Are you looking to sell a house that is in bad condition?
Although this may seem like an impossible task, there are still options available to you.
In the blog below, we’ve explained how you can sell a house in bad condition. Read on for all the advice you need.
What counts as ‘bad condition’ for a house?
What people consider ‘bad condition’ for a property is partly subjective.
And how bad they say it is might depend on who they are talking to.
After all, some buyers may exaggerate flaws in a property as a negotiating tactic. And many want to profit from buying (and later on selling) a fixer-upper house.
‘Bad condition‘ can cover a wide range of issues.
Not good condition
At the lower end, a property may be old and tired-looking but sound. This could include:
- Outdated décor
- Worn carpets
- Old appliances
- Chipped or faded paintwork
- Overgrown gardens.
Bad condition
Moving up, there could be:
- Signs of dampness and mould
- Old and draughty windows
- A damaged roof
- Electrical and gas problems
- Problems with neighbours
- Serious plumbing issues.
Very bad (/poor) condition
Major structural problems put a property into a poor condition category. Common examples include:
- Cracks in the walls and ceilings
- Sloping floors
- Unstable foundations
- Rotten timbers.
The more these issues are present, the worse the house’s state will be in.
Derelict condition
A derelict house is essentially unlivable. This is particularly common when the house has serious structural issues.
Potential buyers on the open market want to move into a house as soon as they buy it.
If the condition of your property prevents them from doing that, then you may have a problem.
Can you sell a house in bad condition on the open market?
It is possible to sell a run-down home on the open market.
But it will attract a lower price than a well-maintained property. There are pros and cons when listing a house in disrepair for sale.
Pros
The main advantage is having a larger pool of potential buyers than cash investors.
First-time buyers or bargain hunters may take on a fixer-upper project. Listing on property portals like Rightmove will maximise exposure.
Cons
Buyers often expect price reductions to cover repairs. You’ll also have to declare and explain all the faults upfront. Listing photos will make the issues clear. This may deter some buyers.
Plus, your buyer will still need to secure mortgage financing. Many banks may be reluctant to do this without a structural survey. This will reveal all flaws and lead to reduced offers.
You might also need to wait longer for a sale whilst buyers investigate the extent/nature of the bad condition.
Should I improve a house’s condition before selling?
Improving a home’s condition can be a wise investment or a waste of time. It all depends on factors related to:
- Your timeframe
- Your budget for selling your house
- Your buyer’s preferences
- The nature of the repairs in question.
Even minor cosmetic fixes can add value. And essential repairs can prevent further deterioration.
By enhancing your property’s condition, you can make it more appealing to buyers. This increases its sale price.
Be selective with improvements. Over-improving risks over-capitalising, i.e., spending more than you can recoup on sale. Focus on essential repairs first and avoid elaborate upgrades.
To avoid going over budget, gather quotes for all planned work and seek professional advice from surveyors and agents.
This helps you to identify priority repairs for re-saleability.
How can I sell a house in bad condition?
If selling on the open market is unrealistic, other options exist.
Cash buyers
Find people and companies who buy properties for cash (often called cash house buyers or sell house fast companies).
These buyers don’t have chains, so they don’t need mortgage valuations. You benefit from this by getting a quick sale – one that can be completed in mere days.
Cash buyers are generally willing to buy properties in any condition.
Auction
Auctioneers sell properties in any condition to the highest bidder. They are particularly known for selling properties in bad condition.
Auctions are fast and have flexible terms, but again, expect lower prices. Do your homework to set realistic guide prices.
Sell to tenants
If you are a landlord, offer sitting tenants first refusal.
They’ll already know the property’s faults but may see renovation potential. Offer goodwill discounts.
DIY landlords
Market to landlords with repair skills. Admit defects while talking up potential rental yields post-refurb. You should offer incentives if you can.
Cheap listings
List on Gumtree, Facebook Marketplace, and Amazon or other website with free listings to reach broad audiences. Emphasise the property’s renovation potential.
You cannot complete the sale on these platforms. But you can contact potential buyers away from the site and then sell to them privately.
What causes a house to get in a bad condition?
There are many reasons why a house might sell in poor condition.
Understanding these factors can help you identify the root cause of your property’s condition.
Long-term neglect by owners
Lack of maintenance leads to gradual decline. Sellers often disguise issues with makeovers, but this doesn’t offer a long-term fix.
Bereavement
When owners die, properties languish empty. Deterioration accelerates and estates rush sales. If the house is neglected, it might be quite a task to renovate it.
Divorce
Couples separating can’t afford repairs or want quick sales to speed up their divorce proceedings. So, properties may get neglected in difficult times.
Financial problems
Owners are facing money issues and deferring maintenance. Repossessed homes are rarely cared for.
Inexperience of owners
Naïve first-time buyers underestimate repair needs. Costs prompt quick re-sales.
Cheap buys
Buyers take on fixer-uppers but can’t or won’t invest to improve them.
Inherited homes
Beneficiaries sell inherited properties ‘as is’ to avoid work and expense.
Structural issues
Foundations and dampness can be bad if not addressed. Subsidence and woodworms are two other examples.
Accidental damage
Burst pipes, storms, floods, fires, etc., can instantly render houses uninhabitable.
Unlicensed work
Rogue builders and bodged DIY cause underlying issues that only emerge later.
How can I find cash buyers to buy my house?
Cash buyers can be your quickest and most straightforward way to offload a property in poor condition.
Search property auctioneer websites for experienced developer buyers. Contact them ahead of listings going live. You may even want to attend an auction day and speak to these people face-to-face.
If all else fails, you may be able to join property networking events. You can then connect with renovation specialists face-to-face.
Sell your property fast with We Buy Any Home
At We Buy Any Home, we are chain-free cash property buyers who can purchase your property up front and quickly, without hassle or stress.
We can buy your house quicker than any other channels – in as little as just 7 days.
Fill in our enquiry form below if you want a cash offer for your house.
