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Why would you consider selling your house for less than its current value?

It goes without saying that if you are selling your home, you want to sell it for the best price possible. There are times, however, when the best price possible is not the full value of the house.

If you are in a position to sell a property that is more of a burden than an asset, it may make sense to move the property as fast as possible. If you have inherited the property, or the house is in need of extensive/expensive repairs, or if you are underwater financially on a property, your best bet may be to sell your house at a discount just to get out from under the responsibility.

When considering selling your house at a discounted price you are not necessarily getting the short end of the bargain. A reputable home buyer is looking for a bargain but they are offering you a service as well. They can help you move your house as quickly and efficiently as possible.

Selling Your House at a Discount Can Provide You with Hidden Savings

If you don’t focus on the difference between the value of your home and the price offered (if it is a fair price) you will see that you will be saving money on several other aspects of the deal. These savings can mitigate some of the money you are giving up on the sales price. A reputable buyer will have procedures in place that can save you the money you would otherwise be forced to spend to sell your house conventionally.

No Repairs or Renovations

Investors are used to “fixer-uppers”, and have no problem buying a house as-is. This means that you are saving the cost and time of replacing a roof or repairing electrical and plumbing problems. This savings in effort and money alone is enough to encourage a quick sale to an investor rather than selling to a homeowner that will require the repairs prior to closing.

No Agent/Broker Fees

If you sell your house conventionally, using an agent you will be paying that agent anywhere from 6-8% of the sales price for their services. As the homeowner you are allowed to sell it yourself without an agent, but marketing and listing your home as a “For Sale By Owner” can be a long and arduous process.

Selling to an investor means that you will pay no agent fees, letting you put that 6% against the discount you are selling your house for.

No Closing Costs

Investors have great relationships with closing attorneys and will generally be paying closing costs and title insurance instead of you. This is more money left in your pocket to offset the discounted price.

There Are Benefits Other Than Money.

I have talked a little about the money you can save by selling your house to a real estate investor. While all of these savings can reduce the actual difference between the price offered and the value of your home, There are several other benefits that selling to an investor.

You Get Cash

Investors pay cash. They are in the property buying business and typically have the funding to purchase your property up front. They can give you a check for the full price at closing.

You Sell Fast

Investors are constantly looking for property. One call will have them out to look at the house and you will have a cash offer in a day or so.

Additionally, because they have processes in place, they can close on the deal quickly. A conventional real estate transaction could take a month or even two, but a good investor can close and hand you a check in two weeks or less.

Everything Is Done On Your Time

You don’t have to clean and stage your home. You don’t have to set schedules for and endless stream of shoppers to wander through your house. If you call an investor they will make one trip out to see the property then get back to you with a fair offer.

If you are ready to sell but not ready to move, then an investor can execute a contract on your house but not close on it until you are ready to move out. This means you can take your time moving out, or you can move as fast as two weeks. It’s up to you to set the closing date.

Who Wants To Buy Your House?

Who are these “Investors” I have been talking about? They fall into three main categories.


A Wholesaler is not an actual investor. They are more like a middle man. They are looking for properties that investors would want and they will agree to a contract with you with an option to transfer that contract to an investor.

Their contract will offer you a fair price and they will then mark that price up when selling it on to the investor, keeping the difference for themselves.


A house flipper is looking for distressed properties. They buy them as is and add their own time, money and effort into fixing the property and then selling it on at a profit.

People that flip houses can usually only handle one or two deals at a time, before looking for a new house to buy.


These guys are looking for cash flow. They find a deal on a distressed property, but unlike a flipper they keep the property and rent it out, getting a monthly income from multiple properties.

All of these people are looking for deals when it comes to buying houses and are willing to cover some of the costs and all of the repairs on your home for the opportunity to make a profit further down the line.

When you are looking at selling your property, don’t think of selling at a discount as “settling”. It may be just what you need to solve your problem fast. The control and saving you get in the process can take some of the sting out of the sales price.

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