RE/MAX Premier Properties

Selling Your Home when You Have Water Damage

by Debra Engel 01/12/2020

Photo by Monkey Business Images via Shutterstock

After a significant storm or catastrophic event, you may determine that moving to a different climate is right for your household. The question becomes, do you repair all the damage to your home before you sell it, or do you offer it “as is” so that the buyer takes on that cost. Sometimes, if you take care of the damage problem quickly, you’re only left with minor repairs. Often, though, it can seem like the entire house needs fixing.

To figure out which is right for your situation, review these pros and cons of each choice.

Making Repairs vs. Selling "As-Is"

  • Repairing water damaged areas will net you more if you have the resources and the time to make the repairs before you sell. You can ask a higher price when you sell. But often, this process involves waiting for insurance money, hiring contractors, completing repairs and having the adjuster inspect the work. Meanwhile, you must find a place to live while they fix the water-damaged areas. That means spending a lot for out-of-pocket expenses.
  • Additionally, you’ll need to put extra effort into making sure that buyers feel comfortable and confident in the house’s repairs, which means hiring professional inspectors, documenting mold mitigation and repairing even minor damages. All this might not be worth the investment.
  • When you don’t have the time or money to fix the repairs, you can sell your house “as-is," water damaged and all. You won’t get as much money for the property, but you can get out of it and into a new home sooner. In many instances, your knowledgeable agent can market to investors that willingly give you a cash sale offer. The best part about it is you won’t have to do anything. All the money you would have spent on repairs, contractors and professional inspectors can stay in your pocket or go toward your new home.

Selling to an Investor

Selling a water-damaged house to an investor is one of the best options. An investor will pay cash for your property without requiring you to fix anything. Here are the best practices to make it a great sale:

  • Do not hide the water damage! Whatever you do, don’t try to hide that your home experienced flooding.
  • Legally, whether selling "as is" to an investor or an interested buyer, disclosing water damage is a requirement; this is because water damage may introduce harmful chemicals, materials, or pathogens into the home, which can lead to mold growth in the future. Trying to cover up water damage can land you in court. Do yourself a favor. Let any buyer know about past water damage in your home.

How to Sell a Flood-Damaged House

If you have the money from an insurance payout, make the repairs. You can fetch a higher price on the market. But when this investment isn’t worth the cost, it’s often a better choice to sell your water-damaged home to an investor instead. If this sounds like a good possibility for you, ask your real estate professional to market your home to investors so you can resettle your household in a better home.

About the Author
Author

Debra Engel

  

Through her commitment to excellence and personal service Debra has become a highly regarded Realtor with RE/MAX. Debra is familiar with the residential resale markets throughout her area. She has the knowledge, resources, and expertise to market your home effectively, and to help you choose the right neighborhood for you and your family.

Debra believes that real estate is much more than simply buying or selling a home. To her, a key element of real estate is developing relationships and building trust with her clients. When you meet Debra you will quickly realize you have gained a true friend! She knows how to listen and always puts the needs and wants of her clients first. Debra truly enjoys working with her clients and helping them through the process of buying or selling a home.

Whether your move is up sizing or downsizing or changing cities, Debra and her staff are dedicated to listening to your needs and to serving you with honesty, integrity, and professionalism. Perhaps it is this commitment to personal service that keeps her clients coming back time after time and recommending Debra to their friends and family. 

She has completed her SRES (Senior Real Estate Specialist), CIAS (Certified Investor Agent Specialist), CDPE (Certified Distressed Property Expert) and SFR (Short Sales and Foreclosure Resource). 

Her latest accomplishment in 2018 is she joined the RE/MAX Hall of Fame of which she takes much pride in.