We Buy Ugly Houses Reviewed
Do you know the pros and cons of selling your home to one of the We Buy Houses flipping companies?
You only have to drive around your town for a little while to come upon “We Buy Houses” or “We Buy Ugly Houses” type signs plastered on telephone poles or street signs.
The signs tell you that a company out there will purchase your home, no matter its state.
These are investors who are looking to flip your house for a profit. Housing flipping has become a lucrative business model for several real estate investors.
Unfortunately, while these companies fill certain sellers’ needs, they are not always the best solution for homeowners who want to sell.
Learning more about your options is worth your time if you consider using such a company.
You may get a better price by working with local real estate agents.
Remember that We Buy Houses flipping companies after one thing – buying your home for dirt cheap!
Depending on your desire to sell, they often offer you anywhere from 50-70 percent of the actual value.
House flipping is where a real estate investor purchases a property for less than its value, makes any necessary repairs and updates, and then sells the home for a profit, typically within a short time.
Keep reading, and you will see all the pros and cons of flipping companies, such as We Buy Houses, We Buy Ugly Houses, and others like them.
What is We Buy Ugly Houses?
We Buy Ugly Houses is a franchise in the business of flipping homes. “We Buy Ugly Houses” is the trademark name of Homevestors of America. So, We Buy Ugly Houses franchises are owned by Homevestors.
HomeVestors has franchise locations in 45 states.
Once they visit your home, you can expect an offer within 24-48 hours. They are cash buyers, so the typical time to close is a few weeks. Many people want to know if the company is legit, and it certainly is!
Homevestors Business Model
There are very few properties that the company won’t purchase, no matter how poor the condition.
These real estate investors look for properties in terrible condition that can be flipped for profit. Many homeowners who sell to them are financially distressed and need a quick sale.
The company fills that need by offering cash offers with expeditious closings. The amount offered will be significantly below market value. You can expect the offer to be 30-50 percent less than the fair market value.
The purchase will be in as-is condition. You don’t need to worry about renovations, improvements, or cleaning. Typically, no home is too “ugly” for HomeVestors to purchase.
How Do They Work?
When selling with the company, you can expect the following:
The process is very straightforward. You’ll call the local franchise and provide them with information about your property, such as the location, condition, age, and size.
The company will then schedule a visit to your home, usually within 24 hours. Someone from their team who visits your home will make an offer for cash. The bid they make will not be negotiable.
If you accept their offer, you’ll sign a real estate contract and agree on a closing date. Since no mortgage lender is involved, there is significant flexibility for a fast sale. They offer speed and convenience.
You will likely have cash in your hand in under a month. Buying ugly homes is a breeze due to their systems in place. They buy into any real estate markets or situations.
How Much Do They Pay?
Expect them to pay 30-40 percent less than the actual value. Each offer will be made by evaluating the present condition of your home.
What you’re offered will depend on the acquisition, renovation, and what it can sell for once the work is completed. Remember, they are looking for deals.
How Are The Company Reviews?
As you might expect, the reviews are a mixed bag. Some people are happy with their experience, and others are not thrilled.
Remember you are selling your home to a franchise owner. Who you deal with will be different than others. Your experience could be better or worse than that of other customers.
Pros of Selling to a We Buy Ugly Houses Flipping Company
Let’s review the benefits of working with HomeVestors.
1. You Will Get a Cash Offer.
One of the most significant advantages of working with them is that you will work with a cash buyer. Selling a house typically involves waiting for a buyer to get their financing.
Unlike a traditional sale, home sellers don’t have to wait for a buyer to procure financing. Since this is the case, closings can happen quickly.
2. You Get a Quick Sale.
When you sell a house, the average time to close traditionally is 45-60 days from receiving an offer. Property owners in a time crunch or a desperate situation can speed up the closing process.
Doing so can be especially helpful if you’re in a situation where your home could become a foreclosure. Cash homebuyers can relieve you from this terrible circumstance. Distressed properties are one of their specialties.
Other examples that could be helpful are death or divorce, where quick liquidation is necessary.
