Offers, offers, offers… Which one to choose when considering selling property in Cape Coral?
Many of our clients contact us with questions about all the offers for selling property in Cape Coral. Snail mail, texts, and phone calls from numerous entities all offering to buy your lot. Below are some of the different types of offers you might get and what you should know when considering selling property in Cape Coral.
Wholesalers are on the lookout for a deal and are the most prevalent of all the offers that you might receive. A wholesaler intends to get your property under contract for an extended period at a price that is 20%-30% below market. This low offer allows them time to find a buyer and make a profit on the “spread” or “assignment fee”. For example, you agree to sell to the wholesaler for $30,000 and all parties sign a contract. Once signed, he finds a buyer that will pay $40,000 and the wholesaler makes $10,000. The wholesaler never closes on the property because they have assigned the existing contract during the extended time frame they requested to close.
Low Ballers and Investors
Some buyers will make an extremely low offer hoping a desperate seller that is unaware of the value of their property will sign the contract. The price is very low but they will also try to close very quickly so you are tempted to sell without doing your research. They view themselves as investors and will resell the property for a large profit. For instance, a property that is listed for $30,000 received an offer of $15,000 cash and wants to close in 2 weeks or less. The “low baller/investor” then finds a new buyer at $40,000 and pockets the $25,000 as profit.
A common trick attempted by scammers is to ask for money upfront to sell your lot, usually around $500-$2,000. They tell you they have an international convention with buyers from all over the world and offer a price that is way over market value. They convince sellers that the price is almost guaranteed and they send a contract to advertise, the unaware seller might think they are signing a sales contract. Years ago we saw a company out of Las Vegas doing this that incredibly had a favorable rating with the BBB! If any company asks you to send money just walk away. If it sounds too good to be true it usually is. Ask a realtor if you ever want a second opinion.
Real Estate Companies and Agents
If you don’t have a realtor listing your property and you receive a letter from one they are most likely looking to list the property for sale under their agency. Working with a realtor is the safest and best way to get the highest value for your property. If your property is not listed on the Multiple Listing Service (MLS), how will anyone know it is for sale?
For sale by owner signs don’t reach the market where the most eyes can see it, therefore limiting your offers. When your property is listed with a realtor, they have many resources in addition to the MLS to get the most exposure and attract the best buyers. Benefits of listing the property on the MLS is that the property will be shown on websites including Realtor.com, Zillow.com, and numerous other reputable sources all over the internet reaching the entire world of interested buyers.
Buyer agents have alerts set up to notify them by email as soon as a new listing becomes available in locations of interest for their clients. There is generally a lot of interest in newer listings on the MLS because agents and prospective buyers have already seen the inventory that is available and is still looking to find the right property to fit their criteria.
Some agents will send sales contracts directly to sellers which can be intimidating to navigate without an agent you trust. Usually, buyer agents are working with a client who wants a specific area within a certain price range.
It is important to find a realtor that specializes in the type of property you are selling. Real estate agents vary in their knowledge and expertise, some specialize in land, new construction, single-family homes, or commercial property. Some real estate agents are very experienced and can work with all types of property. The internet offers a lot of resources to look into any real estate agent or company’s reputation. We suggest doing the research and finding the person who best fits your needs.