REASONS TO CONSIDER SELLING YOUR HOME FOR CASH AFTER A FIRE OR FLOOD
***Even though the information on this post is provided by experienced professionals, it is not intended to be tax, financial, legal, or investment advice. A qualified professional should be consulted before making financial decisions. Every person's situation is unique, and these problems warrant expert advice.***
EXPERIENCING A FIRE OR FLOOD IN YOUR HOME CAN BE A TRAUMATIC AND DIFFICULT EXPERIENCE.
Besides the loss of precious belongings, making the necessary repairs can cost tens of thousands of dollars, and even more- especially if your insurance claim is denied. This comes with countless potential issues and setbacks, which is why many wonder whether it's a better idea to sell your house after a fire, or after your house flooded.
When you sell your house through traditional means, there is usually a lot of paperwork and time required to get things done. Even when the house is in good condition and everything goes smoothly, it’s still going to be at least a few weeks before the sale happens.
If there are any issues with the property or buyer that need to be sorted out during this process, it could take even longer. This becomes even more difficult when you add fire or flooding damage to your home. Even if you hadn’t considered selling before, considering a cash offer on your home when your house has sustained some kind of damage might be a good idea.
Why? Here are the top reasons:
YOUR HOME MAY NOT BE LIVABLE AFTER A FIRE OR FLOOD
If you have fire or flood damage, you may not be able to stay in your home. You'll likely need temporary housing and/or temporary living arrangements for a few weeks or months. In those situations, time is money. And, if your
The more time you spend without a home, the more money you spend on alternative living arrangements- and depending on your insurance coverage, you might have to cover some of the unexpected expenses. You might also find yourself moving out of state or into a new city, depending on where you live.
You often have to move into temporary housing when your home is severely damaged, and in larger emergencies like a flood, local alternative housing is difficult to find. If there are no places available in your area, then they will provide lodging in another city until they can find another place for someone else displaced by the fire and/or rebuild their homes in time for them to return (if at all).
In addition to finding new housing options after these events occur we also recommend taking steps now so that when disaster strikes again it won't take as much effort on our part to get back on track again."
INSURANCE CLAIMS AND REPAIRS CAN TAKE MONTHS- OR YEARS
If you decide to opt for a cash offer, you don't have to wait for your insurance claim to be paid.
That's right: cash offers mean you don't have to wait for insurance money. You can sell your house and move on with your life right away. Anyone who’s had personal experience with making a claim and seeing it through knows how difficult and stressful that process can be. If you’re making a claim because of a widespread event like a major flood, those delays are compounded.
As we mentioned previously, cash offers often come in below market value because they don't require any repairs before closing—but what if there's damage?
Well consider this: If a fire has damaged your home and caused extensive smoke damage throughout all the walls and ceilings, it may be difficult or even impossible for potential buyers without sufficient collateral (i.e., money) coming in with traditional financing options like FHA loans or VA loans. Lenders require homes under contract within 30 days of purchase date at time of settlement/closing costs paid upfront through escrow account set up by lender before closing day (which could take another two weeks).
There's a good chance lenders will require the home to be repaired before approving any financing, which can take months or even years to repair it. This is because:
The damage may be extensive, requiring permits and inspections from local authorities.
Insurance companies may not pay for all of the damage that has been done to your property after a fire or flood.
Rebuilding takes time and planning—and often requires hiring a public adjuster that specializes in recovering funds on behalf of policyholders who have experienced losses as a result of natural disasters. It also means that you'll need an attorney who can guide you through complicated legal proceedings if necessary (and sometimes they're necessary).
YOU MAY NOT HAVE INSURANCE TO COVER THE DAMAGE
It's important to know that some property insurance companies will not cover the replacement cost when making a flood or fire insurance claim. Claim denials are often part of a lengthy process of actually getting a claim accepted, and other times your fire damaged property could get denied. This means you may be responsible for paying for repairs out of pocket.
If you're going through this now, this news is probably not what you wanted to hear. However, there are other options available (some good and some bad) that can help ease your financial burden while still allowing you to get back into your home as soon as possible.
To avoid being caught off guard by an unwanted situation like this one, make sure that all of your homeowners insurance policies are up-to-date and cover all types of damages discussed above before disaster strikes.
Consult a legal and/or insurance professional to see what your policies cover, whether flood insurance is available and necessary, and what ways you can avoid having your house fire insurance claim denied. And if something does go wrong with your property—or sometimes, even when it doesn't— the peace of mind after being fully informed about your insurance policy will go a long way in helping you be prepared for any potential problems in the future.
If you don't hesitate to reach out because our team has the experience needed when it comes time making things right again after they've been damaged by natural disasters like fires or floods."
SELLING YOUR HOME FOR CASH CAN HELP YOU GET BACK ON YOUR FEET QUICKLY, AND HELP WITH TEMPORARY EXPENSES
Many people assume it's difficult, if not impossible to sell your flood damaged home, and that selling a flood damaged house means restoring the property completely first. With a cash offer, a fire damaged house can be sold as-is. You don’t have to worry about what the house looks like, or deal with the delays many people experience when making an insurance claim.
