When preparing to sell your home, it can feel overwhelming to think about getting the property into pristine, show-ready shape. That’s especially true if you’ve been putting off a laundry list of repairs. But instead of sinking more money into it when what you really want is to get rid of it, there’s another option to consider: selling the home in as-is condition.
People opt to sell homes in their current state for a variety of reasons. Of course, financial constraints can play a significant role, as some homeowners might lack the funds to make repairs or consider renovations. Yet other reasons include time constraints - perhaps your company already relocated your family to a new community, or the home is either a second home, or maybe the house belonged to a family member who passed, and the best thing to do is sell and split the proceeds to siblings. Another common reason is a home needs to be sold during a divorce and both parties need the assets to put into a new home quickly.
Certainly we have all heard that Marin County homes for sale are like gold - so why not save yourself the mental, emotional and physical energy and turn it over to a Realtor who can represent your best interest?
It’s hard to set a specific percentage on how much more, or less, you will make on an as-is sale versus fixing the home up before listing it. Much depends on the condition of the property, its location (anywhere in Marin is hot!) and the asking price. In a strong seller’s market, the offer price gap typically found between an as-is sale and a regular sale will be smaller - which is great news for sellers. And if a home is on a prime piece of property or in a highly desirable neighborhood — especially one that doesn’t see new listings often — its condition matters less because the location is paramount. But on the whole, it makes sense to expect lower offers when buyers know they will have to invest more money into repairs once they own the home.
Pros and Cons of Selling As-Is
Let's start with the 'pros'
- Fewer costs: Avoiding expensive repairs helps you avoid potential financial strain. Plus, selling a house as-is means there’s no pressure to make it look perfect — no need to pay for professional staging inside or spruce up the curb appeal outside. Of course, you'll want to do your best to make your home attractive...but not at any great expense or time.
- Faster process: Rather than waiting weeks or even months for repairs and other projects to be completed, you can list your home on the market and start showing it immediately. The sooner you list it, the sooner it can sell.
- Smoother closing: The upfront knowledge that no repairs will be made means there’s less negotiation and no haggling back and forth over concession requests, which smooths the path toward a straightforward, uncomplicated closing.
And then there are the 'cons'
- Reduced profit: Homes sold as-is generally fetch a lower price, due to the anticipated repair costs the buyers will have to shoulder. Skipping the repairs saves you money on the front end, but you can’t expect to price an as-is property the same way you would if it were in better condition.
- Fewer buyers: Many house-hunters are looking for move-in-ready properties and don’t feel comfortable taking on a “project.” The number of interested buyers will likely be less for an as-is listing, as not all are interested in a house that needs work.
- Financing challenges: Potential buyers might face difficulties in securing a loan for a house in poor shape, which can prolong the selling timeframe. It might even lead to the deal falling through, particularly if the home appraisal comes in short of the agreed-upon price.
But don't be dissuaded from getting into the market now! I have clients who are looking for homes at all price points throughout Marin and would love to help you through this process - making it as smooth and rewarding as possible. Here are some tips to get started:
1. Be upfront about the home's condition. We can do a little upfront work by securing a pre-listing home inspection in order to be transparent with would-be buyers. This will instill trust and make the situation less stressful for everyone involved. Completing the inspection will also give you an informed asking price and will help move the process along, since you'll need to complete the seller's disclosures in due time.
2. Keep your investment looking good. You might not be investing in any major upgrades, but that doesn’t mean you should give up on presenting your home in its best light. You can still make sure the property is neat and tidy. Keep the yard mowed, surfaces clean, beds made and dishes put away, and minimize clutter as much as possible. Be ready for viewings at all times, as you would with any home sale.
3. Know your limits. Consider the lowest offer you’d be willing to accept and be ready to make a quick counter-offer if need be. Also consider how long you can wait to close. A good Realtor can help you negotiate or help you pivot, if need be.
If you're seeking expertise in Marin County's luxury real estate market, look no further than Tracy Curtis. As a dedicated and knowledgeable specialist, Tracy is committed to helping you sell your property for the best possible price. Don't miss the opportunity to work with a professional who understands the nuances of this unique market. Visit Tracy Curtis's website today to start your journey towards a successful real estate experience in Marin County.