What Does It Mean When a House Is Condemned?

Owning real estate has continued to be a good long-term investment and housing option. When you are a property owner, you generally have the freedom to maintain and care for a property in any manner you wish as long as you comply with local safety regulations and other guidelines. In some situations, if there is damage due to poor maintenance, fire, bad weather, or an unexpected accident, the home may become dangerous to live in. When this occurs, the home could be condemned. If your home is condemned, it is important to understand what the classification means.

What Is a Condemned Home?

A condemned property is one that has been deemed unsafe to live in by a local government. Generally, the local government will be made aware of a home in poor condition through normal assessment processes, driving by the property, or being informed by a neighbor. Based on an exterior visual inspection, it could warrant completing a more thorough inspection inside the home. If it is deemed that the property is too dirty or dangerous to reside in, the government could condemn the property. At this point, the government could force all people to move out of the home 

What Happens to the Property and Mortgage During Condemnation?

During a condemnation process, the government will require that all people move out of the home, and they will try to take the title to the property as well. During eminent domain situations, the government could take similar actions to take the title to the home. When they do take the title of a condemned home, they will typically have to provide some written warning first. Along with this, they will have to notify any lien holders. The government will also have to provide fair compensation in consideration for taking the title, which could be lower than market value.

If you have a mortgage outstanding against your home, and it goes through a condemnation process, your lender will almost immediately start the foreclosure process. They will also have the option of determining what the sales price will be and may accept a payment instead of foreclosure if it pays off the balance of the loan. Any shortfall will be a requirement of the mortgage borrower moving forward.

How to Avoid a Condemnation

A condemnation of your home can be a significant personal and financial setback, and finding a way to avoid it is often a good option. One way that you can avoid a condemnation is by bringing the home back into a suitable condition. You will normally have a short period of time to get this done as it will have to comply with the condemnation schedule provided by the government. You also may find that the costs of cleaning, remediating, and repairing your home are too high.

Another option that you will have if your home is being condemned by the government is to try and sell the home on your own. As the condemnation process can move quickly, you will want to sell your property quickly. When you are looking to sell your house fast, calling Purple Mountain Holdings could be a great option.

Why Sell to Purple Mountain Holdings

At Purple Mountain Holdings, we buy houses that are in any condition. The process of selling a home to Purple Mountain Holdings is easy. You can get started by providing us with some simple information about your home. From there, we can schedule an in-home consultation and inspection. Based on this consultation and inspection, we can provide you with a fair all-cash offer that will allow you to sell your home within a matter of weeks so you can avoid the formal condemnation process.

Beyond selling your home quickly, selling to Purple Mountain Holdings is also a good idea because it can save you a lot of money. As opposed to the standard real estate selling process, we will not require you to make any home repairs, and we can purchase the home in as-is condition. Furthermore, you will not be hit with expensive real estate commissions and various other closing costs that would otherwise cost you thousands of dollars.