The foundation supports your entire home. When you are getting ready to sell a house, discovering foundation issues can be alarming. Could you still sell it? If the inspection didn’t end up in getting an evacuation order, you might still get a green light.
But selling a home with foundation problems needs some calculations and wise decision-making. In this article by Granite Foundation Repair, a local foundation repair company, you’ll find out the three main things to consider when selling a home standing on a cracked groundwork.
1. What is the extent of the problems?
Foundations issues often give many warning signs: doors that become misaligned, difficulties in shutting the doors or windows, concrete gaps or cracks around the house, and water entering the basement or crawl space.
Do you notice any horizontal cracks? These can be indicators of serious signs of structural damage that might imply the need for a new foundation in the most severe cases.
Finding ¼ inch cracks or even smaller ones anywhere in the building shouldn’t raise too much concern. It’s common to find tiny cracks as your house settles.
Though, sometimes seemingly insignificant details may contain the potential for big headaches. Hiring a structural engineer or an experienced home inspector is always a good option when you aren’t sure of how serious the issues exactly are. Typically, any certified assessments cost you between $350-700.
2. Should I repair the foundation?
Selling a house with foundation issues seems like a daunting task. Who would want to buy such a home? Actually, there are buyers out there looking specifically for houses with foundation issues. They know that the seller is forced to lower the price.
Usually, these buyers have skills or contacts to fix the problems. And some people look for a fixer-upper as a side project. But if you want to sell the house quickly, foundation problems may still slow the whole process down.
Before making any decisions, get a few quotes from companies focusing on foundation repair. Knowing the potential costs will make calculations and decision-making into a much easier process. The costs might be something that you can afford. This would allow you to get your foundation issues repaired.
But if you crunch the numbers and find the whole cost too much, then you can always pass it on to a buyer. Additionally, you may have difficulties looking for a lender.
Selling a house with serious foundation issues leads to most lenders turning down a loan offer. And, you might end up having to find a cash only buyer.
Costs for foundation repairs vary uncontrollably. It all depends on the actual problem and its severity. Having small cracks that aren’t part of a structure-wide fault? Simple patching will do the trick!
But major issues may easily run you up to the thousands. When there are huge structural problems, the final costs depend on the size of your home and other variables.
Some realtors suggest that clients don’t repair their houses before listing them. This is because all repair work finds its way into the public record. Buyers tend to cross off any house on the list has a history of having foundation issues and repairs.
You won’t even have a chance to explain what you have fixed because people will not even consider checking your house out. There’s no point in having people visiting your home only to find out that both sides are wasting their time as the house shows many foundation problems.
3. How to communicate with the buyer?
Open and honest communication with prospective buyers is essential when selling a home with foundation issues. It doesn’t matter whether the problems run deep and require serious investment, or the foundation is showing light wear.
Don’t sugarcoat your foundation issues or leave any important information out. Not all buyers will probe deeply the home inspection report. It’s your responsibility to let them know about any problems that you are aware of.
That said, you could put things into a new context. For example, you can present the fixing of foundation issues as a way to add a finished basement or create some other cool feature for the new owners.
So, what to consider before selling a home with foundation issues?
Your first step is to understand what issues your home’s foundation faces. Small cracks that aren’t part of a bigger problem won’t break your budget and would definitely require some minor repairs before selling the property.
Deeper and more complex problems require more effort, money, and time. Not fixing serious foundation issues invites buyers that are looking for a fixer-upper investment project.
They expect a big discount that reflects the repair costs and potential risk they take on when buying your home. Most lenders shy away from approving loans for a house that has major foundation issues. If this is the case, get ready to find all-cash buyers.