased. While these properties might have some unique challenges for selling, investors need to ensure they optimize profits by selling at the right time. So what properties are among the toughest to sell and what makes them harder to sell? Why would savvy real estate investors buy them anyway?
In this article, 180 Homes will explore some of the most hard-to-sell homes, unsellable property types, as well as some of the strategies real estate professionals utilize to get the most value out of these hard-to-sell homes and properties. Hard to Sell Homes & Property Types There is an expansive list of reasons why a property might be difficult to sell. These reasons stem from locational preferences to property conditions, but a few obstacles don’t mean that you have an unsellable property on your hands. Let’s review some of the hardest to sell homes and property types. 1) Rural Land Rural lots and acreage can often be some of the cheapest and least expensive real estate to get into for individuals that are tight on capital. Many deals can be found on lots from coast to coast, with no credit check, owner financing, and minimal down payment. Some rural lands are very remote. While this is less of an issue when there is internet to provide work, there may be a lack of utilities, or simply not much to do. After purchasing, those that thought they could live there may end up abandoning their properties if they aren’t used to that type of lifestyle. There is also normally less demand, and a far smaller buyer pool for this type of property compared to, say, a condo in Manhattan. This could be seen as a drawback but it’s also advantageous for buyers. If rural land can be bought cheap while undervalued and held until they appreciate, there can be great profits unlocked. The holding costs on these properties can sometimes be less than $100 a year. 2) Mobile Homes Mobile home parks are making a notable comeback in investment circles. Demand for mobile home park living is surging too. There is a massive demand for affordable housing in the US, and mobile homes are a cost-effective solution. These properties can be incredibly strong cash flow producers. However, mobile homes are still associated with a certain stigma, and unfortunately, most mortgage lenders aren’t interested in financing them for applicants. That can make mobile homes very difficult to sell. In retirement areas where parks are surrounded by wealthy and luxury homes, there may be cash buyers, but many of these properties may need to be sold with seller financing. 3) Condo-Hotel Units As the economy regulated after COVID-19, condo-hotel units are coming back on the rental property market. Some of these units might be in an exclusive luxury building in prime locations. The arrangement can be appealing for some investors that would like their properties to double as occasional vacation homes. However, these units can be hard to finance and often require large down payments. Sometimes this isn’t a problem, but even the most prestigious developers and well-located condo-hotels have suffered from a lack of interest when times are tough. Some condo-hotel investors have even gone bankrupt due to a lack of movement. If you’ll use this property anyway, and can afford to hold on long term, a condo-hotel unit may be worth buying. Make sure to pay attention to the fine print and double-check the numbers before buying a condo-hotel unit. 4) Co-Ops Co-ops are a property type that is owned by a corporation, investors do not own units outright but the transaction is typically more financially stable than owning a condo or home. While co-ops are cheaper and a foreclosure is rare, co-ops almost became extinct in most of the U.S. during the last housing boom. Co-ops are considered hard to sell because they’re difficult to finance in the eyes of lenders, and a lack of true ownership can be a huge turn-off to other buyers. But a new surge in foreign investment and the ability to use co-op structures to qualify hundreds of international investors for visas at the same time is reviving their appeal. Investors need to make sure their co-op is in the right location to draw these tenants, and that the marketing and aesthetics appeal to the right buyers too. 5) Over-Sized Homes Over-sized homes are just one type of over-improvement in the real estate game. A mistake commonly made by regular homeowners and newbie investors is that size equates to value. It doesn’t matter if you have a 3,500 square foot home with 5 bedrooms if every other property for miles tops out at 3 bedrooms and 1,400 feet. Appraisals that support a higher loan amount will be a nightmare to secure. No matter how much others want to buy your masterpiece, they often simply won’t be able to finance it due to the skyrocketed value. Many experienced investors focus on the ugly house on the block for a good reason, the room for improvement is much more natural compared to the local listing. 6) Tiny Homes Tiny houses may be trending on TV and in the minds of many who seek affordable housing and financial freedom. However, many mortgage lenders won’t finance small square footage units making tiny houses hard-to-sell homes. This issue not only applies to creative new housing structures but condos as well. If end buyers can’t finance the property, they are harder to sell. But if the buyer pool is big enough there can be seller financing options, or some cash buyers lurking out there that could work for the transaction. Luckily, the holding costs on these properties can be lower while you are waiting to resell. 