How To Sell A Bad House And Make Money in 2023?

Are you stuck with a house that no one wants to buy and looking for a way to make money off a bad house?? You’re not alone! Selling a bad house can be a difficult task, but with the right strategy and knowledge, you can turn a bad house into a profitable investment. Statistics show that homes in poor condition typically take 15% longer to sell and sell for 4-6% less than homes in good condition. Therefore, it is important to be realistic about the price of the home and to create effective marketing strategies to attract potential buyers. 

So keep reading; this article will walk you through the best options for selling a bad house, as well as how to sell a bad house and make money at the same time. Let’s get started-

What does a bad house mean?

Image Of A Bad House

A bad house means a house that requires repairs and updating, from minor fixes to major renovations. This could include items like paint that is chipped, cracked, or peeling, stained flooring, outdated fixtures, and cluttered interiors. It could also include major repairs such as roof damage, foundation issues, plumbing and electrical problems, and outdated kitchens and bathrooms. In the worst cases, a home may be uninhabitable, with black mold, lead, asbestos, or a chimney so damaged that using the fireplace is hazardous.

5 Best options to Sell a Bad House

Here are the best options for selling a bad house:

1. Sell to a Cash Buyer: 

Selling your home to a cash buyer can be a great option for homeowners looking to sell quickly and with minimal hassle. Cash buyers typically offer below-market value for homes in disrepair but can close quickly and without requiring repairs. 

This is a much more convenient option than listing in the open market, as it eliminates the need to invest in pre-listing repairs, market the property, and negotiate with buyers.

2. Sell to an Investor: 

Selling your home to an investor is another great option if you’re looking for a quick sale. Investors typically offer less than market value for homes in disrepair but can close quickly and without requiring repairs.

3. List with a real estate agent

If your home requires minor repairs or cosmetic fixes, it is usually best to list with a local realtor. You may be able to get a higher price and avoid the hassle of dealing with a cash home-buying company. 

A realtor can recommend whether to make pre-listing repairs to increase the offer price, or to list as-is at a lower price. Either way, you will likely benefit from the expertise of a realtor to help you get the best deal for your home.

4. Consider selling your house as-is: 

You can choose to sell your home as-is, without making any repairs or improvements. This option is ideal if you want to move on quickly and don’t have the time or money to make repairs. Consider completing a pre-listing inspection to get a better understanding of the repairs needed and to inform your listing price and disclosures.   

5. Invest in small improvements: 

If your house is in “visible repairs needed” condition, it’s worth making some small improvements. This can include painting, replacing fixtures, and cleaning up the landscaping. These low-cost fixes can help you get your full asking price, and Orchard’s Concierge service can handle them for you.   

6. Make major repairs: 

If your house is in truly bad condition, you may need to invest in major repairs in order to get your list price closer to what it is actually worth. This could attract more potential buyers, such as families and individual home buyers.

How To Sell A Bad House And Make Money?

These are a few things you can do to sell a bad house and make money:

1. Identify the Problem:  

When selling a bad house, the first step is to identify the issues that could be affecting its sale. This could include any structural damage, aesthetic issues, or even legal issues that could be preventing potential buyers from making a purchase. It’s important to be honest and open about the condition of the house when selling it, as potential buyers may be aware of these issues already and will be more likely to trust the seller if they are upfront about the condition of the house.  

2. Make Repairs:  

Once the issues have been identified, it is important to make the necessary repairs to ensure that the house is safe and habitable. This could include anything from fixing structural damage to replacing broken appliances. Making these repairs will not only make the house more attractive to potential buyers but will also demonstrate that the seller is serious about selling and committed to making the house a safe and comfortable place for the new owner.  

3. Price the House Fairly:  

When pricing the house, it’s important to be realistic about the condition of the house and consider the cost of any necessary repairs that the buyer may need to make. It’s also important to be competitive with other listings in the area, as this will help attract potential buyers. When pricing the house, it’s best to consult with a real estate agent to ensure that the price is fair and reflects the current market value.  

4. Stage the House:  

Staging a bad house can make a huge difference in how quickly it sells. It can help potential buyers envision themselves living in the home. This can be done by de-cluttering and cleaning up any mess, arranging furniture to show off the house’s best features, and adding décor to give the house a warm and inviting feeling. Staging the house shows potential buyers that the seller has taken the time to prepare the house for sale and can help them feel more comfortable making a purchase. 

5. Hire a Real Estate Agent:  

Hiring a real estate agent can help with the sale of a bad house by providing valuable insight into the local market and helping to advertise the house. Real estate agents are experienced in selling houses and can provide valuable advice on how to make the house more attractive to potential buyers.  

6. Take Professional Photos:  

When selling a bad house, it is important to take professional photos of the house. This will help to create a positive first impression for potential buyers and draw them in. Professional photos will make the house look its best, even if it is in need of repairs or updates. Additionally, these photos can be used in listing the house online and in print advertisements, as well as in open house events.  

7. Advertise the House:  

Advertising the house is an important step in selling a bad house. This can be done through various channels, including social media, local listings, and even open houses. Advertising the house will help to make potential buyers aware of the house and can help to generate interest.  

8. Negotiate with Potential Buyers:  

Negotiating with potential buyers is an important step in selling a bad house. It is important to be flexible when negotiating the price and to consider any conditions that the potential buyer may have. It may also be helpful to offer incentives such as closing cost assistance or home warranty coverage to encourage potential buyers to make a purchase.  

9. Be Patient:  

Finally, it is important to be patient when selling a bad house. It may take some time to find a buyer who is willing to purchase the house in its current condition. Additionally, it may take some time to negotiate a final purchase price. However, with patience and persistence, you can eventually find a buyer and get your house sold.


Overall, selling a bad house can be a difficult task, but with the right preparation, knowledge, and strategy, it is possible to sell a bad house and make money. By researching the market and pricing the property correctly, marketing the property effectively, and negotiating with buyers, you can sell your bad house and maximize your profit.

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