Buying and selling a property does not always include purchasing a brand-new, fully functional home. After all, this isn’t HGTV, so you might have some difficulties selling.
When you have a teardown house, selling it is one of the more difficult situations. This means you’re not selling to average homebuyers, but rather to contractors and investors looking to profit from the house.
We’ll go over some of the actions you’ll need to do to develop and sell your teardown home here.
What is a Teardown House?
Simply said, a teardown house is one that needs to be demolished. A teardown house, more specifically, is one that has significant structural and cosmetic flaws. This indicates that repairing the house at a fair budget is not possible. This does not necessarily imply that the house is fully lost. But it does mean that no homeowner or investor will purchase and refurbish a home with the intention of living in it or profiting from it.
How to Sell Your Teardown House
To sell a teardown house, you must sell it to someone who is interested in the land but not in living there. Most likely, whoever buys the house won’t even keep it; they’ll demolish it right away. As a seller, this gives you some opportunities to learn about the market and how to make money on a fixer-upper.
1- Find out how much your house is worth in today’s market.
It should go without asking but know how much your home is worth. This isn’t the final figure for how much you should sell your house for, but it will give you an idea of how much the land is worth. Also, compare your home to the homes in your neighborhood. Is it a similar situation? If not, consider that an investor or builder will be looking to make a lower sale in order to raise the property’s worth to that of the surrounding area. This may provide you with some negotiating leverage.
2- Locate Reputable Builders.
Many builders would scout active communities before tearing down homes to build new houses or apartments. In fact, if you own a fixer-upper, you may already have heard from some! You don’t want to end up with a builder who undersells their consumers, and you don’t want to just sell your house. If you’re certain you don’t want to renovate, hiring a builder who specializes in flipping houses can help you sell your home quickly and fairly, with no concern for market fluctuations.
3- Settle on Your Own Terms–And Know Your Neighborhood.
Look into who is selling in the area and what is going on with that home. Are there any new residential structures in the works? Or are your realtors erecting huge luxury mansions in place of single-story ranch houses? If that’s the case, figure out how much those new homes are worth and use that to determine how much you want to sell your property. You won’t receive that much for your land in the market, but you can definitely get a better deal than you expect.
4- Check Out Habitat for Humanity.
Consider donating or selling to Habitat for Humanity if you are a more philanthropic person or simply want to get the property off your books. This group buys homes and renovates them to provide high-quality, affordable housing for those in need. Give to someone who could genuinely use it if you want to give back.