You can sell your home in any condition, regardless of its current condition. Making the necessary repairs to make the house livable can be unaffordable. This way, you can focus on getting your life back on track as quickly as possible.
When a house has fire or flood damage, many expenses are going to be incurred. The first thing that needs to be done is securing temporary living arrangements for your family. You'll need money to pay for hotels and/or apartments, as well as food (until you can get back on your feet).
Cash in hand can also help with the following:
Covering medical expenses
Paying for alternative childcare while you're seeking temporary housing
Covering transport costs (such as taxi rides) during this time period
Paying storage fees while waiting for repairs or rebuilding your home
THERE ARE NO INSPECTIONS REQUIRED WITH A CASH OFFER.
One of the biggest benefits of a cash offer is that you don’t have to worry about inspections.
Inspections can be a deal breaker. If your house has fire or flood damage, there's a good chance it won't pass inspection. It can be stressful for both parties when someone comes into your home with an inspection report in hand and tells you that there are problems with your house that need fixing before they will consider buying the property. It can also be expensive because buyers often require repairs prior to closing on a property in order to minimize any potential risks associated with purchasing damaged real estate.
If buyers have to make major repairs prior to closing on their purchase, they may need additional financing—another added cost!
CASH BUYERS CAN CLOSE QUICKLY.
Closing is the point at which you get paid for your house. It happens when your house sale is officially recorded by a title company and your loan documents are signed by all parties involved: you, the buyer and their lender. Closing can take place as soon as you sign the paperwork, but it usually takes longer than that because of some minor details like waiting for property inspections or appraisals to be completed.
Because cash buyers typically don't need to secure financing before they buy a home—and because they're used to paying cash—cash sales often close faster than traditional sales where buyers have obtained mortgages from banks or other lenders. As long as everything goes smoothly during inspections and appraisals (which are usually conducted within 72 hours), most closings can happen within two weeks' time.
CASH SALES ARE USUALLY, FAST, SIMPLE, AS-IS SALES.
If you've ever had to sell a house, you know that getting the price right is one of the key factors for selling your home quickly. But most people think trying to sell a house with water damage is impossible. Traditioinal buyers will be willing to pay above asking price for certain properties (like those with great views), most buyers want to pay as close to market value as possible.
A cash offer can help you get your home sold quickly by allowing a buyer who doesn't need financing to make an offer on your house. This means that they're not waiting around for bank approval or having their credit checked, which can take several weeks or longer depending on how busy their lender is and whether or not they have any negative marks on their credit score.
Cash sales are usually as-is sales.
As the seller, you don't have to make any repairs, clean up or update your home for showings before closing. This means that the buyer doesn't need to worry about the cost of repairs and updating once they move in, and you don’t have to worry about how to repair a home after it floods.
When you sell your house to a cash buyer, there are no financing issues holding up the process. You won’t have to wait for the loan to be approved, and there’s no risk of it falling through at the last minute. When you sell your house to a cash buyer, there are no financing issues holding up the process.
You won’t have to wait for the loan to be approved, and there’s no risk of it falling through at the last minute. When you sell your house to a cash buyer, there are no financing issues holding up the process. You won’t have to wait for the loan to be approved, and there's no risk of it falling through at any point during this transaction process.
A CASH SALE WON'T REQUIRE AN APPRAISAL OR BE AFFECTED BY APPRAISAL ISSUES.
With a cash offer, there's no need for an appraisal or to be affected by appraisal issues. In some cases, banks will require an appraisal as part of the underwriting process or even as a condition of loan approval.
You pay for the house in cash and avoid having to wait for funds from an investor or bank before closing on your purchase.
It doesn't require a bank's underwriting process or its appraisal requirements and can close quickly (sometimes within days).
GIVE THE MAID (AND CONTRACTOR) THE DAY OFF- NO STAGING, SHOWING, REPAIRS OR CLEAN-UP TO MAKE A CASH SALE.
Cash sales usually require little to no prep work or repairs. No cleaning, no painting, no gardening. If you're looking at an offer on your home in the middle of winter and it feels like there are five feet of snow on your front lawn, that's fine! Cash buyers are not worried about such things. Even if the house has severe fire or flood damage and smells like wet ashtray (or worse), a cash buyer will be ready with their checkbook in hand regardless...
So if you want to sell your house fast without having to worry about doing any repairs or staging it first but still get top dollar for it? Consider accepting a cash offer to avoid the hustle and demands showing your house to potential buyers often requires.
WE BUY HOMES IN ANY CONDITION, SO YOU DON'T HAVE TO WORRY ABOUT REPAIRS
We buy homes in any condition, so you don't have to worry about repairs
You won't have to make repairs or clean up. You can be done with the nightmare of dealing with contractors and their headaches. We can close on your house in as little as 30 days!
WE'LL WORK WITH YOU TO FIND A SOLUTION THAT FITS YOUR NEEDS
We understand that you may be going through a difficult time, and we'd like to make sure that you're taken care of. We'll work with you to find a solution that fits your needs.
We can close quickly, which means that you can get back on your feet sooner rather than later.
And because we're always here for our clients, there's no need to worry about being left in the dark or alone if something goes wrong.
