Selling a House With Foundation Problems

Buying a home is one of the biggest investments the average American will make in their lifetime. Given that most homebuyers are signing on the dotted line for 30 years worth of payments at the time of purchase, it’s no surprise that many are wary of taking on homes that need serious work. 

But what does this mean for houses with foundation problems and the people who own them? Here’s what you need to know about selling a home with foundation issues.

Foundation Issues 101  

Finding foundation problems in a home can be scary, but it is also incredibly common. There are many types of foundations and some are more appropriate to certain environments than others. No foundation, however, is ever fully immune to problems. 

What Causes Foundation Problems?

I sincerely hope that this step by step house selling resource and guide will help you sell fast, sell for a great price and feel good abot it at the end of the day!

House foundation issues can come from a single event or flaw or they may result from a combination of factors. Common causes and contributing factors include:

Destabilizing events, such as floods or earthquakes

Poor initial construction 

The presence of nonporous soils beneath and around the foundation  

Leaks within a home

Ongoing extreme dampness from any source

Extreme temperature changes

Frost heaving

Age can also play a role, as houses tend to “settle” over time in response to natural changes in the environment. With nearly half of America’s housing stock built before 1970, this is no small consideration. 

How to Tell if a House Has Foundation Issues

Common signs of foundation problems in a home include:

Floors that are uneven or sloped

Cracks in windows, walls, and doors

Gaps between decorative molding and floors or ceilings 

Windows and doors that no longer open and shut properly

Broken concrete, inside or outside the house

Cracked tile

Uneven or dislodged wooden flooring planks

Water infiltration in basements or crawlspaces 

Bowing walls or ceilings

Out-of-square walls and corners

Chipping or flaking concrete

Cabinets separating from walls 

Heck there are so many things foundation issues can cause.

Is there a legit company i can sell my house fast to in Denver, Colorado?

It is important to note that not every sign of an imperfect foundation indicates a serious problem. Benign small cracks may form in basement concrete as houses age. 

Assessing Foundation Issues Yourself

As a general rule, small cracks 1/4 inch in size or less are not cause for concern. Hairline cracks in your basement’s concrete mortar are also rarely reason for alarm. 

When shrinkage cracks occur, homeowners should take action. Shrinkage cracks tend to be L-shaped and may appear where foundations change levels.

They are not dangerous but need to be sealed to prevent leaks which could lead to real problems. These repairs are often quick and inexpensive. 

Cracks in masonry joins are cause for more serious concern. Unattended, they may lead to bowing or bulging in walls and reduced structural integrity. 

Horizontal cracks in your foundation are a sign of deep and potentially dangerous damage to your home. They must be addressed right away by professionals to protect the safety of your home and family. 

Getting a Professional Assessment  

Ifyou are planning to sell your home and unsure how concerned you should be about your foundation, there are three levels of assessment available to you. 

First, your realtor can walk through your home. Most experienced realtors have a good idea of what indicates normal settling and what might be something more. If they see signs of possible problems, they will likely recommend that you get a second opinion. 

For that second opinion, you can have your home inspected by a certified home inspector. They will be able to tell you if anything in your home might present a barrier to selling it as it relates to relevant safety codes. If they give you the all-clear, you are free to sell without worry. 

If the home inspector recognizes signs of serious foundation problems, they will recommend that you hire a structural engineer. The engineer will conduct an independent assessment and give you a report on the state of your foundation. This report will outline:

The problems, if any

The recommended repairs

A general estimate of repair costs 

These reports are valuable. They provide you with the information you need to make informed decisions about selling your home. 

Can You Sell a House With Foundation Problems?

House foundation issues don’t have to stop you from selling your home. It is perfectly legal to sell a house with foundation problems, as long as you do not attempt to disguise or lie about the condition of the house. 

State laws around disclosure during home sales vary in their specifics. In every state, however, sellers must disclose “material defects” in a property. This includes foundation problems. 

