If you own a house that needs work, you have probably been told two different things. One person says spend money on it first. Another says sell it as it is. Both can be right, depending on the house, your budget and how quickly you need to move.
I have been buying, building and developing property for close to 40 years, and I have bought plenty of houses that needed work across the Wirral, Liverpool and Chester. Here is my honest take on the options.
Why a house that needs work is harder to sell
Most buyers on the open market need a mortgage. Lenders get nervous when a survey flags problems such as damp, an old roof, no working kitchen or out-of-date wiring. Some will hold back part of the loan until the work is done. Others will refuse to lend at all.
That means a house that needs work often attracts fewer buyers, longer chains and more sales that fall through at survey stage. If your buyer has already pulled out once, read what happens when your buyer pulls out.
7 ways to sell a house that needs work
1. Do nothing and sell as seen
You price the property to reflect the condition and let the buyer take on the work. This is quick and costs you nothing upfront. The trade-off is a lower price and a buyer pool made up mostly of cash buyers and investors.
2. Fix only what stops a mortgage
Sometimes a small job unlocks a much bigger pool of buyers. A working kitchen, a bathroom, a safe electrical certificate or a sound roof can turn an unmortgageable house into a mortgageable one. Get quotes before you commit, and be realistic about how long trades take.
3. Cosmetic tidy-up only
Clearing the house, a deep clean, fresh neutral paint and a tidy garden cost little and help photos and viewings. Do not expect it to hide structural issues, though. A surveyor will still find them.
4. Full refurbishment before selling
This can add value, but it is the riskiest option. Costs overrun, trades go missing and you carry bills, insurance and council tax while the work happens. Unless you have done it before, the profit is often smaller than you expect.
5. Sell at auction
Auctions suit some properties, but buyers usually need to complete within 28 days, and fees can be significant for both sides. The guide price is also not the same as the sale price.
6. Sell to a cash buyer
A genuine cash buyer does not need a mortgage, so condition does not stop the sale. You avoid chains and survey renegotiations, and you choose the completion date. You can see how this works in practice in how a quick house sale actually works.
7. Look at the land as well as the house
If the house sits on a big plot, the land may be worth more than the building. A side garden or a large rear plot could have development potential. That is worth checking before you sell, and my land and planning page explains how I look at it.
How I value a house that needs work
When I look at a house that needs work, I start with what similar homes in good condition have sold for nearby. Then I take off a realistic cost of the works, the time it takes, the buying and selling costs, and a margin for risk. I show you those numbers, so you can see exactly how I got to the offer.
A good rule of thumb: be wary of anyone who gives you a high figure over the phone without seeing the property and then drops it on the day. That is a common trick, and it wastes weeks of your time.
Which option suits you?
It usually comes down to three questions:
- Time: Do you need to sell in weeks, or can you wait six months or more?
- Money: Do you have spare cash to fund work, and could you cope if costs doubled?
- Energy: Can you manage trades, deliveries and problems on top of everything else?
If the answers are “soon”, “not really” and “no”, selling a house that needs work as it is often makes the most sense. If you have time, money and patience, targeted work before marketing can pay off.
Common problems I see in a house that needs work
Across Merseyside and Cheshire, the same issues come up again and again. Older terraces often have damp, tired roofs and wiring from decades ago. Some have had extensions or loft conversions with no paperwork. Inherited homes may not have been updated for 30 years or more. None of these stop me buying, but each one changes what a mortgage buyer will do.
If you are selling an inherited home, my guide to selling an inherited or probate property covers the extra steps.
Don’t forget the paperwork
Whichever route you choose, gather what you have: the title deeds, any guarantees, building regulations certificates, gas and electrical certificates and planning documents for past work. Missing paperwork does not stop a sale, but it slows conveyancing down. The government’s How to sell a home guide is a useful checklist for the legal side.
FAQs about selling a house that needs work
Can I sell a house that needs work with someone still living there?
Yes. I buy houses with owners or tenants still living in them. It just needs to be reflected in the timing and the paperwork.
Will a cash buyer want a survey?
A serious buyer will inspect the property, but they will not rely on a mortgage valuation, so the survey will not stop the sale.
Is it worth fixing the roof before I sell?
If the roof is the only thing stopping a mortgage, it can be. Get two or three quotes first, and compare the cost against the price difference.
How fast can you buy a house that needs work?
Once the legal work is clear, completion can often happen within a few weeks. You choose the date.
If you have a house that needs work in Wirral, Liverpool or Chester, tell me about it here and I will give you a straight answer on what I can offer.