Patricia M. McCorry, JD, CRB, GRI's Blog
74 Westcliff Dr, Plymouth, MA 02360
If spending money to make money on your property seems counter-intuitive, you might attempt to sell your home “as-is” and keep your money for the new place. After all, most of those homes featured on renovation reality shows are in worse condition than yours; and those buyers intended to gut the place for a complete makeover anyway.
Just know that the offers you receive will reflect the needs of the buyer, so you won’t get top dollar unless the property is in an extremely desirable area. Still, it might make sense to sell as-is for a discount if your situation is difficult or you’re strapped for cash. Conversely, selling a home that isn’t up to code reduces your buying pool. FHA and VA loans require a home to meet minimum property standards to secure the loan.
Another consideration is how much you still owe on the property. Unless the investment for repairs and upgrades is more than your remaining mortgage, it is probably worth spending to bring your property up to code. A qualified real estate professional can help you prioritize your repairs to those necessary to get it sold, or market it to buyers looking to renovate to raze the home.
So, who buys as-is?
Investors often purchase property intending to “flip” it; that is, to renovate a distressed property and quickly resell it to recoup expenses and make a profit. Typically, investors want the “bones” of the property to be sound, so foundation and structural issues are less appealing to them.
Another type of investor wants the property for its proximity to business or industry. Their goal is to have the property rezoned for commercial purposes or to build multi-family structures on it instead. If the area around your home is transitioning to commercial or multi-family dwellings, your professional real estate agent can guide you to this type of investor.
Less common is the buyer that wants a project or fixer-upper on which to put their own stamp. Some fixer-uppers buy for nostalgia (they lived in the home/area as a child) and others for what they know the area can become. Their goal is to restore the home to its former glory while adding newer amenities. As opposed to flippers, these buyers often intend to live in the home while working on it, or once the work is complete.
If you determine that selling as-is is the best option for your situation, discuss the issue with your agent. She can warn you about what to expect for offers with your home in its current condition and help you set a fair asking price based on its location and the market trends in your area.
If you are mulling over purchasing a vacation home, then you must go over a few considerations before you make the final decision. If done for the right reasons, it can end up being a great piece of investment, as you can save hotel and lodging costs when you visit and then rent it out during off seasons.
- Location. Location is essential because you can't just up and move at will, so consider the area of the property you are contemplating purchasing thoroughly. Will the site accessible and attractive to future guests? Is it located in a place that is prone to natural disasters like hurricanes and storms?
- Calculate the associated costs. Many other costs come along with purchasing a piece of property such as utilities, maintenance, homeowner association costs, property taxes, and insurance fees. You want to factor all this and determine that they are well within your budget. If you plan on using rental income to cover some of these costs, then you have to be practical about what rental income typically is in that area.
- Maintenance Issues. If you are buying that vacation property as an investment, then you have to make arrangements for who is going to manage it in your absence. Things like security and surveillance are critical. The speed at which you repair a bad pipe or faulty wiring may be the final defense between your house going up in flames or flooding. If you aren't around for long periods, plan to hire a facility manager who can supervise affairs.
- Finances. Run a money check with your financial adviser. Get someone to look at other tax issues such as buying out of state property. You might find that property taxes on that new place may not be deductible. Are you going to be able to meet up with your other long term financial commitments?
- Local laws. It's always necessary to run checks on local laws and regulations about homes in the place you choose. Make sure you hire a local property professional too as they are likely to be more thorough. Are you going to be allowed to rent it out, and are there regulations on the number of days it can be rented out?
Whatever you do, make sure you cover all your bases and consult with our realtor before you sign the final contract.
74 Westcliff Dr, Plymouth, MA 02360
The time has come to go through and clear what has become clutter in your own home. Hopefully, you can give the items more life and someone else the opportunity to have the use of these items. After all one man’s trash is another man’s treasure right? The answer is maybe not. There are some things that donation centers are unable to accept. Here are a few of those items and some ideas.
Mattresses and box springs
Due to the issue of sanitation most donation places are not able to accept mattresses and box springs because they cannot guarantee that they are free from bed bugs, mites, or any other undesirable extras hidden away inside. Thankfully when you purchase a new mattress if you have it delivered the option may be available for them to haul away your old one for you.
Nowadays more often than not when someone is looking to purchase large appliances, they would instead get new products and ensure the use of their purchase for years to come. With cheaper choices available and the option to finance becoming open to more and more consumers donation centers are not as willing to accepting these donations. Other opportunities to purge them from your house are to put it in a garage sale or want ads of your choice. If you are purchasing a new appliance, many large stores will offer to haul away your old ones for you. Something that you may consider for your large appliances is your local scrap metal yard as they usually purchase these types of items for their metal value.
Old, worn, stained or broken items
Needless to say, if an article is any of the above, it is beyond going to a donation center. These are items that just need to go into the recycle or trash bin.
Things that have been left over from garage sales, items that you received for free or for participation, anything with the potential to grow mold and anything vulgar or offensive are good things to put on the curb instead of the donation pile. Check around to see if any places around you are willing to accept large and/or unwieldy items since some organizations just don’t have the room for these.
To sum it up
Try to make sure that what you are donating isn’t actually a trash item and if you cannot find a donation center that is willing or able to accept what you have to offer then make sure that you follow your city’s ordinances for disposal or recycling. Enjoy your clutter free home with the assurance that you have given a second chance to items that you can and helped give back to your community. Ask your real estate agent to recommend the best donation locations.