Although it may be rare, now and again, a situation may arise where someone owns a house out of state, and they need to sell it fast.
Owning property out of state can happen for several reasons:
You used to live in that state, but have since moved.
You bought the property out of state as a rental.
You've inherited property that happens to be out of state.
Whatever the reason may be, the predicament is still the same.
You own property out of state that has become a huge hassle, and you need to sell it quickly and move on.
Luckily for you, we're about to dive into the ways you can go about selling your property quickly, even if you live thousands of miles away from it.
Let's get started!
Sell Your House With An Agent
The first thing you're likely to think of is calling up a real estate agent and having them sell the property for you.
No, you don't.
Let's take a look at some of the pros and cons of hiring an agent to sell your out of state property.
Pros
An agent will handle all of the marketing for you.
A real estate agent will take care of any showings.
You will not have to field phone calls and appointments from prospective buyers.
Your property will get maximum exposure to the market.
An agent can hold open houses for you even though you are long distance.
An agent will help handle all of the paperwork and coordinate with title to close the sale.
Cons
You will have to pay your real estate agent up to 6% of the selling price.
The buyer's agents will scrutinize your house.
Traditional buyers will order a home inspection and may back out of the contract if they don't like the results.
It may take a while for you to get an offer, which means you'll be stuck with the house longer. You may get a dud of an agent who doesn’t do everything in their power to sell your house.
Selling your out of state property with a realtor is a good option if you want to be hands-off in the process and get maximum exposure.
Sell Your House For Sale By Owner
You can choose to sell your house for sale by owner, but this is the least recommended option.
If you decide to sell on your own, check out our article on how to sell your property "For Sale By Owner."
Pros
You may not have to pay real estate commissions if you find a buyer directly.
You have complete control over your listing.
Cons
You will more than likely have to fly out to the property to handle everything it needs to be listed. You somehow have to coordinate showings for buyers.
If you want to hold an open house, you have to get out to the house to do it yourself.
You'll have to field a ton of buyer phone calls and questions.
In general, managing the sale of a property out of state without help is exceptionally challenging.
Selling your out of state property FSBO is possible, but we don't recommend it. It's not worth the stress and headaches to save on commissions.
Have A Friend or Family Member Help You Sell
If you're interested in selling your house on your own without employing an agent, you can try having a local friend or family member help you.
Friends and family, unless they are real estate agents, will not be able to provide you with the same level of service as an agent.
Still, they can help you with the necessary groundwork.
Pros
They can help you with the groundwork, like showing the property, holding open houses, and coordinating inspectors, appraisers, or contractors who may need to enter the property.
You can likely pay them a much smaller fee for their help than an agent.
You have someone you know and trust helping you, so you can be confident your property is in good hands.
Cons
Friends and family will not be as educated about the property or location as an agent.
They will likely not have the marketing skills as a real estate agent to help sell the house quickly.
If managing the property becomes too much of a hassle, they may bail on you!
Asking a friend or family for help may be a better option than trying to sell on your own, but there are better ways to go about selling your house if you're out of state.
If You Don't Want To Sell, Consider Turning The Property Into A Rental
Just because you own property out of state, doesn't mean you have to sell it. You can consider turning the property into a rental, which can allow it to start generating income for you.
A rental property may sound great, but as with everything, there are some pros and cons to consider before making a decision.
Pros
The property may be able to generate monthly income for you.
The house will no longer be vacant, so it'll be less of a liability.
If you don't want to sell because you'd prefer to keep it in the family, turning into a rental will achieve that goal.
Cons
You will have to manage the property yourself at a long distance, which we don't recommend. You have to hire an expensive property manager.
Issues may arise where you still have to fly out to the property.
You will be unable to watch the property yourself.
Sell To A Professional Home Buyer
If you own property out of state, and you want to sell it quickly, your fastest option is most likely a professional home buyer.
Professional home buyers typically buy houses with cash, a specialized investor loan, or terms such as owner financing or a lease/purchase.
As with the other options for selling a property out of state, selling to a home buyer comes with its own set of pros and cons.
Pros
Professional home buyers can close quickly. Sometimes as soon as 10 - 14 days.
Home buying companies will not ask you to do any repairs, cleaning, or staging.
Homebuyers will often help you pay your closing costs, or will pay all your closing costs for you.
You can rest assured you'll get an offer on your property.
Professional home buyers typically are not picky and will not back out of a sale due to the results of an inspection.
Cons
You may not get as high an offer as you would if you listed on the MLS.
You have to vet the home buyer to make sure they are legit.
Tips To Help Your House Sell Faster
Often if a property you own out of state is becoming a headache, you'll want to sell it as fast as possible.
Here are a few quick tips to help you do exactly that.
Price Slightly Below Market Value
Pricing a little below the current market value of your property will help it sell faster. Why? Simple. Everybody wants a great deal!
Buyers that love the property and feel like they are getting a fantastic deal will be more likely to place an offer on the house.
Hire a Stager To Help It Sell Quicker
When selling a move-in-ready house, it's in your best interest to stage it beautifully.
Staging will cost some money upfront, but staged houses typically sell faster than their non-staged counterparts.
Go With The Professional Home Buyer For The Quickest Closing
The fastest way to sell your out of state property is to go with a professional home buying company.
Direct home buyers have cash or use specialized loans or cash that enable them to close on properties quickly.
Homebuyers often buy in any condition and don't mind if the house is in rough shape. They also should not charge you any fees, and may even help you pay your closing costs.
Be Prepared For A Remote Closing
You may be wondering if you have to fly out or drive out to the property for the closing.
The short and simple answer is no, you do not.
The title company that both parties work with to close the sale will be able to walk you through a remote closing.
You'll sign the critical documents in front of a notary, like the deed of trust, for example, and overnight your documents into the title company.
What If You Do Nothing?
A lot of people, for some reason or another, choose to do nothing with the property.
When you actively choose to do nothing with a property, it's condition will only go downhill, and quick!
Deferred maintenance will add up.
Leaks could start.
Nasty rodents and bugs will let themselves in.
People will let themselves in.
You have to pay expensive taxes and insurance.
The codes department may give you citations for unkempt landscaping.
The list goes on.
Letting a property sit and decay is the worst possible option.
It will cost you a lot of money, and it will steadily decrease in value, which is the exact opposite of what any homeowner wants.
So, What Should You Do?
As you can see, the absolute last thing you want to do is nothing. Doing nothing will only cost you money.
Now, we may be a bit biased here. However, if you own property out of state and you want to sell it quickly, we recommend selling it directly to a professional home buyer like Contenza Properties.
Here at Contenza, we buy houses in their as-is condition, so we never ask homeowners to do any:
Repairs
Cleaning
Or staging
We can close quickly, so you don't have to wait months to get an offer and close with a buyer off the MLS.
If you feel selling your house directly to a professional home buyer is the right choice, submit your information below using our simple form. We'll get back to you to discuss your property as soon as we can.
About The Author
Jordan Reid founded Contenza Properties in April of 2018 to help homeowners solve their real estate problems quickly.
Since then, Jordan has helped multiple homeowners facing difficult situations such as divorce, property liens, and unwanted property inheritance.
Jordan believes in putting people first, and numbers second, which helps him reach the best possible solutions for the homeowners he works with.
Currently, Jordan and his team at Contenza Properties offer their professional home buying services in the San Francisco Bay Area, and Knoxville, Tennessee.