How We Buy Houses In Raleigh
We are glad you made it to our HOW IT WORKS section! We love laying it all out there so you know what to expect.
Here we will walk you step by step through our process so you can sell your house.
How does this work?
You are probably thinking right now… How in the world does this whole thing work?! It may seem like a crazy process, but I guarantee it will be smooth sailing for you once we talk.
1st – We will chat on the phone after you fill out the form for a few minutes.
Questions we will ask could look like….
How long have you lived at the house? What improvements do you think need to be made? Why are you selling? Where are you going to go after you sell your house? When would be a good time to come and meet?
2nd – We will come out to the house and look over as much as we can to figure out what needs to be done to bring it up to market standards.
This process takes about 1-2 hours depending on the size of the home. We will take some measurements, a few pictures, but mainly we are looking around for what work needs to be done.
3rd – We will make you a cash offer that day. If it works for you then we will sign it and hand it off to a reputable Real Estate closing attorney to handle the process.
It generally takes a few days for all the paperwork to get back to the attorneys then they can schedule a close date for you.
Whew! That wasn’t so hard was it!
HOLD ON?! – “That’s it” you ask?!
3 steps is all it takes? Sounds too good to be true…
You’re smarter than that!
Ok so there are a few small baby steps during the process, but we will walk you through those together. Read a review from a local guy that should help you:
“I really enjoyed the experience with the Inspiring Investment of Raleigh. They guided me through each step of the process, ensuring I was fully informed. Uriah, in particular, was terrific. He was professional, caring, friendly and fair. I highly recommend Inspiring Investment to those with real estate needs, including selling your house.” – Allan Fox (Raleigh, NC)
A few other questions you may have if you are ready to sell your house to The Inspiring Investment
- What if you need more time?!
No worries – We can push out closing to accommodate your schedule.
- What if you need to stay in the house a few days after closing to move?!
No problem – We can structure the sale to make it easier for your move if necessary. Just let us know
- What if you need to find a rental or another home to buy?
We love this part! We will set you up with our buyer specialist right away and they will get to work finding you a great new place to call home. We will then schedule the closing on the sale of your home and the purchase or rental of the next one right after the other… Like I said – smooth sailing.
- I’ve never sold a house before? What’s the process?
After we sign the contract to purchase the home we will send it off to the closing attorney I mentioned earlier. They are great. You’ll get to know Justin, Wayne and their team soon. We will send over some seller documents from the attorney for you to fill out. Once you send those back the attorneys handle everything else. Shortly after that – the day of closing you get to come in (with your ID! – very important!) and sign your life away…no wait, your burden away… much better! and then you get to move onto a better life free of the exhaustion this house has brought you.
- Is the process quick or slow?
Its super slow… Like really really slow. Painfully Slow.
I’m just messing with you.
This whole entire process can be completed in just a couple of days if needed. Most of our clients need about 30 days to get their stuff packed up and moving trucks scheduled, but if you already have the stuff out that you want we can expedite the process and get it closed out much sooner. 2 days is the fastest we have ever been able to complete it, but… wait for it… a few things need to happen.
- You can’t have a mortgage or lien on the property
- The title needs to be clean
- It must be in a neighborhood without a HOA
- It can’t have back taxes owed
- You need to let us know up front that this is your desire so we can be prepared
We will definitely buy the house if it has all those things since they are really common, but just know it will take a few more days or weeks to get back documents from those places for the attorney to be able to close the transaction.
- How long do inspections take?
Inspections take about 1 hour for us to look over the house and figure out a scope of what needs to happen to fix the problems. Now, I ask that when we come out please set aside 2 hours so we can then formulate the offer and present it, along the way we can answer any questions.
On the subject of questions: Write down any you might have and we will address them all when we are there. Sounds good? Great. 1 more thing.
If the house has a low crawl space (if you can’t walk in there) or difficult access to the attic we will get a home inspector to come and look over the house. I usually don’t dress in coveralls, but I want to make sure we have someone look over those items. Sound fair? Good!
How are our offers formulated?
Chances are this is the real question you want to know. Good. Are you ready? WE DON’T MAKE LOW BALL OFFERS!
This makes no sense to us. We love helping people out, not beating people up. I’ve never been in a fight and don’t intend to get into one anytime soon.
Here is an example of how our system works:
My guess is your home may not be quite as pretty as the houses that have sold in your area when you look online. No offense there, just saying its a possibility. If so, that’s ok, its our job to make it better than all those houses you have seen lately. We love fixing homes.
Lets say you see a house down the street that recently sold for $250,000 a couple months ago. Its about the same size and has a 1 car garage just like yours. Awesome because that is a perfect comparable to what your house will be worth after we fix it up.
Now lets assume your house needs a new roof, air-conditioner, the kitchen needs to be redone and your bathroom floor is rotted out. Maybe some siding repair and the windows are original wood and the panes are beginning to fog up. After 20 years most home building materials are starting to wear out. Give them 30+ years and they are all gone or in desperate need of replacement.
So we figure out that with all the repairs your house needs $40,000 worth of work.
Ok, so on top of that we have to sell the house when we are done. We have to pay Realtor commissions and fees for the closing attorneys. They come out to about 10% of the sales price. So on a 250K house that’s 25,000 Bucks.
$250,000 X 10% = $25,000
Now for us to be able to run this business and pay our guys who work on the houses we need to make a profit. Unlike our politicians who can run a government in a deficit, we have to add in our profit on the jobs so we can pay people who work for us. Luckily, for you we don’t have huge overheads like some of these big home buying companies. So our offers are usually pretty great! Our base profit is $20,000, but for bigger jobs we have to make more so we can pay our guys for the added time on the job. Typical job profits are $40,000.
$250,000 – 40K(rehab) – 40K(profit) – 25K(selling costs) = 145K offer price
So… you see how if your neighbors great house is selling for 250, how we might end up at 145K for an offer price. It doesn’t matter to me if you would have taken a lot less for the house because our goal is to make you the best fair offer we can so we can buy houses!
You could have tried to sell it with a Realtor… Hypothetically.
So we have found that your house is worth around 210K if we deduct out repairs needed.
$250,000 – 40K(rehab) = $210,000
And you list with a Realtor on a 6 month contract for them to sell.
Typical As-Is home sales in the Triangle are on market for well over 3 months plus the time under contract to close which is about 45 days. During all this time you have the mortgage, taxes, utilities and home insurance. Those really add up, usually 1500$ a month easily for a normal house. So add in $7,500 in holding costs that you just lost for nearly 5 months of work!
As we close the loop you have listed the house for 210K with a Realtor. After 3+ months you finally get an offer… wait for it…. Typical offers in our market come in at 80% of list price for houses that need work so in this example 168,000. Maybe you negotiate them up to 170,000!! Way to go!!
You still have to pay the Realtor and closing costs!!! Shoot!
10% of 170,000 = 17,000$
So you end up with 170,000$ – 17,000$ = 153,000$
You held the property for 5 months all the while paying your mortgage, taxes, insurance, utility bills, hoa dues, etc. = $7,500
So take that 153,000$ – 7,500 = 145,500$
You could have sold it to us 5 months earlier with far less hassle, for possibly the same money and NOT had to deal with showings and Realtors!
Don’t you want to be free of the hassle of this fixer upper house? Do you want some extra cash in your pocket sooner rather than later? You want to enjoy your family! You want to deal with good people! You want to relieve the tension in your life!
Fill out this form and we will walk you through the process.