7) Stalled Construction Projects The financial crises of the early 2000s have left many communities littered with stalled and failed construction projects. From entire new communities to hotels, to strip malls and homes, construction stalled for a long time. Buying a half-finished property can be difficult in terms of navigating permits, code issues, and financing. But the data shows that construction REOs and non-performing loans have made up the bulk of distressed bank inventory for a while. That’s a chance at even bigger discounts, and less competition. For those that can get in and finish the work, or re-brand the project and raise more capital, there can be substantial profit margins for this “unsellable” property. Learn How to Get Rid of a House that Won't Sell with 180 Homes These hard-to-sell properties can be both risky and highly rewarding with an investor that is experienced in real estate marketing and has the reserves to cover holding costs and set up pre-arranged exits. Just because a house or rental investment might be viewed as unsellable property, with the right experience and sales strategy, even the hardest-to-sell home can find a happy buyer on the market. 180 Homes specialize in CASH AS-IS offers to help expedite your real estate experience. Contact 180 Homes to get your hard-to-sell home or property on the market today! Need to sell your house fast on Long Island, New York? You’re not alone. Whether you’re moving for work or buying a new place, selling your house fast is often a top priority. This guide will help you do just that, with a special focus on how selling to cash buyers can speed up the process.
Understanding Long Islands Housing Market Long Island has a busy housing market. However, selling your house the usual way can take some time, depending on the market and how appealing your house is to buyers. Knowing this can help you sell your house fast. Getting Your House Ready for a Quick Sale Usually, to sell your house fast, you might need to make it look nice for potential buyers. This often includes some common steps: Home Improvements This could be as simple as a new paint job or fixing small things here and there. But, these steps cost money and can delay when you can sell your house. Staging and Photography Making your house look good through staging and professional photos can attract buyers. But again, this takes time and money. Now, let’s look at how selling to a cash buyer can be different: Cash Buyers-Saving Time and Money Cash buyers are a quicker option. They buy houses “as is,” meaning you don’t have to spend time or money on home improvements, staging, or photography. This speeds up the selling process, helping you sell your house fast and save money. Choosing How to Sell Traditional Selling: The usual way is to list your house with a real estate agent, who then shows your house to potential buyers. This can take a while and usually costs more due to agent fees. Online Listings: Listing your house online can reach more people, but still requires time and effort to manage. Cash Buyers-The Quickest Way:Cash buyers offer a fast and simple way to sell your house fast on Long Island. They make competitive offers and buy your house “as is,” cutting out the need for repairs or improvements. This way, you can close the deal much faster compared to the traditional methods. Finding Good Cash Buyers on Long Island It’s important to find trustworthy cash buyers. Look for local services with good reviews and clear processes. Here at 180 Homes, we pride ourselves on making the home-selling process as easy as possible and have helped hundreds of people sell their home quickly. Getting started is as easy as a phone call or filling out a form online. The Process of a Cash Sale Selling to a cash buyer is easy. Here’s how it works:
Benefits of a Cash Sale A cash sale comes with many benefits that can make your life a lot easier:
180 Homes Expedites Your Real Estate Experience To sell your house fast on Long Island, preparing your house, picking the right way to sell, and especially considering cash buyers, are important steps. Following this guide can help you sell your house fast, letting you move on with your plans without delay. 180 Homes is here to make selling your home fast and easy. Our cash as-is offers can expedite the real estate process so that you don’t have to worry about finding the perfect buyer. Contact today to learn more! Nothing is more beneficial to your long term financial health than the right rental property. Sure, quick flips and rehabs are great for the short term but a strategic acquisition of a rental property can completely change your portfolio. Not only are they a source for surplus monthly cash flow, but they also build equity for the future which you can use can use as a means to purchase additional properties. It is not hyperbole to say that all it takes is one key rental property to get your portfolio headed in the right direction. Here are five steps to purchase your first rental property.
