What determines “fixer-upper” status?

[Jesse Aaron]

I’m very excited to finally get my first flip on the market. I have about 30k tied up into a used (but very nice) mobile home on a 1 acre lot I purchased that had a hidden water well and unused septic on the property. I moved the mobile, found and reshot the water well, and had the unused septic inspected and approved. With only 30k invested, and with limited knowledge of the local market, I expected to get 70-75k for the property. I contacted a realtor to discuss working with me to sell this property. He told me we should list it for 115k. I was very surprised, but obviously very excited. It just listed, but I’m curious why it was listed as a fixer-upper. During the move there were a couple pieces of broken trim that I didn’t replace in one bedroom. I also had to cut the drywall to replace a shower supply line. I repaired the drywall but did not paint it. Aside from that, those are the only needed repairs. I don’t feel like that would make it a “fixer-upper”and I feel that term will chase away potential buyers. Any opinions on this? I hate to question the realtor, but that seems odd to me. What sort of repairs are normal wear and tear and at what point does it become a fixer?

[Lydia S.]

@Jesse Aaron

One thought I have is that your Realtor is trying for grab the attention of cash buyers, because you moved the manufactured home and whether or not it's on a permanent foundation, it won't qualify for buyers using an FHA loan.

Manufactured homes can only qualify for an FHA loan if they have seen one move- dealership to a destination, and are on a permanent foundation. (Plus a few other criteria such as being a double wide or more, having a deactivated title and younger than 1976 I believe).

So I suspect you may be needing a cash buyer.