If you need to sell a house quickly, you are probably wondering which steps you can skip to make the process as seamless as possible. But what if in addition to trying to sell your house fast, you have to overcome the hurdle of a home with code violations? If this is your situation, the market may actually be in your favor. Across the United States, real estate is experiencing what’s called a sellers’ market, as a recent report from the real estate experts at HomeLight found. That means there is more demand than supply, and buyers may be more willing to accept homes with concessions — like a lower price or credit for code violations — than in years past. Here are four ways to help you sell your house, even with code violations, to give you a little peace of mind.
Fix what needs to be fixed
Depending on your situation, there may be some code violations that are quick fixes when selling your house, to make it more desirable to a buyer and avoid having to offer a discount or credit. Some common code violations that might be worth fixing are smoke alarm issues, such as moving a ceiling-mounted smoke alarm at least 4 inches away from walls and wall-mounted alarms 4 inches to 12 inches down from the ceiling. If you have a bigger code violation issue — like a home addition that was completed without the proper permits or code requirements, you may need to weigh whether it is worth it to make the fixes. Keep in mind that safety or health hazards will almost always need to be addressed before attempting to sell.
Offer a credit
To speed up the process, you could offer a credit at closing, which takes into consideration how much repairs will cost, by having a contractor assess the work that needs to be done. That means the home buyers will have to make the repairs once your home is sold, and will foot the bill for any work that is done.
Lower the price
For those bigger fixes, when it just doesn’t make sense to make the repairs because you have a tight deadline to sell, a lower price can also sweeten the deal. An “as is” price that is much lower than market value, again taking into consideration how much repairs might cost, could attract buyers who are willing to act quickly, or are looking for a deal.
Go for cash
If your list of code violations is large, or if you simply want to sell as soon as possible, there are buyers out there who are looking for a home just like yours. Cash house buyers are a special breed of buyers, who are probably more interested in your home as a business transaction than one to live in. The cash buyer market is one that is susceptible to scams, so it’s wise to work with an agent who can advise you on the best options for selling your home with code violations for cash. One of the most common types of cash buyers are iBuyers: institutional investors, national house flippers, or startup ups, which are in the business of purchasing homes to then make a profit when reselling. Real estate transactions with iBuyers are speedier than a typical real estate sale, which can be another huge plus.
If you need to sell a house with code violations quickly you have many options. Working with a real estate expert can ensure that you get the most desirable outcome and can move on to your next home.