1) Understanding Financing If you have been toying with the idea of a rental property purchase the first thing you need to understand is how the financing works. There is a huge difference in owner occupied and investment property loan underwriting guidelines. For an owner occupied property there are loan programs that require just 3% down payment, credit scores under 600 and decreased reserve requirements. With any investment property you should anticipate needing a credit score of at least 680, 20% down payment and possibly six months of reserves in the bank. Additionally you also need to factor in tax and insurance escrows as well as increased closing costs. Lenders will scrutinize loan applications for a three family investment property much more closely than they will a single family owner occupied one. Investment properties are considered a higher risk and you can expect the process to reflect that. 2) Choose Market(s) When it comes to purchasing a rental property you should find the market as opposed to finding the property. What that means is that not every property makes a good rental property. A beautiful home on 30 acres in the middle of a rural area doesn’t have the same renter pool as one in the middle of a booming city. Price is always important on any purchase, but not the most important factor when it comes to buying a rental property. You need to narrow down a market, or two, that can sustain rental demand for both the short and long term. The right market not only gives you security but allows you flexibility down the road. If the market continues to trend upwards you can comfortably increase your rent. In poor markets you are often left to take whatever tenant you can find, usually on their terms. 3) Evaluate Individual Investment There are plenty of items to consider on every prospective purchase. Before you do anything else you should decide how you will manage the property. Are you able to manage the property yourself or do you need a dedicated property manager? If you have a full time job that doesn’t allow you to take phone calls or get away during the day you should strongly consider a property manager. Whatever you decide has a definite impact on your bottom line. A property manager generally charges 10% of the monthly rent received. In addition to management you need to evaluate how much, if any repairs are needed, as well as monthly taxes, utilities and insurance. Also, review the title to see if there are any prospective issues as far as property lines, liens and anything else. 4) Run The Numbers No two rental properties are exactly the same. Numbers you run for one property may not be the same for a property even in the same town. From the outside you may think that monthly cash flow is simply the rent received minus the mortgage payment and any utilities. Sure, this is a huge part of that formula but there are other important factors. You need to make sure you are realistic with your numbers before you buy or you will be left disappointed after. For starters, is the monthly rent a realistic and sustainable number? Making a few simple changes doesn’t mean you can tack on a few hundred dollars to the rent. You also need to be realistic with what utilities you are paying for. Most importantly you can’t ignore seemingly minor items like snow removal, lawn care, maintenance items and a reserve fund. Only when you know all the numbers associated should you move forward. 5) Make Your Offer You don’t need to be a seasoned investor to understand that the lower you get the property for the higher your monthly cash flow. It is critical that you make an offer that works for you. Too many investors fall in love with a property that they fail to see the big picture. They want to make the acquisition so bad that they ignore the numbers. Before they know it their projections are blown up and the deal they thought they were getting is gone. Even if it means missing out on a property or two you need to stick to your guns and stay true to your numbers. If not you will be behind the eight ball, chasing profits right from the start. The goal is to acquire a property that you can make money on, not simply add to your portfolio. A lot has changed in the world of real estate over the last decade. As difficult as it may be to believe, the mortgage collapse was over ten years ago. A defining term that emerged shortly after the collapse was the “short sale”. There is a good chance that even if you were in real estate you probably never heard of it before 2008. In the years following, short sales were the driving force behind a majority of all total real estate transactions. While the overall number has greatly declined in recent years, there are still a good number of short sale transactions happening every day. But what is the short sale process and how does it work?
