Selling a Vacant or Abandoned Home: Challenges, Risks & Considerations

1. Underestimated Repair Costs

“I often come across sellers reaching out to me in need of help selling their vacant or abandoned homes, unable to sell it themselves. Why? After they share the many efforts they've gone through to try to sell with agents or traditional methods, it boils down to this: many sellers believe they have a property more valuable than it really is. Sellers who have left their properties abandoned for extended amounts of time, sometimes even years, believe they have an asset when in reality they have a liability. Properties quickly deteriorate when they are left unlived in and untouched, and people underestimate the cost to repair them. It's far cheaper to maintain your property than it is to fix it after many years of neglect. Luckily, they are not trapped. There is hope for sellers who own vacant properties. There are buyers and investors out there like me, who can help with buying these types of homes. This solution is often more advantageous and simpler than trying to go through traditional buying and selling methods.”

2. Animals, Vandals, & Squatters

“To me, the biggest challenge to selling a vacant home is what you don't know. The property itself may be vacant, but that doesn't mean that animals or vandals haven't been still visiting and leaving a mark. What has been happening inside while it's been sitting dormant? The benefit of selling the house for cash is that the buyer assumes the risk of finding those things and having to address them, meaning the seller doesn't have to worry about surprise repair bills when trying to sell the property!”

3. Costly Inspections

“When selling a vacant or abandoned home, you may inherit many unforeseen problems that are costly. The main systems of the home (HVAC, plumbing, electrical, etc) need to be properly maintained and if left unattended in a vacant property may prove very costly when trying to sell in a traditional way based on the number of inspections a buyer may want. By selling to our team, we conduct our own inspection with no cost to you and we will factor the cost of repairs so you don't have to worry about costly repairs. Contact us to see how we may assist you!”

4. Losing the Essence of a Home

“One of the challenges with selling a vacant house is you lose the essence of a home when it's empty. Most people don't have good imaginations, so they need to see how furniture fits in spaces and how the overall layout works with furniture in it. The alternative would be leaving furniture in it for staging or paying an outside staging company. Another issue with empty houses is they have to be virtually flawless. Alternatively, a staged house will draw attention away from even the smallest of flaws and imperfections.

Selling abandoned houses comes with another layer of issues. Abandoned houses will deteriorate very quickly. They are more prone to mold and house-destroying bugs. Abandoned houses will start to onset utility issues and in some cases get local permitting offices involved for code violations.

Selling a vacant or abandoned house for cash helps with these issues. Cash buyers understand these issues and are willing to take on these additional challenges. They are not looking for perfect houses and work with local permitting agencies more regularly than a conventional home buyer.”

5. High Holding Costs

“Some things to consider when selling a vacant or abandoned home are the cost associated with keeping the house until you can sell it for cash. The utilities should be kept on to prevent damage to the property over time. This is a monthly cost that can add up on top of other bills. There are property taxes and insurance to pay as well and sometimes HOA dues. The house will also need to be secured to prevent people from breaking in and vandalizing the property. Depending on the condition of the house, it may not be eligible for financing. To do the repairs necessary for it to be financeable can be costly. Selling to a cash buyer can relieve this burden. The cash buyer will evaluate the house, present the offer, and can typically close in a couple of weeks.”

6. Getting the Home Market-Ready

“Selling a vacant or abandoned home presents unique challenges. If a property has been vacant for any length of time, repairs and inspections will likely be required before the house is market-ready. Some common problems include:

• Plumbing leaks – lead to water damage and mold growth if left unattended.
• Mold growth – often a result of moisture problems, it can be hazardous and needs professional removal.
• Peeling paint – a cosmetic issue that makes the property look neglected.
• Roof leaks – can lead to structural damage and require significant repairs.
• Foundation problems – serious structural concerns that need immediate attention.
• Pests – rodents and insects can cause significant damage to vacant homes.
• Vandalism – graffiti, broken windows, and other deliberate damage will require repair.
• Squatters – can create security concerns, damage your property, and drain you financially. When a homeowner attempts to reclaim a property, squatters may claim “adverse possession” or “squatter’s rights,” making eviction a slow process involving court hearings and legal fees over the course of months, even a year or more.
• Full disclosure – homeowners are legally required to disclose any known issues with a property, which can be challenging in the case of vacant homes. Inspections may be necessary to uncover hidden problems and ensure there are no legal complications later.

For owners of a vacant house who want to avoid these issues and sell their property in days instead of weeks or months, cash buyers are a great option! Cash buyers purchase properties as-is, which means no repairs, no clean-up, and no hassle for the seller. It also means none of the standard fees associated with selling a property, such as the cost of appraisals, inspections, agent commission, and closing costs.”

7. The Need to Offer Incentives

“Cash buyers may want to purchase properties at a discount, so sellers may need to be flexible and patient. This could mean offering incentives like quick closing, creative financing, or competitive pricing.

A property's title can be clouded by multiple tax liens, which can make it difficult to transfer ownership.

It can be difficult to communicate with absentee owners. Working with local government can be important, and it may be necessary to advocate for changes to municipal code.

It can be challenging to find a buyer for a vacant or abandoned property. Vacant and abandoned properties can be associated with declining property values and higher crime rates.”

Tip #1: Secure the Property

Vacant homes can be a target for vandals, squatters, or pests. Take proactive steps to secure the property, such as installing sturdy locks, using motion-activated lights, and occasionally checking in on the house. A secure property also helps to reassure potential buyers.

Tip #2: Maintain Curb Appeal

First impressions matter. Ensure the lawn is mowed, landscaping is neat, and the exterior is clean and inviting. Curb appeal is one of the easiest ways to attract buyers and create a positive impression before they even step inside.

Tip #3: Address Necessary Repairs

Unaddressed maintenance issues can deter buyers or lower offers. Fix plumbing leaks, repaint peeling walls, and ensure the roof and foundation are sound. Even small cosmetic fixes can go a long way in boosting appeal.

Tip #4: Keep Utilities On

Turning off utilities might seem like a way to save money, but it can create problems like mold or frozen pipes in colder months. Keep basic utilities running to prevent damage and maintain the home’s livability.

Tip #5: Stage the Interior

A furnished home can feel more welcoming than an empty one. If staging isn’t an option, consider virtual staging to show buyers the potential of the space. Staging helps buyers visualize how to use the home effectively.

Tip #6: Be Transparent with Disclosures

Vacant homes often come with hidden issues, from mold to structural concerns. Hire an inspector to uncover any problems, and be honest with buyers about the property’s condition. Transparency builds trust and speeds up the sale process.

Tip #7: Highlight the Potential

For buyers willing to invest in repairs or renovations, emphasize the property’s potential. Showcase its location, lot size, or any standout features that make it a worthwhile investment.

Tip #8: Price It Right

Vacant homes, especially those in need of repairs, should be priced competitively. Consult with real estate professionals or use online tools to determine a fair market value. Pricing it right from the start attracts serious buyers.

Tip #9: Market Strategically

Use professional photos, online listings, and social media to promote the property. Highlight any selling points, such as a large yard or proximity to schools or businesses, to appeal to a wider audience.

Tip #10: Sell to a Cash Home Buyer

If you want to avoid repairs, staging, and lengthy negotiations, consider selling to a cash home buyer. Companies like New Again Houses specialize in purchasing properties as-is, offering a fast, hassle-free solution. With no need for inspections or agent commissions, this option is perfect for sellers looking to close quickly and move on.