Every 24 seconds, a fire department responds to a fire somewhere in the United States. Although fires have decreased significantly since the 1970’s, the National Fire Protection Association (NFPA) reports that 356,500 home structure fires occurred in 2020, with an estimate of over $8.4 billion in property damage*. If you or someone you love has been a victim of a fire that caused major damage to your property moving on may be an important next step in your healing process, but selling a house in Michigan with fire damage may seem like too big of a challenge after dealing with such a traumatic event.
How To Sell a Fire Damaged House?
When a house fire causes minimal damage, a realtor might suggest cosmetic fixes like a fresh coat of paint. However, in Missouri, failing to disclose material defects is a serious legal risk. Under 2025 Missouri disclosure laws, potential buyers must be informed of any fire, smoke, or flooding history.
A specialized inspection is almost always required to ensure the structural integrity of the home—especially the electrical and HVAC systems, which are prone to hidden fire damage. For many homeowners, a traditional “as-is” listing with an agent isn’t viable because fire, smoke, and water damage can compromise safety. If the cost of professional remediation is out of reach, a direct cash buyer like Speedy Sale Home Buyers offers a way to bypass these hurdles entirely.
Restore Or Sell As-Is?
When selling a fire-damaged property in Michigan, you generally have two paths: full restoration or an “as-is” cash sale. While aiming for a high market price sounds ideal, the reality in Winter 2025 is that local contractors are facing significant backlogs. You may wait months just for a specialized restoration crew to begin work.
Once repairs are finally finished, you must still clear municipal code inspections. If O’Fallon building inspectors find violations, you face further delays and expenses. Between contractor fees, permit costs, and your local area’s licensing requirements, you could find yourself spending a significant portion of your equity without seeing a matching return on the final sale. Furthermore, while your insurance may cover the build-back, they often limit “Loss of Use” coverage, leaving you to pay for alternative housing out of your own pocket.
Get an offer today, sell in a matter of days.
Tips For Selling a House with Fire Damage in Michigan
Explore Your Selling Options
Did you recently suffer a fire and need to know your options? Whether you want to skip the stress by selling as-is to a direct buyer or you’re considering the long road of restoration, here is the breakdown of your choices:
Clean & Restore The Home
The “Clean & Restore” Strategy: If you have the capital and the patience, restoring a home can maximize its market value. A “move-in ready” home in a high-demand O’Fallon neighborhood like Winghaven can spark a bidding war, potentially driving the price above the $187/sq. ft. average. The Downside: Even a perfectly restored home must carry a fire disclosure. Many buyers in today’s market are leery of “fire damage” and may pass on the home entirely. While the property sits on the market, you are responsible for the “holding costs”—taxes, insurance, and utilities—which can quickly drain your eventual profits.
The “Investor-Ready” Appeal: Completing all repairs yourself might actually make your property less attractive to some investors. Professional buyers like Speedy Sale Home Buyers often prefer to use their own vetted crews who specialize in smoke and soot remediation. They have the connections to get repairs done quickly and to their specific standards, allowing them to close on the property much faster than a retail buyer relying on bank financing.
Repairing A Fire Damaged Home
Homeowners that do complete all of the expensive repairs and upgrades needed for the safety of the next occupant might also be making their Michigan property less attractive to investors. Direct home buyers and real estate investors are looking to purchase properties at a discount so they can restore the homes themselves and sell them for a profit at a later date. Most investors need to know the work was done right the first time and is up to code. They have their own list of professional cleaners and experienced contractors they work with that they know have years of experience dealing with smoke, water, and fire damaged homes. Plus, because of their connections, they don’t have to wait for months for repairs like a regular homeowner would. Companies with experience in major restorations like Speedy Sale Home Buyers can get the repairs done quickly and to their specifications before turning the house over to sell at a profit at a later date.
Disclosing Fire Damage To Potential Buyers
When you sell to a cash home buyer with experience in fire damaged homes, you won’t need the funds to pay out-of-pocket for repairs of any water, smoke, and fire damage. There are even real estate investors who are specifically interested in buying fire-damaged houses in Michigan. They have the knowledge and experience to deal with whatever damage they might find during the restoration process, and they are happy to work with you to close as quickly as you need so you can move on with your life. With a direct home buyer, you won’t need to deal with traditional bank financing or a mortgage lender for your damaged Michigan area property. Because direct home buyers use their own cash to purchase investment properties, they can close as quickly as you need.
But there are also cons when it comes to selling a house directly to a cash home buyer as-is. With an investor or direct buyer, you’re not going to get the full market value for your house like you would if you restored it and sold it through a traditional agent. The pool of potential buyers who purchase fire damaged houses is small, leaving less room to negotiate the selling price. This could cause you to lose out on a potentially larger return on the sale of your property at a later date if you had spent the time and money to restore it.
In the end, it’s only you that can decide which option is right for you. Would you rather leave the stress and hassle to a professional like Speedy Sale Home Buyers, or do you have the time, money, and energy to complete all the necessary repairs to make your house safe for a potential buyer at a later date?
Can You Sell a House with Fire Damage As-Is?
Yes, you can! With a direct cash home buyer you will:
- Never have to spend any money for inspections and repairs.
- Save yourself hours of time and stress by selling directly to Speedy Sale Home Buyers. We’ll handle it for you!
- You won’t be on the hook when the house is sold to a traditional buyer. Once you sell the property to us, it’s our problem to deal with.
The Quickest Way to Sell a House After a Fire
Selling Your House to A Cash Home Buyer
Rather not worry about the hassle of restoring a property that was damaged in a fire? Prefer for someone else to deal with the stress of managing contractors day in and day out while you are trying to put the pieces of your life back together? Then you’ll want to consider selling your house to a trusted and reliable direct home buyer. You might not get full retail value for your property in but you also won’t have to deal with a single repair.
Working with a Real Estate Agent
Selling your Michigan home for the most money possible in the current market isn’t impossible if you’re willing to pay for repairs and upgrades to bring your house up to code. If you have the time to wait for contractors and repairs to complete the necessary work, make sure that you’ll get the money you put into the house back at the final sale. Your agent’s commission, closing costs, inspections, and anything the buyer requests be changed before close will come directly out of your pocket.
Selling Your Fire Damaged House For Sale By Owner
Prefer to save a bit of money on commissions and sell your house yourself (FSBO)? Michigan has strict rules about fire disclosure when you are selling a house or rental property. You (and your pocketbook) will be on the line to make sure that you meet those legal requirements, as well as ensuring all of the paperwork is done properly before closing. If any of these steps are missed, you could be liable.
Sell Your Fire Damaged House Today!
After a home fire, one of the most important actions to take is assessing the damage to the property as soon as safely possible. You’ll need to consider any structural damage that might have been caused by not only the fire, but also smoke and water. When you start a claim with your insurance company, they’ll send out a professional insurance adjuster to have the property inspected. Your insurance adjuster will assess the extent of the damage and decide what insurance will–and won’t–cover.
It’s at this point in the process that Michigan area homeowners that have suffered such a traumatic event can be doubly stunned when they discover their insurance won’t cover all of the costs of repairing their home. For those homeowners with less than stellar policies, they might not be able to afford (or don’t want to pay out-of-pocket) the cost of a professional cleanup and repair. If this sounds familiar, selling your fire damaged home directly to a direct cash home buyer or real estate investor like Speedy Sale Home Buyers might be the best option for you.
Contact a real professional–Speedy Sale Home Buyers | (313) 552-8608