In this article, we’ll explore what a short sale is, how a short sale works, as well as the guidelines for successfully completing a short sale. With the help of 180 Homes, understanding the short sale process is simplified. What is a Short Sale? A short sale, commonly also known as a pre-foreclosure sale, is a transaction within the real estate industry refers to a sale that occurs when a financially struggling homeowners sells their property for less than the original amount due on the mortgage. Some homeowners will decide to complete a short sale of their fome if they’re in fear of a pending foreclosure which could plummet their credit score. A short sale will still potentially lower a person’s credit, but not as much as a foreclosure would. The property buyer is a third-party entity and all proceeds from the sale go to the home’s original lender. The lender can then choose to either forgive the remaining balance or try to reach the selling homeowner for a deficiency judgement. A deficiency judgement requires the homeowner to settle the remaining balance. Some states will allow a short sale to forgive that difference. How Does a Short Sale Work? Prior to the short sale process beginning, the lender must sign off the decision to move forward with a short sale. The lender is required to document the justifications for the short sale to ensure they don’t lose money as the lending party. Due to the need to carefully track the short sale, they can be a lengthy process that can take up to a year to complete. A short sale is not a guaranteed tactic for negating a mortgage’s balance once the short sale is completed. While the original lied instated by the lender might be waived, the promise to repay the other parts of the mortgage can still be enforced. Since borrowers interested in completing a short sale need lender approval, they will quickly learn what needs to be settled. Steps of the Short Sale Process It is important to understand the short sale process before plunging into the steps required to successfully close the deal. Both as a homeowner and an investor, there is a lot of money and legal logistics involved in order to close. Here are the five basic steps associated with almost every short sale transaction. Homeowner Decisions One of the common themes when talking to homeowners in default is the speed in which it happens. Sure, it takes several months to get into foreclosure, but it isn’t an overnight decision. There is typically a financial hardship, medical emergency, or sudden reduction in income that sets the short sale process off. A few weeks late on the mortgage turns into a month and in the blink of an eye foreclosure papers are served. During the housing crisis, the glut of foreclosures caused lenders to come up with alternatives and many of those are still available. Between loan modification or principal reduction, most lenders would much rather you stay in your home than go into foreclosure. The most common foreclosure alternative is a short sale. This is essentially the lender agreeing to accept less than the principal amount owed. For a homeowner the stain of a short sale is less than a foreclosure or bankruptcy. For a lender they can salvage something from a depreciating asset without having to add the property to their portfolio. Before anything can happen, the homeowner must accept their situation and decide to take some kind of action. Reverse Application From a lenders perspective, the short sale process is very much the reverse of a traditional loan application. As much as a homeowner may want to short sale, the lender must approve it first. Once a homeowner decides on a short sale they need to show the lender that they legitimately can no longer make the regular payments. The lender will ask for several items to justify a hardship include paystubs, tax returns, bank statements and a hardship letter. The lender is not going to just let a homeowner walk away from their property because they want to. You don’t necessarily need to be three or four months late on the mortgage to get short sale approved, but you do need to show that there is, or will be, a financial hardship. Once all items are submitted to the lender they will either accept the short sale application or reject it. If accepted they will move on to the property valuation part of the process. Appraisal/BPO As with any real estate transaction, the seller wants to walk away with as much money as possible. In a short sale the lender is willing to sell the property at a discount, but they will not just give the property away. To determine fair market value, they will either employ a local real estate agent for a brokers price opinion(BPO) or order an appraisal. Nothing will ever truly show a property’s value except listing it, but these methods will give the lender a good snapshot of what is going on. If the property is not currently listed, the lender will recommend a price and if there is an offer already in place they will use this information to respond. As with any other listing, the more work needed and the weaker the market, the less leverage the seller has when completing a sale, regardless of it's a short sale or not. Negotiation Appraisals and BPO’s are largely subjective. While these estimations of value are not exact, they do play a part in the lenders’ perception of the property’s value and ultimately the price the lender is willing to sell the property for during the short sale process. Once the lender receives the report they calculate the bottom line at which they’re willing to sell the property and the negotiation begins. As a seller pursuing a short sale, you can put yourself in a good negotiating position by partnering with a cash buyer and short sale negotiator who has experience negotiating distressed transactions. They can take lead on your behalf and leverage their strategies, tips, and tricks to put yourself in the best position possible. As far as timeline, short sale negotiation times have been greatly reduced but can still take several months under the right circumstance. If you pursue a short sale you need to accept, and embrace, negotiation. Closing Once the terms of the purchase are accepted, the closing for the short sale process looks very much like any other transaction. What makes things a bit trickier is the fact that you may need to get the homeowner out of the property. However, there may be monetary incentives from the lender or binding terms of a contract that favor the buyer. At the closing table the process is the same for a short sale, just a little more paperwork for the attorney. The bulk of the work is done once the lender accepts the asking price. There are state specific rules for foreclosure and short sale that should be reviewed prior to moving forward. Regardless of what side of the transaction you are on, a short sale can be a viable alternative in the right situation. Makes sure to do the proper research and evaluate all options before turning to the short sale process. Simplify Selling Your House with 180 Homes When in a tough financial bind, it’s important to know all of your options. As a homeowner, a short sale might save you from a nasty foreclosure that could jeopardize your future living situation. Instead, enlist the help of experts to help you navigate the short sale process and lead you towards the right solution for you. 180 Homes provides cash as-is offers for homeowners looking to expedite the real estate process. Contact Us today to learn more! |
Recent post
October 2023
Categories
All
Connect on Social |