The closing date could end up being only a week or two when using a company like Homevestors of America. You can expect the closing timeline to be much faster than the norm.
4. There Are No Commissions to Pay
When working with a Homevestors Franchisee, you will not pay a real estate commission. Most real estate commissions average 5-6% of the sale price of their home.
Realtor commissions could be more or less depending on several factors. There will be no fee when working with them.
5. It’s Easy Working With Them.
Selling a home that needs work can be challenging if you want the best price. With a home flipping company, you avoid the difficulty of trying to sell for a reasonable price.
Instead, you sell to a company that will buy your residence for the lowest price it can get away with. In exchange for a low price, you can quickly free yourself of the burden of owning the home.
If you are in desperation mode, this is often your best bet. Selling to a real estate investor can quickly get you out of a problem.
When selling your house fast is one of your goals, speaking with one of these investors can be a solution.
6. You Only Have to Make One Decision.
When selling to an investor, your only decision is to sell or not. You won’t have to decide what repairs to make or who you want to sell to. You will get an offer and make a single decision.
After that, you are free of the home. A house-flipping company will often pay cash, and there can be a quick closing if this is what you are after.
7. You Don’t Have to Find a Real Estate Agent.
When you work with them, there is no searching for a Realtor to hire.
Finding a good real estate agent can take a little bit of effort. You may have to interview several to find someone you are comfortable with.
You also don’t have to worry about disagreeing with your real estate agent once you hire one, which can happen.
You’re going solo in this scenario.
8. You Don’t Have to Waste Your Time Going For Sale by Owner.
Trying to sell your home as a for sale by owner can be highly challenging.
While most owners aim to save on paying a real estate commission, it is a lot of work. For sale by owners need to keep in mind the following:
- You need to have some good marketing skills to make sure your home is found online. This is where most buyers will be searching for a home.
- The photography for your home needs to be excellent.
- It would be best to make yourself available for showings, which may mean when it is inconvenient.
- The buyer needs to be qualified for a mortgage, so it will be your job to ensure this. Make sure you understand the difference between pre-qualified vs. pre-approved.
- Nobody will be there to represent you at vital stages of the home selling process, such as the buyer’s home inspection.
When you sell to a real estate investor, all of the headaches associated with selling as a for sale by owner are avoided.
9. They Will Purchase Despite Your a Homes Awful Condition.
A home can deteriorate considerably over a long period, mainly if regular maintenance is not conducted and repairs are not made as necessary to keep all house components in good working order.
You may have a home that you want to sell that is virtually uninhabitable. But even in this state, a company will probably still acquire it. Not for very much money; someone will still purchase it to obtain the house’s lot.
Companies like them and others thrive on purchasing fixer-uppers. They don’t care that your home isn’t in good condition. They like that! Buying ugly dwellings is what they thrive on finding.
Even when repair costs are high, it’s terrific. The repair value will be factored in when making their offer.
They are a legitimate way of liquidating your assets fast.
Cons of Selling to a We Buy Houses Flipping Company
Let’s cover the downsides and drawbacks of working with HomeVestors.
1. You Will Make Less Money on The Sale Than You Would be Working With a Realtor.
You’ll get far less money when you sell your house to a We Buy Houses company.
These companies will make a low offer compared to the actual market value of your home.
Even without paying a real estate commission, you will make far less than if you were to go on the open market.
When you hire a real estate agent, they work to make you as much money as possible from your sale.
The Realtor takes a percentage of the sale price as financial compensation, motivating them to fetch the best price.
If a real estate agent believes that they can sell your home, there is a good chance that you can make more than you would if you sell to a house-flipping company.
I will go out on a limb and say you are GUARANTEED to get far more money when you list your home with a real estate agent.
Selling to a real estate investor will almost always net you less!
Again, you must remember that real estate investors are buying your home for one reason – TO MAKE MONEY! They will not pay you anywhere close to your home’s fair market value.
Excellent local Realtors are equipped to get you much more than a “fair price,” as investors call it.
2. No Option For Improving The Home to Increase The Selling Price.
Even homes in relatively lousy shape can often be improved to attract better-quality buyers. That is probably what the house-flipping company plans to do with your home.
