If you’re a homeowner, you undoubtedly have received letters in the mail, with someone interested in purchasing your home. These letters come from several different sources. If you receive a letter that has you intrigued, it’s a good idea to do your homework before you respond.
I receive the majority of these letters from large companies that are set up solely to buy property way under market, so that they can immediately turn it around for a profit. In simple terms, they’d like to steal your equity, if you’ll let them. The letters come with the enticement of you needing to do nothing, and you can select the timing that works well for you. Since these companies are out to make as much profit as possible, their offer is going to be well below the market value of your home, often times by 25% or more.
I’ve rarely met someone who has decided to sell their home this way, but when I have, I’ve found two common scenarios. The first is a seller who perhaps has no idea how much their home is currently worth. They may have owned it for a really long time. As a result, the price that the company offers them sounds fantastic and they don’t bother to get a second opinion. The second scenario is largely based on timing and external circumstances. An unsolicited offer arrives when someone is under a lot of duress, dealing with something else that is very stressful in life, and the offer seems like a sensible way to go in that moment. It’s heart breaking to see someone taken advantage of in these circumstances.
So what should you do if you receive an unsolicited offer and it sounds too good to be true? Call a trusted REALTOR® for a market evaluation, to find out how much your home is really worth. Then you can at least make an educated decision. If you are willing to sell at the price the letter is offering, there is an excellent probability that your REALTOR® can easily sell your home on your terms, but at a much better price.
The other kind of unsolicited offer often comes from REALTORS® who are going the extra mile for a client they represent (trying to find the perfect home) or directly from individual buyers who are unrepresented and want a specific location or property. In either of these cases, your best bet is to contact YOUR trusted REALTOR® for an opinion of value. Beyond evaluating the value of your home, having your own representation should ensure that you are well protected and
entering into a fair contract.
Every home sale is unique. Please feel free to reach out to me at 925-964-5010 or via email at Lisa.Hopkins@Compass.com for a custom analysis. Even if you’re not planning to move, I’m happy to help by providing you with relevant data, enabling you to make a well informed decision. It’s never too early to start planning for success.
