Pros and Cons of Buying From People Who Want to Sell House Fast

The best property deals are from those home sellers who want to sell house fast.

For whatever reason, there will be people who need the money right away and are just looking to jump at the first chance they get to sell their house. The only problem with these types of deals is that, even though the cost is low, if you’re looking for a potential fixer-upper, the costs of renovating and rehabilitating the property to the point of making profit might be too steep for you.

Of course, that’s not always the case. Some rush sellers do sell houses that can be sold for a higher profit as-is or with little renovations.

Most of the time, though, the house will be decrepit and/or distressed.

In such cases, what do you do? Are they still worth the investment? Or, are you better off looking for a different fixer-upper project?

Below, we discuss the pros and cons from buying properties from people who are rush selling their house.

Old abandoned green house with boarded up windows, a door in flat cartoon style. Isolated vector illustration on white background. Flat two-storey, double decker house, cottage with fence.

Pros of Buying a Distressed Property

1.    Low cost

Even if it’s located in a nice neighborhood and near a school, distressed properties won’t sell for a high price.

That’s where you come in.

The potential for huge profit is there if the property is located in an ideal location, surrounded by everything that families need, from schools to stores, and far from noisy or busy streets.

Because of the low cost and the potential for high profit, distressed properties make for a great investment.

2.    Better deals from lenders

Distressed properties can be an eyesore for entire neighborhoods.

If you’re interested in buying one, you might find lenders more than willing to help you out by giving you a better deal.

From lower interest rates and closing costs, to longer mortgage payments, lenders will be more than willing to help you out if you’re after a distressed property, regardless of whether you plan on selling it for profit eventually or just buying it to live on it.

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Cons of Buying a Distressed Property

1.    Competition

You’re not the only one who has an eye on that distressed property. You’ll most likely be competing with dozens of other home investors, all of which have just as much money to throw around as you do if not more.

If you’re looking for a very quick fixer-upper, distressed properties might not be for you.

2.    Maintenance and repair costs

Not all distressed properties are the same. However, one thing that most have in common is that they might not have been maintained for years if not decades.

That can present a huge problem for you.

Even if you managed to buy the distressed property, there will be problem areas that the previous homeowner might not even know about. In this case, it’s up to you, the new homeowner, to repair the damage, and depending on the extent, the costs of rehabilitating the property might not be enough to make it worth investing in.

Foundation issues, in particular, are a huge red flag, despite how low the cost of the distressed property is.

Get to Know the Fixer-Upper Game Better

Playing the real estate investing game isn’t easy, especially if you plan on investing in distressed properties.

If you have the time, money, energy, as well as finances, and most important of all, work ethic, to dedicate to learning how to make the most out of distressed properties, then you’ll end up with low-cost and high-profit investments.

If you don’t have any and all of those things, then you’re better off trying your luck with other “easier” real estate investments.

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Estefania Castaneda
Estefania Castaneda
17:24 04 Sep 21
Extremely pleasant, attentive to all my needs always. It was a pleasure renting an apartment from Ken.
Vichai Soysouvanh
Vichai Soysouvanh
14:17 03 Sep 21
Can't say enough about Ken and his team. This was the most seamless sale I made. I didn't have to deal with all the... nonsense that comes with selling your home. They bought my house as is, I didn't have to declutter and pay a broker commission. All in all great experience, will do business again.read more
Niki Keser
Niki Keser
17:46 06 Aug 21
I had a wonderful experience renting one of their properties for 7 months. The apartment was beautifully remodeled and... Ken and his team were always responsive to any needs. I would recommend to anyone looking to sell or rent.read more
YASMINA VASQUEZ
YASMINA VASQUEZ
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Ken and his team were professionals ,they promised and they delivered or anything
Alfredo Garcia
Alfredo Garcia
03:20 17 Jun 21
Selling my property too Ken was the best thing I did. Although I was skeptical at first I soon found out how... professional he was. Even though my closing contract was not standard because of the pendemic situation. He followed through on time with all the contract terms as promised. Thank you Ken for your professionalism.Alfredo Gread more
Vishrut Patel
Vishrut Patel
23:27 19 May 21
Ken was referred to us by someone who had sold their home thru Ken last year. From the first meeting to the last... transaction, Ken and his team were professional, efficient, easy to work with, and above all.... caring. Each seller's situation is different, and Ken truly understands that. We were treated with respect each time.Since we were in a time crunch situation, selling our home with a cash offer from Ken was the best decision we could have made. We were perfectly okay with getting slightly less money for our home as compared to selling it via an agent. But if you consider the money saved on agent commissions (both buyers and sellers), closing costs, repair costs, attorney fees, and most important of all... time and headache, you can't beat the option to sell your home with a guaranteed cash offer from a reputable buyer like Ken.My wife and I were very pleased with our experience with Ken. If you are in the market to sell your home fast for a cash offer, I highly recommend giving Ken a call!Best of luck!Vishread more
Christopher Martino
Christopher Martino
14:19 10 Mar 21
Ken and his team were great. They were easy to work with, professional, and responsive. If you are thinking of selling... your home they offer a super easy process.read more
Chelsea Grant
Chelsea Grant
15:36 03 Jan 21
I am a travel nurse and stayed in a town home for 3 months... It was exactly as described and any issue that came about... was handled within a few hours - I would definitely recommend and I would definitely stay again!read more
Aaron Zachko
Aaron Zachko
12:41 14 Aug 20
Amazing experience! Ken was upfront, quick and got the deal done in no time. Having done a number of real estate... transactions this was by far the easiest and smoothest. I would unconditionally recommend him to anyone looking for an easy, quick and fair transaction.read more
Joseph Tricarico
Joseph Tricarico
19:10 26 Mar 20
Ken is a very professional individual from start to finish. As promised, he gave me a fair deal on my one of my... properties that was in rough shape. He was knowledgeable and responsive to my requests and as promised we didn't need to waste time with inspections and appraisals and we closed quickly. He made it painless as possible by having his crew handle the clean up. This was truly a quick and easy process but a professional individual. Thanks Ken!read more
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