Moreover, being upfront about your home’s foundation issues is important because:

Foundation problems may impact buyers’ eligibility for certain mortgage and mortgage insurance programs

Undisclosed foundation problems discovered by inspectors during the sale process can cause sales to collapse

Being untruthful can lead to a bad reputation among buyers and local realtors, making it impossible to sell your home

Lying about the state of your home opens you up to lawsuits from buyers

This, then, leaves homeowners with two options when it comes to selling their homes.

Sellers can fix their foundation problems themselves and then sell their homes using the traditional listing process. Or, they can sell their homes “as-is” and let the buyer deal with the problem. 

Each option has its costs and benefits. 

Fixing Foundation Issues Before Selling

If you want or need to get top dollar for your home, you will need to repair the foundation damage before you sell. 

In some cases, this an easy decision to make. Minor damage to a foundation can cost as little as $500 to repair. That is a small price to pay to get full market value for your home. 

Depending on the cause and your policy, your homeowner’s insurance may cover some or all of your foundation repair costs.

In other cases, you may face cost- and labor-intensive interventions such as: 



Wall stabilization and repair

Waterproofing and sealing 

These repairs can cost $15,000 or more depending on your situation, the size of your home, and your geographic location. They can also be stressful and time-intensive for homeowners to manage. 

The Benefits of Fixing Before You Sell

Fixing before you sell comes with a range of benefits that can outweigh the inconveniences, however. Once you have fixed the foundation problems in a home, you can:

Sell using the traditional real estate process

Attract a wider range of buyers

Get top dollar for your home 

Since repairs can be less expensive to handle than many homeowners fear, this can be a good option. It can be particularly helpful in competitive markets or when selling a property otherwise worth a large sum. 

Homeowners without ready cash who live in a seller’s market can often see good returns by taking out a loan to cover the cost of the work. They can then sell their house for its best possible price, pay off the loan, and pocket the rest to come out ahead. 

Selling “As-Is”

Not all sellers can or wish to remediate their foundation problems before selling. This can be especially true for:

Landlords looking to offload unrewarding properties 

Individuals who inherited a home they cannot keep or need to sell to settle an estate 

Couples liquidating their assets as part of a divorce

Homeowners dealing with health issues or other personal challenges that do not allow time or energy for intensive repairs 

When you sell a home with foundation issues “as-is,” you disclose the full state of the home upfront. The buyer agrees to purchase the home and deal with the repairs themselves. This lets homeowners off the hook legally and financially. 

The tradeoff is that homes sold “as-is” almost always sell at discounted prices since the buyer will have to invest heavily in repairs post-purchase. 

This is where your inspection reports can come in handy. Knowing how much the repairs should cost can help you negotiate a fair price for your home that reliably accounts for both its market value and the repairs.

Selling to a Cash House Buyer  

Selling to a cash house buyer like us is one of the most popular options for sellers choosing to sell their homes “as-is.” Cash house buyers have much to offer, including:

A streamlined sale process

Cash payment for the home

Willingness to purchase properties that need work

When you deal with cash house buyers you can avoid realtors, home stagers, and most of the other costs that come with traditional sales. Typically sellers can expect to sell their homes at a discount, but this can be a welcome sacrifice if it gets them out from under the burden of:

Continuing to be responsible for their home and its costs

Dealing with foundation repairs  

Dealing with other responsibilities waiting on the home sale such as a move or closing an estate

Where to Turn for Help 

If you are unsure which option is best for you, contact a trusted real estate professional. They can:

Advise you on whether you need further inspections

Explain your local market conditions and what to expect 

Estimate the market value of your home if the foundation was not an issue

From there, you can contact a home inspector or engineer as needed to get an estimated repair cost. 

Next, contact your insurance company and review your policies. See what funds, if any, are available to you for repairs.  

With all of that information in hand, you will have what you need to make a smart and informed decision.

Don’t Let Your Foundation Scare You

Boy this is alot of info. Who is a legit we buy houses company near me?

Getting the facts about your home’s foundation problems can take the fear out of a scary situation. Start gathering the information you need to become an informed and empowered seller. Or if you prefer to sell your house as-is but can’t list it on the MLS, we can help. Call us and we’ll make you a cash offer to buy your house as-is so you can literally walk away from your foundation issues in a matter of days.