Properties that need to be fixed up or rehabbed are not just for the investors and
handymen of the world and you don’t always need a lot of money to make them
For example, I recently closed on a property for a buyer client who used a rehab loan program that spent less than $3,000 out of pocket between writing the contract and closing on the property. The monthly payment on the property is under $1,100 and that includes property taxes and she was able to finance in $20,000 of work to the property in roofing, heating, plumbing and other repairs.
So when you think about buying a house but worry about the condition and the work needed, there may be some great options out there for you. Between financing in repair costs, asking for seller paid closing costs and possible grant or gift money for your down payment then couple that with a rehab loan for the repairs, what have you got to lose?
There is a lot of property moving right now in the under $200,000 price range and
especially in the under $150,000 price range. So if you are thinking of selling
and your property may need repairs, financing options are available for the
buyers if you can’t afford the repairs ahead of time. Most of the time a
realtor like myself can come in and give you an idea of what might be a
financing stumbling block for buyers before you list, so you will know either
what to fix or understand the options a buyer has for your home.