When you’ve got a home that you just can’t sell, things can look pretty hopeless. It’s not the end of your problem property just yet, though, and you’re not going to be stuck with a useless chunk of land forever. Instead of hiring an expensive realtor and doing extensive renovations, you’ve got better options! You could auction property in the UK, or you could sell with a cash buyer instead. Both have their pros and cons and need to be carefully considered before you commit to either decision.
The Perks of Auctioning Property in the UK
There are several perks to choosing to auction property in the UK. When you auction a home, you’re guaranteed to sell it at that sale, even if it goes for less money than you’d hoped. Furthermore, an auction guarantees that your problem property sells in as-is condition, which helps keep your wallet from losing any more money to a property that will never be perfect. Selling in as-is condition is a great way to ensure that a house that won’t sell doesn’t suck any more from your paycheque, and can keep it in a wonderful fixer-upper condition for your buyer to renovate in any way that they please.
The Downsides of Auctioning Property in the UK
There are downsides to selling at auction just as much as there are perks! It can be costly to sell your home at auction. Some auctions cost up to hundreds of pounds to enter and don’t always sell your home for that much. When you sell your home at auction, you have no control over the price it sells for, and that means that you probably won’t get as much as you hoped for. If you have a mortgage on your home, you probably won’t even earn enough to repay it, let alone make a profit. Furthermore, as soon as the hammer falls at the auction, that house is no longer yours. You need to be fully moved out before the auction begins, and there’s no negotiation on how long you have to move out. There’s no negotiation at all when you sell at auction, and you have no say in the process of how your home sells. These are all very big drawbacks that you have to consider when selling your property at auction and can affect how you sell your home overall.
Should You Sell With A Cash Buyer?
Cash buyers are a simple story to tell. When you sell with a cash buyer, you can sell your property in as-is condition cheaply, quickly, and easily. You never have to worry about your sale falling through or your buyer not getting their mortgage in order. Since cash buyers have enough money to purchase your home outright already, you don’t have to worry about banks or lenders turning down their mortgages. You get to sell your property in as-is condition, no matter if it passes a home inspection or if it’s even legally habitable. A cash buyer will always purchase your home, and they’ll even pay you the market price for it. When you sell your home at auction, you’re going to make much less than the traditional market price, because all of your buyers are looking for a deal. When you sell with a cash buyer, you’re going to make just under market price, and just under listing price as well. This is much, much higher than anything you’ll make at auction, and can help ensure that you pay off any outstanding mortgages or other bills associated with your property. Even better, when you sell with a cash buyer, you always can negotiate your price and the terms of your sale, which is something you could never do when selling at an auction.
Will You Choose To Auction Property in the UK?
Choosing how to sell your home is a big decision, and you have to be careful about which route to take. Choosing to auction property in the UK is a big decision with both perks and drawbacks, and should only be done if you do not have a mortgage to pay off on your home. If you do have bills to pay, though, selling with a cash buyer might be your best option because of their simplicity and ease. With both options, you can sell in as-is condition and are always guaranteed a sale, but with a cash buyer, you’ll make near market price on your home and be able to negotiate the terms of your sale. Choosing to auction a property in the UK or sell it with a cash buyer is a complicated decision, and you should think about it carefully before you choose to sell your home.
