Are you tired of owning a property that you don’t want or can’t afford to maintain? Putting it on the public MLS can be expensive and take up more time than you have available (especially when we’re hunkered down during Covid19!). In our today’s post, we can help you learn how to sell a house in Hawaii without sinking any money into it in less time than you may think – and without the added stress!
When most people prepare to sell their house, the first thing they do is type away on Google or ask a friend for a good agent referral. Makes sense, right? I mean, isn’t that how everyone sells their house (not exactly… keep reading…..). While some agents are very good at what they do and worth their weight in gold, this isn’t always the best way for a homeowner to sell.
For some homeowners who need to sell a house in Hawaii, selling as-is or a direct sale to a local Hawaii home buying company may be the best way to go. After all, everyone’s situation is unique, so why would one solution be a fit for everyone out there? It wouldn’t, so don’t try to compare yourself to everyone else.
However, before you decide how to sell, take a step and gather all of the information you need: your current situation, mortgage balance, any mortgage arrears (the amount you may be behind), same for HOA/AOAO dues, condition of the home, and perhaps just as important……what you want your life to look like next. What does that mean? It means: where will you live next? Are you planning to buy another home? Rent? Go to the mainland? Pay off bills? What do you need to happen?
Why is all this important now? Because after factoring in time, money, and energy, your ideal selling method may be different than you had originally thought. It’s important to keep the big picture in mind when thinking about selling your house in Hawaii.
But first, let’s take a look at what listing your house in Hawaii could cost you…
What Will Listing My Hawaii House Cost?
Listing a house in Hawaii can come with a lot of costs that people aren’t always aware of. Some these costs may include…
- Costs to make repairs both before and after the inspection process – think roof leaks, plumbing leaks, termite damage, faulty electric circuitry, broken fence, etc.
- Expenses to clean and stage the home for property showings and open houses – you can usually expect to pay over $2000 easily to professionally stage a normal single-family home (cleaning is extra).
- Marketing expenses not included with your standard listing (virtual tours, professional photography, etc.) if you decide to make a big push to attract buyers over the competing homes.
- Holding while the house is on the market and through the escrow process – monthly insurance bills, property taxes, utilities, HOA/AOAO fees, etc.
- Closing costs which can amount to 1-2% of your final sale price.
- Agent commissions which are typically around 6% of your final sale price.
According to NerdWallet, you should plan on spending at least 10% of the final sale price on the costs of listing your home. That may be a bit high for the Hawaii market, being one of the most expensive in the nation, but the takeaway message is that you’ll likely need to open your wallet a bit to really do it right. Your costs can be higher or lower depending on the property and situation (large single-family home in Honolulu vs a townhouse in Ewa Beach vs a condo in Aiea). Regardless, it’s essential for home sellers to understand all these costs so they know exactly what to expect when selling a house in Hawaii…..and so that they can converse intelligently with others who may ask for their business.
How To Sell Your House Without Spending Money
There are a couple of ways to sell your house in Hawaii without spending any money – yes, any money. You can either list your house ‘as-is’ on the MLS and tell your agent you’re not doing a thing to the home, or work with a company that buys houses in Hawaii to purchase your property outright without an agent in the middle. For some homeowners in Hawaii, one of these alternative options can prove to be a better way to sell your house.
Let’s dig a bit deeper into both of these options, shall we?……..
Listing Your Hawaii House As-Is
Some owners choose to publicly list their houses as-is which will make things less expensive for the sellers. While listing your house as-is in Hawaii will save you money on cleaning (though we still suggest doing what you can), repairs, and upgrades, you will still have to factor in commissions, holding expenses, and closing costs, even if they’re taken out of the sale instead of you writing a check (not the holding costs – those you need to pay every month).
All of these bills can easily add up to tens of thousands of dollars, and that is without any promise of a buyer. Also, a dated or fixer-upper house won’t get the same level of attention and appeal to as many buyers when listing your house as-is in Hawaii. Your property will need to photograph well and not come with a long list of needed repairs or you risk turning buyers away.
A Direct Sale To Oahu Home Buyers
Instead, selling your house directly to Oahu Home Buyers will help you to avoid all of those listing costs (because there’s no listing), including repairs, marketing, holding costs, commissions, closing costs (we pay your traditional closing costs), and more. No more worrying about spending any money at any time during the sale. You will be able to get an offer without having to worry about any deductions or hidden fees – you’ll be in direct contact with the title/escrow officer coordinating the sale and can also reach out to us anytime. While our price isn’t always full retail, the amount you can save may more than make up the difference, and that’s not to mention all of the time you will save……and stress! Our goal is to make everything SIMPLE, EASY and STRESS-FREE.
Why Sell As-Is?
So why would a home seller want to sell as-is in the first place? Wouldn’t fixing up the property add value, thereby increase its value and resale amount? In a perfect world, yes that would be true (even without the current Covid19 pandemic throwing a wrench into everyone’s plans). However, when listing your house in Hawaii, you won’t have any guarantee that your repair costs will translate to a higher sales price. And let’s face it – most homeowners aren’t up to speed on current design or building trends. Fixing up your home can be risky if it’s not done right or on budget (has anyone ever overpaid a contractor?…..). While it can certainly add value in some cases, sinking money into a house you’d rather just sell can be a poor use of your funds. By selling as-is and letting us take on the repairs or upgrades ourselves, you’ll relieve yourself of the burden and risk of the work and can instead focus on where you’ll be living next.
Are you ready to sell your house in Hawaii? Before you hire an agent in Hawaii, find out what we can do for you! You don’t have to list your house in order to sell it. We have multiple types of ways we purchase homes directly from Hawaii’s homeowners, so talk to us today and see what we can do for you….