- When planning to sell your Los Angeles house, gather your historical documents
- Historical documents not only provides you key inputs into calculating your profit, but also shows the home buyer the necessary details to make their final decision
- Documents (ie. disclosures) may help avoid legal matters after the sale closes
Paperwork is among the top challenges of selling a home, especially for those aware of the potential legal and financial issues that can arise from a misstep. That said, it is well worth the effort to understand the paperwork you will need as a seller. This way, you can ensure you have your documentation in order, some of which should be kept for a period after the sale closes. In addition, because the transaction is full of complicated paperwork, it is beneficial to follow a checklist.
Why is paperwork so important in the home selling process? Taking these steps will help you avoid potential delays in the closing process or possibly derail the sale altogether or, worse yet, end up in a legal battle even after the sale has closed over failure to disclose important information. If you are new to the process, read on as we guide you through the paperwork you need to sell a house in Los Angeles. Please note that this article is for informational purposes, not financial or legal advice.
Prepping
How does having paperwork benefit the home seller? Even before you begin to work with a listing agent, gathering and reviewing paperwork reminds you (a) what you previously paid for your home, (b) how much you have spent on repairing or upgrading your house during the period in which you’ve owned your house. (c) In addition, if you have a mortgage balance, subtracting that out (along with listing agent commissions and closing costs) will help you arrive at an estimate of profit — the cash you walk away with. Overall, this will help you set your own expectations on your profit.
As you can sense, prepping your home to list on the market includes more than adding a fresh coat of paint. The paperwork you should gather to prepare for listing in Los Angeles should include many of the below.
Ownership Documentation
In addition to the original purchase contract, you will need to provide a copy of the deed that establishes who owns the property. Having an updated title report is essential as well, and you can reach out to a reputable title company to get one for a few hundred dollars.
Disclosure Documentation
This is an important step, especially for primary residences. Disclosing details about the property ensures the buyers are fully aware of any damage or liabilities that exist on the property. A Transfer Disclosure Statement (TDS), Natural Hazard Disclosure (NHD), and a Homeowner Association (HOA) statement (if applicable) are just a few of the documents that fall under this category.
Finances
If the property is mortgaged, you want to have the most up-to-date mortgage statement showing your mortgage information and remaining balance with the mortgage lender. Consider gathering the property tax bill, utility bill payment history, and any unpaid property taxes.
Inspection Reports
Inspections are necessary to assess the condition of the property. You want to provide copies of any home inspections you previously had done or plan to have before putting the house on the market.
Remodel and Major Maintenance Records
If you remodeled or made any major repairs to your house, you’ll want to provide copies of the plans and permits as well. They will certainly come in handy during price negotiation showing that you added value to the home and also kept it in good condition with regular maintenance.
Rental Documentation
If you are selling a rental property, having all the relevant documents regarding your tenants, such as rental agreements, security deposits made, and rent payment history is essential.
Finally, you should also include documentation on your insurance and any claims to be completely upfront with your buyers. (a) If your home is in need of many repairs and you are concerned about passing the inspection or what your disclosure documents will reveal to potential buyers, there is still a way for you to sell your house. (b) Or, if your home has code violations and city liens against it as a result of you not having the financial means to maintain it, there is still a way for you to sell your house.
In both cases, you can relax because local, professional buyers like those at Fair Sale Homes buy houses as-is. The professional buyers at Fair Sale Homes eliminate the need for prep work and repairs, we will take on the risk, and you can start resting easy again.
Listing
Most sellers first thought is to find a real estate agent and sign a listing agreement, which is the next document needed to sell a house in Los Angeles. Have you considered listing on your own to save the real estate commissions but dread handling the paperwork, appointments and hassles of showings? Maybe you don’t have the time, energy or finances to afford to wait for a buyer, pay for the marketing expenses or prep for showings, or you would prefer to avoid the showings altogether.
Is there an alternative to reduce the amount of paperwork I must deal with? Yes, your solution is a direct sale to professional buyers like those at Fair Sale Homes. The professional buyers at Fair Sale Homes can help you avoid the listing process’s uncertainty and eliminate the traditional sales waiting process. At Fair Sale Homes, we are happy to work with your schedule to make the process convenient and easy. Talk to your professional buyer at Fair Sale Homes about eliminating the uncertainty of your moving date.
Offers
How do I determine if the traditional sales process is better for me, in comparison to working with a professional buyer? Comparing properties nearest yours with similar features provides you with one piece of the paperwork puzzle you need to sell a house in Los Angeles, the current market value. To make an educated decision about which sales method is best in your unique situation, professional buyers like those at Fair Sale Homes will detail what you can expect to profit with a conventional listing vs. a direct sale. At Fair Sale Homes, we believe in total transparency because we want you to agree our offer is fair. You will understand exactly how the professional buyers at Fair Sale Homes reached their offer. If they believe listing with an agent is better with your given circumstances, they will say so.
Closing Documents
Your final purchase agreement and the deed are additional paperwork you need to sell a house in Los Angeles. Selling directly to professional buyers like those at Fair Sale Homes saves time, money and red tape by eliminating the back and forth of offers, counteroffers, and all out-of-pocket selling expenses. Additionally, the professional buyers at Fair Sale Homes work with a full-service in-house team of industry specialists, from attorneys to the closing table, who will handle the paperwork. At the same time, you avoid paying high commissions, closing costs or professional fees. The amount of the offer from your professional buyer at Fair Sale Homes is the amount of cash you will receive in cash at closing.
How do local professional buyers at Fair Sale Homes make it easy and stress free? When you make a direct sale, the professional buyers at Fair Sale Homes and their team will take care of all the paperwork you need to sell a house in Los Angeles. At Fair Sale Homes, we believe in open communication, so we stop everything and listen to our sellers. At Fair Sale Homes, we understand that no one knows your house quite like you, and we want to help you make the highest possible profit. So talk to one of the professional buyers at Fair Sale Homes without any obligation.
At Fair Sale Homes, we are your neighbors here in Los Angeles, and our passion is helping sellers in the most convenient, cost-efficient and easy process. At Fair Sale Homes, we are proud of our work, and we want you to feel good about the sale of your house long after closing. So call Fair Sale Homes at (626) 863-7006.