|Cash Offer Formula & How It Works [Revealed]|
How Do I Sell My House In Kenosha-Racine Fast For Cash?
It’s simple, really. By removing the number of people in a transaction, you can have a smooth, fast & hassle-free sale. When the sale includes your agent, the buyer’s agent, a mortgage lender, and an appraiser, there can be lots of points for delays. Even the actual buyer can slow things down by requesting repairs, counter-offers, & not qualifying for loans.
this all sounds too good to be true, and I still don’t know how to sell my house fast in Kenosha-Racine for cash…
I just want to know what the formula is…
We Pay Cash For WI Houses, Fast. Here’s How It Works…
- Tell us about your WI property by filling out any form on our website and requesting a Cash Offer.
- We’ll walk your property and answer any questions you might have. We then calculate [Formula Below] our offer and present it to you within 24 hours.
- We close with a local reputable title company (Summit LDS). You’ll be fully paid with the property off your hands.
It’s that simple! BUT…
“Are You Going To Low Ball Me?”
“How Do You Come Up With Your Offer?”
“How Can I Trust You’ll Actually Buy My House?”
We know selling a home is a big deal and if you need to sell your Kenosha-Racine house fast, we don’t want to waste your time. We want to earn your trust and be completely transparent with you, every step of the way.
Below is a fully detailed explanation answering all those questions. By the end you’ll know:
Let’s get started!
How We Formulate Our Offer To Pay Cash For Houses In Kenosha-Racine, WI
We give you the best offer we can!
If we wasted your time with a low-ball offer, you’d probably contact another company and sell to them. But if we give you a good offer from the start, you wouldn’t need to look anywhere else!
The more houses we buy, the more work we can give our team, and the happier everyone is!
And in order to buy more houses, we need to give better offers than the other guys. Makes sense, right?
Our Offer Is Based On The Market Value
|When we calculate your offer, we first look at what the Market Value of your home would be completely fixed up. By starting with the end in mind we’ll know how much we can sell your house for after we’ve bought it an renovated it. We call this the After Repair Value (ARV).|
How do you know the After Repair Value of a house?
Let me show you…
- Let’s say your neighbor down the street has a house practically identical to yours. Same number of beds & baths, square footage, garage, basement. All similar.
The difference is she made a few upgrades like, new kitchen appliances, new hardwood floors, removed all the wallpaper, put on a fresh coat of paint, completely finished the basement, and topped it off with a new roof.
- Now let’s say her house sold for $145,000.
- This means your house is also worth $145,000 fully repaired to the same condition with similar upgrades.
Great! Now we know:
After Repair Value = $145,000
|After we view your property, we’ll also know the cost of repairs and upgrades your house will need to match Market Value and fetch $145K.|
Now, we can calculate your offer!
So, what is the exact formula you use to calculate your offer?
We want to be transparent with you from beginning to end. We have no problem sharing exactly how we come up with our offer.
|Your Cash Offer = [After Repair Value] – [Cost Of Repairs] – [After Repair Selling Costs] – [Return On Investment]|
What does all this mean??
|After Repair Value (ARV)||The Market Value of your house AFTER we repair and renovate it. Think HGTV!|
|Cost Of Repairs (COR)||The amount it would cost us to get your house to market standards.|
|After Repair Selling Costs (ARSC)||When we buy your house there’s no commission or fees! Unfortunately for us, we need to use an agent to sell your home AFTER we’ve bought your property and renovated it. The After Repair Selling Costs include agent commissions, closing fees, holding costs, taxes, etc. This is typically 10% of the selling price. (After Repair Selling Cost = 10% x ARV)|
|Return On Investment (ROI)||This is how we beat the “ugly guys.” While other companies and investors do their best to buy your house at the lowest possible price, we simply aim for a smaller ROI than them. Our goal is to make a small return on many houses and not huge profits on one or two houses.|
The more houses we buy, the more hard-working people we can pay (contractors, plumbers, electricians, roofers,…), the more beautiful we can make Kenosha & Racine! It’s a win-win for everyone!
|Our offer is what the house is worth after it’s completely fixed up, minus all the costs to beautify the home (including our return).|
And that’s the offer!
Great, but… How much would a cash offer on MY house be?
