When it comes to selling or buying a home in Irvine, few issues are as major as a bad foundation. While damage to a home’s foundation can scare away some buyers, it doesn’t need to be a deal breaker. You have several options for selling your home, even if you don’t want to repair the damage before you list it.
Disclose the Foundation Damage
The first thing to keep in mind is you are legally obligated to disclose known foundation issues on your seller’s disclosure form for buyers to review. To protect yourself, you should disclose the damage even if you decide to repair the foundation. After all, repairing the foundation will likely require a permit and become public record.
Determine If You Should Make the Repairs
You aren’t obligated to repair foundation issues before listing your home as long as you inform potential buyers. You may need to either adjust your price to account for the damage or give the buyer a credit at closing.
It may even be possible to create another arrangement with the buyer. For example, you can find a foundation repair company willing to complete the repairs once the buyer’s loan is approved while waiting for payment until closing. If you can reach such an agreement with a contractor, the buyer will not be inconvenienced, you will not need to reduce the price of the home, and you can pay for repairs out of the sale proceeds.
There are benefits to listing the home with the existing damage. For example, you won’t need to pay money out of pocket for repairs. If you inherited the home or its value has appreciated significantly, you can even benefit financially from this decision.
By repairing the foundation damage, you are more likely to get better offers and walk away with more money from the sale. Because many buyers shy away from homes with serious damage, the home may sell faster as well. Knowing the issues are repaired and the work is covered by a warranty could even be a selling point. If you have the means to do so, repairing foundation issues is usually recommended before listing a home.
Get Estimates on the Repairs
Before making a decision, it’s a good idea to contact a structural engineer who can determine the cause of the foundation issues and offer advice on a solution. If you contact a foundation repair company first, they have an interest in selling you on repairs without necessarily understanding what’s wrong with the foundation.
If you do not repair the foundation before listing, it’s essential to get multiple estimates from licensed contractors to perform the work recommended by a structural engineer. These estimates can ensure you’re informed about the true cost and give you power during negotiations with a potential buyer. The buyer will also have a good idea of what the repairs will cost rather than having to guess.
If you’re trying to sell a home with structural damage, make sure to find a realtor in Irvine who can guide you through the selling process. Reach out to Irvine Residential today. Call 714-454-6304 to speak with one of our friendly and knowledgeable agents.