As you shop around at single-family homes for sale, you will probably come across one you really like. It might be the right size, in the right location, and offer the right features; however, what should you do if the home needs some repairs? There are several things you can do if you find a home that fits this description, and here are some tips to keep in mind.
Examine If The Price Reflects The Needed Repairs
The first thing to consider is whether the asking price reflects the needed repairs, and you can do this by analyzing the selling price of the home compared to the appraised value. The only problem with this is that you may not know the appraised value of the home; however, you can talk to a real estate agent about this.
If you feel the house is priced right even with the repairs it needs, you might want to make an offer on the house that is relatively close to the asking price. If you feel the price does not reflect all the repairs needed, there are two options you could choose.
Ask Owner To Make The Repairs
The first option is to make an offer on the house, that is relatively close to the asking price, but you could add contingencies that state the owner must make the repairs. You should then list the repairs you are asking the owner to make. The owner could agree to it and make the repairs, or the owner might refuse to complete the repairs.
Offer A Lower Price To Compensate For The Needed Repairs
The other way you could handle this is to offer a lower price on the house to compensate for the needed repairs. For example, if the asking price is $175,000 and the house needs $15,000 in necessary repairs, you could offer to pay $160,000 for the house.
With this option, you would have to make the repairs yourself, but a lot of homebuyers prefer this option. Some buyers would rather complete their own repairs to make sure they are done right, but others want to do this because they are able to do the work themselves, which helps them save money.
These are some of the options you have if you want to buy a house that needs repairs. To learn more about homes for sale, talk to a real estate agent in your neighborhood.