If you receive code violations about your property but you do not have the funds to repair the violations or pay fines and interest that accrue daily, you might be thinking, “I need to sell my house fast before anything else goes wrong.” A big concern for homeowners, when faced with violations, is that buyers will not consider a property that does not comply with local codes and will try to drive the price down.
If you are wondering if you can sell your home without revealing the violations to the buyer, the answer is “no.” The law requires you to reveal all building code violations. If you fail to do so, you may be responsible for any financial loss the buyer accrues due to the violations.
First Step after You Receive Code Violations
Contact a local realtor who can help you address the violations. Code violations can be confusing and seeking professional help will help you resolve issues quicker. The realtor can schedule an appointment with the violation code officer to discuss the details of non-compliance. Most realtors have experience negotiating with code officers to sanction down the violations and get your house in compliance before selling.
Determine Which Violations Are Worth Repairing
There are six common code violations that homeowners encounter. Some code violations are just a matter of cosmetics and you can comply with them for little cash output. Some of these violations include mowing the lawn, landscaping the property to improve the appearance, draining an unused pool, removing asbestos, or scraping and painting peeling paint. Repairing these types of violations could increase your home’s value and attract potential buyers.
Other common home code violations include:
- Electrical errors
- Missing or broken fire alarms
- Windows in dangerous locations
- Missing expansion tank for water heater
- Not having handrails installed on railings
Arbitrate a Deal with the Buyer to Pay for Repairs
After disclosing the violations to potential buyers, especially serious violations, such as, fire hazards, electrical violations, structural damage or zoning issues, some of them might be willing to repair code violations themselves. If this is the case, they will negotiate for a lower purchase price. Most buyers considering this option, hire a contractor to inspect your home to determine if repairing the code violations are worth their while. Building codes change all the time and buyers want to make sure that the house does not have structural violations that will be a headache for years to come.
Sell Your House As-Is to an Investor
In many cases, buyers would rather not invest money to repair a house with multiple code violations. If all else fails, you can contact a real estate investor who will buy your house as-is, which saves you all the money needed to bring your house up to code. In fact, you can forgo selling your house through a realtor and find an investor who will pay cash for your house, ending the code violation nightmare. According to the National Association of Realtors, cash sales made up 23 percent of home sales in January 2017, increasing from 21 percent in December. Of these sales, investors bought 15 percent of the properties and fifty-nine percent of the investors paid cash. So, this option could be your best bet if you need cash fast.
When making your decision to sell your home for cash, consider these other benefits. With a cash sale to professional homebuyers and investors, you do not pay realtor commissions, inspection fees or closing costs. This gives you cash-in-hand to help relieve your financial burdens or use the cash for relocating.
If you reside in Florida or Georgia and need help selling your property, we can help find an investor for your situation, no matter what the condition of your home or code violations incurred. Contact us to find out what you can do about selling your house fast. If you are a real estate investor looking for properties for cash sales, we can find home investments that fit your needs, as well.