Q & A

A friend recentlyasked if he should accept an offer from an investor, on his home that needs some repairs. This is a great question—and it’s one that comes up a lot, especially when a home needs repairs or has deferred maintenance. I made him a list of the pros and cons of selling to an investor vs. listing with a realtor and thought I would share that here.

The Situation:

Your home needs work—maybe roof issues, old plumbing, outdated kitchen, etc. This limits the buyer pool, so your options become more strategic.

Selling to an Investor (Off-Market)

Pros:

Speed: Investors can often close in as little as 7–14 days.
As-Is Sale: No need to make repairs or clean out the house.
No Commissions: Most investor deals skip the traditional 5–6% agent commission.
Certainty: Cash offers = less risk of financing falling through.
Privacy: No showings, no open houses, no neighbors wandering through.

Cons:

Lower Price: Investors are looking for profit—expect 70–85% of market value.
Fewer Offers: You’re usually only dealing with one investor, not the open market.
Limited Disclosures/Protection: Some off-market deals are "buyer beware."
Scams: Some predatory investors look to take advantage of distressed homeowners—do your due diligence.

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Listing with a REALTOR

Pros:

Top Dollar: Even in as-is condition, you’ll usually net more with market exposure.
Multiple Buyers: Competition among buyers can drive up the price.
Professional Guidance: A good agent helps manage repairs, disclosures, marketing, and negotiations.
Creative Solutions: Agents can target flippers, contractors, or cash buyers, through the MLS, while still maximizing your return.

Cons:

Preparation Required: Even selling “as-is” might require some cleanup or minor work.
Time: Listing and closing can take 30–90+ days depending on the buyer.
Showings: You may need to accommodate showings or open houses.
Commission: Typically 5–6% paid from the sale proceeds.

What Should You Do?

If You Want:

Speed and convenience, and are OK with less profit → Talk to a trusted local investor.
Maximum sale price, even if it takes more time/work → Talk to a realtor first.

Pro Tip from 21 Years in the Biz:
In many cases, a REALTOR can bring investors to you—but with competitive tension and a structured sale that still gets you a better price than going off-market alone.

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If you'd like, I can give you a quick estimate of what your home might fetch in **as-is** condition vs. **lightly repaired and marketed**. Just reach out, I'm happy to help.