Cash for Houses in Ocoee
If you are living in Ocoee, Florida and want cash for your house we can help you. We buy houses for cash and have the experience to make the closing process fast and professional. Many sellers choose to contact us because they are in a difficult situation where selling their property through a real estate agent is not the best option. If your property fits into one of these 10 categories then you might want to consider contacting us.
Top 10 reasons to sell to a cash buyer
1) Distressed property
2) Preforeclosure
3) Divorce
4) Probate property
5) Bankruptcy
6) Job relocation
7) Problematic investment property
8) Low equity in home
9) Tax delinquency
10) Elderly owner
Distressed Property
Like all cities in Orange County, Ocoee has its share of distressed properties. To bump up the value of a house in this category a real estate investor can quickly make the necessary changes to a home’s decor. The images below show how new flooring was installed in an attic that had just received a professional paint job. If you were to sell your house for cash, you wouldn’t have to pay for renovations like these before the sale.
What these images don’t show is the planning that is necessary to have a successful flooring installation. Before any work of this kind is done, many remodelers will map out the steps on specialized software. This is to ensure that the boards are staggered correctly and that enough material is ordered to complete the job. The multiple steps of floor finishing aren’t shown here either but be assured that this expensive process was part of this flooring installation.
When a distressed house seller in Ocoee understands the extensive work that’s involved, the option of selling a house for cash to an investor can look much more attractive. Be aware that the effort and expenses of an adhoc renovation can be negated if an inspector determines your DIY work is sub-par or shotty.
And let’s not forget that getting cash for your house is not the only goal in a real estate deal. You should know that you are leaving a legacy for multiple generations of families to enjoy what you left behind. This mother and her baby are carrying on life in this renovated room because of the prior owner’s decision to sell and move on. Realistically they could be living in any other home right now but the decision to put this home on the market allowed for this version of destiny to play out.
If you are in a situation where procrastination could cause substantial profit loss, talking to us may be your best option. You don’t want the next owner of your house to be the only happy party. Getting cash for houses through a quick sale allows original homeowners to receive money before it is all lost. This loss could come through a bankruptcy or it could come through a long period of time as you pay taxes and maintenance fees for a house that you don’t need.
Preforeclosure
If you have missed multiple mortgage payments it’s better to face the situation than let the bank carry out their threats of foreclosure. There are two options that involve working with a real estate investor. The first is a short sale where the investor (buyer) offers to pay a portion of the existing loan amount with the bank’s approval. If approved, the buyer would own the house free and clear and the seller would be relieved of all responsibility for paying the loan. Though the bank would be losing money on the transaction, they would prefer to get what they can.
However, in a healthy real estate market the bank knows that it can get more money through a foreclosure because buyers attending an auction will bid at high market prices. For this reason, short sales are rare and are reserved for times following a housing crash. The second option is a ‘subject to’ transaction where the buyer takes over the existing mortgage payments. The seller may receive an amount of cash for the house based on the agreement with the buyer.
Both parties don’t notify the bank of the transaction so the bank does not immediately demand that the balance be paid in full. A bank has the option of doing this because of a possible ‘due on sale’ clause in the loan contract. However, the execution of this clause rarely happens if the bank does find out about the transaction (which is totally legal by the way). There are many nuances about this second option which you should familiarize yourself with because ‘subject to’ deals have become extremely popular as of late.
Divorce
If you are about to get a divorce, you and your spouse will most likely consult your own attorneys and then make a written agreement with the help of a mediator. Assets are usually divided 50/50 but if there is any objection about this from either party, a judge will decide how your assets will be divided. You should know that it is in the couple’s best interest to reach an agreement before facing a judge in divorce court. This will allow you time to sell your Ocoee house and get a $500,000 tax deduction on the sale. Waiting until after the divorce is finalized will limit your deduction to $250,000.
With this in mind you probably would not want to sell your home to a regular real estate agent in Orange County because the process would take about 3 months. Using a real estate investor can shorten the sale time considerably so that you wouldn’t have to postpone the divorce court date. Also, the negative drama that’s involved in a divorce should incentivize a quick sale of a jointly owned home which is another good reason to work with a real estate investor.
Probate
Let’s say that you have 4 siblings and your deceased mother’s will names you as the executor. That places you in a place of responsibility where you are expected to make decisions so the value of the property does not decrease. However, the rules in Florida are a little strange which puts an added hurdle in front of you. Florida is a homestead exemption state which means that you as the executor cannot use any value of the property to fund its upkeep.
This rule is to prevent you from lessening the amount of money that a creditor might get if they have a lien placed on the property. For example, paying a painter $2,000 to paint the house is permissible but you can’t be reimbursed from proceeds of the property’s sale. This is incentive for the executor to come into agreement with the other 4 heirs that the property should be sold quickly. Since selling the house on the regular market may take 3 month or more, residents of Florida frequently research the cash for houses option. This entails selling the house fast to a real estate investor and dividing the proceeds between all 5 siblings.
Bankruptcy
As we approach the issue of cash for houses in bankruptcy, we need to state that we are referring to primary residences going through chapter 7 bankruptcy (not chapter 13). Investment properties are lost after a chapter 7 bankruptcy and are not something that a real estate investor would even consider. Before the sale of a bankruptcy property, there are creditor disputes and court hearings that the real estate investor must attend before the sale is approved. So you should realize the extreme lengths that the investor must go through to help you navigate through this treacherous territory.
A ‘subject to’ transaction would need to be done for a successful sale in Ocoee and the surrounding areas of Orange County. During this process the real estate investor would have to bring all of the mortgage payments current plus pay attorney and late fees. Creditors would have to be reimbursed as well but at the end, the seller will be happy to get some of his equity back. In a nutshell, selling a house through a bankruptcy is an arduous process but is possible when dealing with an experienced investor with determination.
Job Relocation
It’s intuitive why a job relocation would require someone to sell their house fast for cash. If the seller waits until after the move, the selling process becomes more complicated of course. Plus, there’s a good chance that the seller won’t have enough money in savings to hold him over until his first paycheck from the new company. There are sellers who can sustain a smooth transition with savings but after a move, a lot of it could be eaten up by paying for property maintenance.
By far the worst thing to come out of that situation is for the city to charge daily fees for unkept property if the lawn care company doesn’t do its job. And think of the problem of a sudden storm – thousands of dollars can be lost through fees because the owner never knew there was an ongoing problem.
Problematic Investment Property
People become landlords because they fall in love with the idea of getting monthly rent checks. The reality is that this kind of cash flow is only as reliable as the tenants that pay the rent. Of course a landlord tries to properly vet his tenants. But after the vetting process is over some tenants suddenly change and that could be a recipe for a disaster. Because of this problem landlords tend to get tired after a couple years. The cash for houses concept resonates with many of them because they would just like to wash their hands of their rental properties and move on.
Low Equity in Home
In this scenario you have about a 1 in 10 shot of getting cash for your house through a real estate investor. The reason? The investor would petition the bank who holds the mortgage to drastically come down in price to do a short sale. As mentioned before, a bank loses some of their investment with a short sale but considers that better than other cumbersome alternatives. The problem with trying a short sale with an underwater house is that 90% of the time the bank doesn’t want to come down low enough for the real estate investor to make a profit.
Tax Delinquency
This kind of property suits the cash for houses model very well, as long as you the seller is proactive and motivated to sell. The worst thing you can do is let tax accrue as though it doesn’t exist. You must know that after a certain amount of time, your tax lien will be sold to a 3rd party who will have the option of foreclosing on your property.