Well, the best way would be to fill a form and find out exactly what a cash offer on your house would be.
Continue reading to see a real-life example (with numbers) of a house we recently bought in Racine, WI.
Imagine This Was Your House In Its Current Condition
Hey! Not bad, right? It’s just a bit outdated and might appreciate a little love 🏡❤️
Remember Your Neighbor With The House Identical To Yours?
The one who updated the kitchen and bathrooms, removed all the carpet, put in hardwood floors, and put on a new roof? This is what her house looks like after she completed her renovations.
Woah!! So that’s why her house sold for $145K!
And in order for us to sell your house for $145K, we need to put in a bit of work to make it look at least as nice as hers! Hopefully, the market doesn’t change to much by the time we’ve finished the renovation.
Alright, The Numbers!
|After Repair Value (ARV) =||$145K|
|Cost Of Repairs (COR) =||$35K|
|After Repair Selling Costs (ARSC) =||$14.5K|
|Return On Investment (ROI) =||$20K|
|[Cash Offer] = $145K – $35K – $14.5K – $20K|
Our Offer = $75,500
Wait A Minute!!
You said you make a smaller return than other companies. $20K doesn’t look small to me…
You’re right, $20K isn’t a small amount. But consider this…
This project was 6 months from purchase to sale. $20K over 6 months is barely an average wage for one person. Would you go full time into flipping if you were going to make $40K per year, before taxes?
Some investors aim to make $30K-$50K on each house and they do this by buying as low as possible. That’s not our style.
Charlie sold his house fast and avoided the hassle of updates, showings, and months of uncertainty.
Should I Sell My House In Kenosha-Racine Fast For Cash Or List It As-Is With An Agent?
Now let’s imagine you contacted an agent and they told you the house would be worth $100K in as-is condition. This means, if you listed with a realtor, you might sell it for $100K after about 4-6 months if it sells at all…
4-6 Months? Why So Long?
|Selling in as-is condition means you’ll have a limited number of interested buyers. Depending on how much work is needed on the house, you might only be able to accept cash offers anyway (Banks won’t approve loans for houses that need extensive repairs). And there’s no guarantee your house will sell.|
Wait!! What If The Cost Of Repairs Wasn’t $35k?
|What if the house only needed $15K in work, instead?|
Then we could offer you $90,500 All Cash!
That’s nearly the same amount you would get if you listed it with a realtor ($92K after agent fees and closing costs). That changes things a bit, doesn’t it?
Our offers are well researched and calculated. We don’t throw out random low-ball offers, and we don’t use your situation against you. We honestly wouldn’t be able to sleep at night if we did that.
We Offer A Better Experience, Better Service, & A Better Price!
- Your experience is a direct reflection of us as genuine, caring people. We’re not a big faceless company (We don’t even really see ourselves as a company).
- Serving you is how we continue to grow. Our team has a direct connection with Racine & Kenosha. We care deeply about the community. And people always come first. We just happen to fix houses after we help people.
- We’re a small family-owned business, meaning we spend ZERO dollars on franchise fees and we spend A LOT LESS on advertising compared to our national competitors (We only advertise in Kenosha & Racine). This allows us to give you a better offer! 😁
So, before you waste your time with the ugly guys…
Meet Anne Yust
Anne is your first point of contact and she’ll guide you every step of the way. She’s born & raised in Racine, WI and has the biggest heart of gold. She is the most vital member of the team. When she isn’t looking at houses, managing renovations, or flying around town like superwoman, she’s home enjoying time with her husband and kids.
When you call 262-228-8505 or submit your information in the form, you’ll be speaking and working directly with At Home Buyers. We never share or sell your information.
Plus, there’s no fee to talk with us and there’s absolutely no-obligation with our offer.
Even if you just need help weighing your options. We’re here to help you get the information you need so you can make the best decision for your situation.
I Want To Sell My House Fast In Kenosha-Racine Wisconsin!
If you want a quick & simple way to sell your house in Kenosha, Racine, or Milwaukee County, we’re here for you. We’re a small business based in Racine, WI and we’re unlike any other real estate service you’ve worked with. You can stop the frustration of your home by simply reaching out to us. We can provide some immediate relief by at least pointing you in the right direction and showing you multiple solutions for your home. Whenever you need us, we’ll be here.