Lulu Simon, the daughter of music icons Paul Simon and Edie Brickell, took to Instagram to share her story of property-related heartbreak involving Hollywood legend Richard Gere.
She says that the Pretty Woman star assured her parents that he would “take care of the land” when he purchased the family’s six-bedroom Connecticut mansion in 2022.
But just two years later, Gere decided to flip the home to a developer for $10.75 million amid his move to Spain, according to People. The property is now being demolished to make way for a massive new development.
“Just in case anyone was wondering if I still hate Richard Gere — I do!” Lulu wrote on Instagram. There’s no public record of any legal obligation preventing redevelopment, but the emotional betrayal clearly struck a nerve. Gere has not publicly responded to the post.
Although she didn’t clarify if the sale agreement had any redevelopment restrictions built into it, her story highlights the pros and cons of selling your family home to developers, institutions or professional property investors.
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Pros of selling to professionals
If you’re listing your home on the market, there’s a significant chance that you might get an offer from a professional developer or investor. In 2024, roughly 13% of homes were purchased by investors, according to Realtor.com.
These could include landlords, developers, private investment companies or real estate investment trusts. What they all have in common is that they’re buying the home to make a profit rather than live in.
Generally, these investors are well capitalized and have a readily-available pool of capital or robust relationships with lenders to finance the purchase.
Nearly 62% of small investors and 68.9% of large investors paid all-cash for their transaction, according to Realtor.com. That means you can get paid quickly with minimal disruption.
Another advantage of selling to professionals is that you don’t need to invest much in renovating or upgrading your property. Professional buyers often target tear-downs, where they can add value through redevelopment.
Speaking of value, a strategic investor could also deliver a better offer for your property than a typical family because of the redevelopment potential. This gives you a chance to exit at a premium.
However, it’s also worth considering some of the downsides of selling your home to a developer or investor.
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Cons of selling to professionals
Taking into consideration the emotional cost of selling to developers and real estate investors is one of the biggest factors that can come into play in a situation like this. Seeing your childhood home or marital property turned into an Airbnb or corporate headquarters isn’t easy, especially if you have pleasant memories attached to the home.
The decision could also impact your relationship with your neighbors and the wider community. Demolition and construction is often fairly disruptive and could shift the neighborhood’s character in a way that frustrates your friends.
There’s also some financial downsides. For instance, you could be leaving some money on the table when you sell to a developer rather than hiring a company to redevelop the property yourself.
Self development gives you exposure to more cash flow and greater control. It could also offer you some flexibility to preserve some of the most cherished aspects of your home.
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This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
