Selling a home is a process that many homeowners go through at some point. A lot of the time, this happens after years of living in the house. The longer you live there, the more likely it is that your home now has some wear and tear. This can range from minor issues to major things that must be repaired. This presents the question for many of these homeowners. Should they sell the house ‘as-is’ or make the repairs?

It all depends on what is most important to you when selling. Some people are moving to a new area because of things like work. Others may be selling for financial purposes. You need to figure out whether you want to sell fast or sell rich. If it is for speed, then sell as-is, but if it is for maximum profit, then take the time to fix it up.

It can get more complicated than that, though. This post will talk about the things that might factor into your decision.

What Should You Consider When Choosing to Sell As-Is or Fixing Up First?

Let’s talk a little bit about each of these options that you have for selling.

If you choose the sell as-is, you’re going for the straightforward option. You don’t need to worry about making any fixes or repairs to the home. If you have kept it pristine, then this is the logical option. If not, though, you are leaving any damage up to the buyer to take care of. Since you’re leaving this for the buyer to do, this will lower the price for the house. The extent of the price drop depends on the state of the home. If it has major repairs needed, it will take more off the price than something minor. Keep in mind that fixing up can also include making upgrades to the house. This might be necessary if the house is somewhat outdated.

If you decide to opt for fixing up the house, things will go a bit differently. You will need to take the time required to make repairs to a lot of things in the home. Many sellers choose against this because it involves time and money to make all necessary fixes. However, making repairs will pay off when it is time to sell. You will recoup the money used to fix up the home. After all, there will be no need to drop your asking price. You get more value out of the house. 

Here are some of the factors to consider when deciding between selling as-is or fixing up:

• How fast you need to sell. Typically, someone who needs to get the house off their hands fast will decide to sell as-is. It takes time to get repairs done, especially if they are large. Of course, this means less profit on the sale, but sometimes there isn’t a choice. If time is not a problem though, then you can take your sweet time to fix the house up. Of course, this will differ on a case by case basis. How fast you sell also has a lot of other factors that contribute to it. This can be the market, the type of house, your listing, and more.

• How much profit you want to make. Let’s consider the example of a home that cost $500,000 when it was purchased. Let’s say it has damages, such as a leaking roof. This might mean that you need to sell the house for $480,000. Now, if you decide to take $10,000 and replace the roof, nothing stops you from selling at $500,000. You leave less on the table by fixing up. That’s why it is the way to go for more profit-oriented sellers.

• How much money you have available. Without money on deck, you won’t be able to make any repairs! So even if you have all the time in the world, it doesn’t mean much without the money to fix up the house. You can find ways to finance the repairs, but if these aren’t possible, you may need to sell as-is.

• How bad the damage is. Selling a house as-is when it looks like it is halfway collapsed will be a hard sell. You could cut 50% from the price, but the sheer amount of work it will need may send a lot of buyers running. It doesn’t help the curb appeal either, which will cause people to lose interest. In cases like these, selling as-is may waste more time than fixing up! If the damage is extensive, it is best to fix the major issues if you notice you aren’t getting any offers. You don’t need to repair the whole thing, as that might take a lot of money. However, spend enough to make it look appealing.

What to Know If You Decide to Sell As-Is

There are a few things to keep in mind if you decide not to make repairs.

• An as-is house that’s still in good condition will usually have no problems selling. If it’s a small amount of damage, it should still bring a good number of offers. Minor issues are less hassle to fix after all.

• An as-is house with major problems will be a tougher sell. Not every new owner wants to spend time fixing the house before moving in. A lower price, however, might convince them it’s worth it. Home flippers may be your major clientele for a house with serious damage.

• Make sure you let buyers know about every single problem with the house. You need to let them know how much will need fixing. Don’t leave any details out just to get a higher price. The buyer will come with an inspector at some point. The whole deal can be cancelled after that, if the buyer finds any damages you left out.

What to Know If You Decide to Fix Up First

If you want to fix up the home first, here are some tips to help you make it easier.

• The big problems should be addressed first. These are the ones that stick out the most and take the longest to fix. They are also the ones that are likely to knock the price down a lot! Take care of these and the impact on price will be great.
• Upgrading can be expensive but can add a lot of value. However, be careful with the upgrades that you go for. Some add more value than others. Remodels for your kitchen and bathroom are great choices.

Many factors can influence fixing up your home or selling as is. If you have a great real estate agent by your side, you won’t sweat it. Kristi R. is an agent that can help you maximize your profits and sell in no time.

Selling that house in Boca Raton, FL doesn’t need to be stressful! Contact Kristi with the Ramella Group powered by EXP Realty at 561-206-2507. She’ll get the gears in motion and you’ll be glad you did.