They will purchase it, fix it up, sell it, and make a nice profit. When you deal with a real estate agent, you get to make the improvements and reap the rewards.
An outstanding real estate agent can guide you on the best improvements for increasing home value. If you don’t have the money yourself, it could be wise to borrow the money from someone else so that you end up putting the additional profit in YOUR pocket!
You can do things to a home that does not cost much money that many owners don’t realize. Here is how to make your home more appealing when on a budget.
3. You Give up Control With Them.
A house-flipping company is focused on finding sellers who are desperate or don’t care anymore. If you care and are not desperate – you want to sell the house – there is no reason to work with a company that will rob you of all opportunities to get more from your sale.
Working with your Realtor, you can determine precisely what you need to do to get an excellent price for the home and often make a lot more money at the end of the day.
They will be giving you cash for your house. In return, they will expect a significant discount.
When the real estate market favors sellers, letting a good offer go for a lowball offer would be foolish. You might be shocked about your home’s market value even in its poor condition.
4. They Don’t Have Your Best Interests in Mind.
House-flipping companies like We Buy Ugly Houses and We Buy Houses are not necessarily bad. They fill a niche and are capable of helping homeowners who have no other options.
Getting paid to get out from under the home is worth taking for those with no options. But if you think you could get more for the home, an investor is not the partner you want.
A real estate agent is focused on your best interests. Your satisfaction is paramount because reputation is everything for a Realtor. Your agent will give you insight into your options and help you every step of the way as you go through the sales process.
As you can see, these flipping companies have many pros and cons. What you need to be concerned about are the scammers!
Watch Out For House Flipping Scammers
While many of these flipping companies are legit, some are not. Selling to a real estate investor requires some due diligence on your part. There are many bad experiences shared online.
It would be best to do careful research when dealing with a real estate flipper.
There are some common house-flipping scams that all sellers should be aware of.
The preceding link does an excellent job summarizing many of the known scams. Just be careful and ensure none of these things mentioned are happening to you!
You should know that there is only one legit “We Buy Ugly Houses” company out there, and that is Homevestors. Many imposters are using this slogan as part of their marketing.
It will help if you put extra scrutiny on any of these companies.
Calling a house flipping company from a sign on a telephone pole and establishing a relationship with them without research could be financial suicide.
From time to time, in my local area, I have seen the “We will buy your house” signs in Framingham, Massachusetts, and Milford, Massachusetts. These companies tend to focus on larger populated areas.
There could be much better financial options than calling one of these entities. Think about this wisely before making a decision.
Speak To A Realtor Before Choosing An Investor
Selling to a real estate investor can be a tricky business. Depending on your circumstances, a property-flipping company may be your best option. However, it is worth speaking to a Realtor first.
If you are talking to a reputable real estate agent, they can give you quality advice on your home selling options.
The agent can come by and take a look, analyze your local market, and give you a clear picture of what you can make from your home – with or without repairs.
Talk to a trusted real estate agent, then decide how to proceed. Maybe a house-flipping company will serve your needs. You may also discover you can make more money by hiring an agent and selling your home.
Buyers Need to Be Wary Too
Some homes are bought by housing flipping companies who do a very shoddy job of fixing the house up properly. Remember, many investors’ decisions are guided by finances and not what they would do if personally living in the house themselves.
When corners are cut in construction, bad things can happen. The bottom line is you need to be cautious when buying a flipped home. Buyers have to do their due diligence when purchasing flipped homes.
Besides significant issues described in the article, the chances of no required building permits being pulled increase exponentially. The odds are you could be taking on someone’s problems, especially when no licenses have been taken out.
When buying a flipped home, you should ensure you and your real estate agent research the credibility and reputation of the contractors who did the work.
It is not uncommon to see shoddy workmanship in homes being turned for a quick profit. Like any other business, there are some actual professionals and those who should be banned from anything to do with property flipping.
Contact Info For The Business
Are you on the fence about selling your house fast to a house-flipping company? The We brand is well respected by companies that purchase properties. HomeVestors of America owns them.
