Selling a Short Sale in NJ? How to Handle Repairs the Right Way
If you’re considering a short sale in New Jersey, one big question always comes up: “Who pays for repairs?” Whether the home needs a new roof, plumbing work, or just a deep clean, understanding how to handle repairs is key to getting your short sale approved and closed without drama.
As North Jersey’s First AI-Certified Realtor, I’ve helped many homeowners navigate this exact challenge. Here’s what you need to know.
š First—What Is a Short Sale in Real Estate?
A short sale is when a homeowner sells their property for less than the remaining mortgage balance. The bank agrees to take a loss, but only if they’re confident the deal is legit and fair.
Because the lender has final approval, they’re involved in almost every detail—including whether repairs are needed or not.
š ļø Do You Have to Make Repairs in a Short Sale?
In most cases, you’re not required to make any repairs as the seller. Short sale properties are usually sold as-is, meaning the buyer takes on the condition of the home.
However, here’s the catch: some lenders do ask for certain basic issues to be fixed if they affect the value of the property or if they’re safety hazards. Think missing railings, roof leaks, or electrical problems.
š° Who Pays for Repairs in a Short Sale?
Here are the most common scenarios:
1. The Buyer Pays
Most short sale buyers are investors or buyers looking for a deal. They expect to buy as-is and handle repairs themselves. This is the norm.
2. The Bank Pays (Rarely)
In some rare cases, the bank may approve small repair credits or allow minor fixes to get the sale through. But don’t count on this—it has to make financial sense for them.
3. Seller Pays (Unlikely)
Since the seller is already struggling financially, paying for repairs out-of-pocket is uncommon and not expected by lenders.
š¤ How to Negotiate Repairs
Negotiation is still on the table—but it needs to be strategic:
Offer the buyer a repair credit through the lender (if allowed).
Disclose all known issues upfront to build trust and avoid last-minute surprises.
Use a licensed agent (like me) who understands short sales and can present your case effectively to the bank.
ā
Selling As-Is: What That Really Means
When you list “as-is,” you’re saying the home will not be improved before closing. But it does not mean you can hide problems. Full disclosure is still required.
Also, keep in mind that major defects can scare off buyers—or reduce offers. The key is to price the home right, market it honestly, and attract serious buyers who understand what a short sale involves.
š² Ready to Sell Your Short Sale As-Is?
If you're thinking about selling a home that needs work, but you're overwhelmed by the cost, you're not alone. I can help you sell your property as-is, fast, and without extra out-of-pocket repairs.
DM me “Short Sale Help” or visit www.611Homes.com
I’m Johnny Rodriguez, North Jersey’s First AI-Certified Realtor. Let’s make your short sale smooth, smart, and stress-free.
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