A recent report has suggested that homeowners in Charlotte could end up losing money by deciding to sell their home to so-called ‘iBuyers’ rather than selling on the open market. Data was recently put together as part of a MarketWatch report, which showed that these types of sales had taken place in a variety of areas including some in Charlotte.
Many homeowners are eager to sell their homes as quickly as possible but naturally they also want to get a fair price for their properties. Some have been tempted to sell to real estate firms that purchase direct from the seller, known as ‘iBuyers’. However, the data suggests that those that do sell using this method could end up getting considerably less for the property.
Avoiding the Losses of Selling to iBuyers
Some experts believe that homeowners rush into a decision to sell to direct buyers without first taking the time to see what the losses will be compared to selling on the open market. One official from cityseamlesspatiocovers.com said that homeowners may be better off making improvements to their property in order to increase both interest from potential buyers and the value of the home, rather than selling their properties for significantly less than they were worth just to secure a quick sale.
By making key home improvements, sellers can benefit from attracting more interest from potential buyers, which in turn can help to speed up the time it takes to sell the property. In addition, rather than taking a loss on the home by selling to an ‘iBuyer’, the homeowner can actually get more for their property due to the value that many of the home improvements can add. This could enable some to avoid a loss of tens of thousands of dollars based on the value of the home.
The recent report suggested that, on average, those selling their home to iBuyers would expect to get around 11 percent less than those selling on the open market. It was also suggested that there was a lot of uncertainty involved in selling property this way, such as the quality of inspections carried out among other things. For many homeowners, all of this is a huge price to pay for the sake of selling their property a little more quickly.
It was also found that some iBuyers tempted sellers by advertising the fact that there is no commission to pay to real estate agents and offering to cover certain fees such as legal and survey costs. However, sellers may still be a lot better off selling their home on the open market and paying these fees themselves rather than losing out on a chunk of the property value.
Getting the Home Valued
Homeowners in the Charlotte area who are considering selling their home to iBuyers are advised to first get a number of valuations from reputable real estate agents. This will then provide them with a far better idea of what their potential losses will be if they go through an iBuyer rather than selling on the open market.