Each franchise is independently owned and operated. Their headquarters is located in Dallas, Texas. The company was founded in 1989 by David Hicks.
We Buy Houses also has a solid reputation in the home flipping market.
Speaking to one of their representatives early on will be prudent so you can make the best decision with less pressure. You can reach their Franchises by going to their website or phone number, 866-260-6475.
To reach We Buy Houses, visit their website or call them at 877-932-8946. Do a detailed search for Homevesters reviews or Ugly House reviews.
Pay particular attention to the negative reviews to see what caused the home seller’s displeasure. You could have a good or bad experience when working with franchise models.
We Buy Ugly in Massachusetts
Are you considering selling your house in Massachusetts to these cash buyers? The company is located in Boston, Springfield, and Worcester.
You can reach them at the following phone number: 617-648-7714
Frequently Asked Questions About Companies That Buy Homes For Cash
1. Who Are The Best Companies That Purchase Your Home For Cash
Quite a few legitimate companies will pay cash for your home. Some of the companies with the best reputations include:
New Western Acquisitions, Expert Home Offers, Quick Home Offers, House Heros, Fast Home Offer, Express Home Buyers, Opendoor, and Offerpad.
You can see in-depth reviews of how we buy houses for cash companies here.
2. How Do I Find a Company That Will Pay Cash For My Home Nearby?
A Google search is one of the best ways to find investors. I would use we buy houses for cash near me.
You can also check We Buy Ugly Houses Near Me. You should see quite a few results. Many of the companies that pay cash for a home are discussed here.
3. Are These Companies a Ripoff?
If you expect to sell your home to a real estate investor near the market value, you will probably think it is a rip-off. These companies, however, are offering what they advertise.
Their real estate services are doing what’s necessary to make a profit. A lower price is what you should be expecting.
4. How Much Do Investors Pay For Homes?
An investor can expect to pay 50-80 percent of your home’s market value. The average price will fall between 60-65% of the fair market value.
5. Do I Need to Do Any Repairs When Selling My Property to a Cash Real Estate Investor?
No. One of the perks of selling to a real estate investor is that no repairs are needed. They will be buying your home in as-is condition.
6. Do These Companies Buy Rental Property?
Yes, they purchase rental properties. Real estate investors can purchase just about any property, whether a new home, condo, townhouse, or traditional single-family resale home.
Final Thoughts
Everyone wants to have a great experience when they sell a home. Unfortunately, that doesn’t always happen. Cash homebuyers have a place in the market, but many customer reviews say they don’t always have the best outcomes.
As a seller, do plenty of due diligence before working with one of these investment firms. Hopefully, you’ve gotten a lot of helpful information from these ugly home reviews. Best of luck!
Additional Helpful Home Selling Advice
- Fail-proof home selling advice – get some excellent tips on selling your home quickly without using a real estate investor.
- Do open houses work to sell homes – learn why open houses are one of the biggest wastes of time for a home seller.
- How to sell your home fast – see some excellent advice on how you can sell your home fast without selling to an investor.
Use these home-selling articles to further educate yourself on selling a home. With great information, you can make better financial decisions to put more money in your pocket in the long run.
About the Author: The above Real Estate information on We Buy Ugly Houses Reviews was provided by Bill Gassett, a Nationally recognized leader in his field. Bill has expertise in mortgages, financing, moving, home improvement, and general real estate.
Learn more about Bill Gassett and the publications he has been featured in. Bill can be reached via email at billgassett@remaxexec.com or by phone at 508-625-0191. Bill has helped people move in and out of Metrowest towns for the last 37+ years.
Are you thinking of selling your home? I am passionate about real estate and love sharing my marketing expertise!
I service Real Estate Sales in the following Metrowest MA towns: Ashland, Bellingham, Douglas, Framingham, Franklin, Grafton, Holliston, Hopkinton, Hopedale, Medway, Mendon, Milford, Millbury, Millville, Natick, Northborough, Northbridge, Shrewsbury, Southborough, Sutton, Wayland, Westborough, Whitinsville, Worcester, Upton, and Uxbridge MA.
