To some sellers it might not make a differnce what kind of buyer is looking at their home as long as they find a home buyer quickly to buy their home. If you figure out who the right buyer is for your home and your situation you will be best able to make a plan on how to best cater to them. Two of the biggest categories of buyers are real estate investors and traditional buyers.
To many home sellers, it may not matter what sort of buyer is interested in their property as long as they can find a home buyer to purchase it. However, figuring out what the right buyer is for you will help you get your home sold faster because you will have a specific plan in mind to cater to them. One of the largest categories of home buyer is the difference between real estate investors and traditional buyers. Both of these types of people purchase home but they purchase houses for very different reasons. This article will talk about these differences and how you can market to the right buyer for your situation.
The main objective of the traditional buyer
Most traditional buyers are looking for a home that is move in ready. Traditional buyers are the vast majority of buyers that are looking in any given market, at any given time, and they have some similarities. As an example, because they are looking to move there is a high likelihood that they have another home and they need to get that home sold in order to buy your home, so they don't have two mortgages at the same time. Chances are they will also need to make their move as painless as possible so they will want to negotiate when the best time to close is.
Traditional buyers generally look for homes that require little to no repair. Even those that are on the market for "fixer uppers" are looking for homes that include repairs that are more or less weekend projects--no structural fixes, no water damage or mold issues, and no extensive plumbing or electrical work. They are more comfortable replacing carpets, lighting and faucet fixtures, and renovating the appearance and small repairs of the home before they move in.
And then some in this category are looking for move-in ready which means they are looking for a house in excellent to perfect condition so that they don't have to do anything but move in and set up their belongings. These buyers are willing to pay a higher price for the luxury of not having to deal with any type of repair at all.
Selling to a traditional buyer
The pros of selling to a traditional buyer are that your home will be sold at market value and these buyers offer the highest price. For this reason alone, many sellers choose to cater to these buyers which means cleaning and staging your home, marketing efforts, and negotiation.
There are unfortunately many negatives to selling to this type of buyer. Most of these types of buyers will require financial assistance in order to pay for the home so they will have to qualify with a bank, or other lending institution. The average time to sell will also be higher, and will typically come in at around three months from initial listing to final closing.
Selling to a real estate investor
A real estate investor is a professional who buys, sells, and rents homes as an investment. He is not interested in moving or living within the home. Real estate investors are usually quite experienced buyers who have bought and sold homes multiple times and so they have their finances and legal paperwork in order to make a deal fast. They can close much faster than other buyers and have flexible closing times. Because they have more buying power than traditional buyers, many have the ability to buy a house in all cash. The downside to the quick and flexible closing time and cash upfront is that the home will often be sold under market value price. However, for a home seller in which time or fast cash is more important than going directly to a real estate investor is much more efficient than selling to a traditional buyer.
Is It Possible For Vacant Houses To Hurt An Entire Block?
The process of selling your home can be a very complicated thing, and if you have distressed homes in your area it will make it even harder because they can lower the value of your house. Sadly, in today's market, it is a very real possibility even if your house is in great condition, if you are in an area that has a high number of foreclosures and short sales, that your house will suffer right along with those houses.
Do You Know What Happens During The Foreclosure Process
There are not a lot of people that think about the possibility of losing a house to foreclosure when they first purchase the home. The process of foreclosures is not something that happens right away and in the following article we will talk about the various steps that a lending institution can take during the process.
What Repairs Should I Make To Get The Highest Return On Investment
You can tell that home repairs shows have been gaining in popularity due to the large number of shows that show off expensive, over the top repairs. Even if the upgrade is able to get the buyer to say wow the real question is if the expense will actually garner you more money? You do not want to put lots of cash into upgrading something only to find out that you have actually caused your home to be less marketable to home buyers.
