If you’ve ever sold a home before, you know the nail-biting wait as the house is appraised and inspected–and the buyer goes through the red tape involved with getting a mortgage. At any point, a problem could arise that can cost you money or delay the closing. A cash sale eliminates all that, but it’s important to understand what is involved.
What Is a Cash Buyer?
The vast majority of home buyers have enough cash for a down payment but need to get financing to pay the rest of the sales process. Getting approved for a mortgage can be a grueling and time-consuming process. It can inconvenience both the buyer and the seller.
With a cash sale, the home buyer has the full amount of cash needed to purchase the home. A cash sale can be transacted either through a real estate agent or it can be a direct sale, from the buyer to you.
Who Buys Homes for Cash?
Not many individuals are able to buy a home for cash. A few people are fortunate enough to have the cash because of a windfall or inheritance, or they can draw from various investments they’ve built up. Making a cash offer can help them be competitive with other buyers in a tight market.
Then there are house flippers. These are individuals or groups who buy fixer-uppers to restore and resell. This can be risky because many flippers are inexperienced and poorly funded, hoping to get in on a trend and make money quickly.
How Is a Cash Buying Company Different?
Selling to a cash home buying company has advantages compared to selling to an individual or house flipper. These companies consist of legitimate, experienced property investors that will give you a no-obligation, fair offer and close in a hurry. A cash buying company will answer any questions you have, and they’ll show you proof of funds—that is, a document from their financial institution that certifies they have enough cash to buy your property.
Selling a home to a cash buyer can be faster and easier, but only if you know and trust who you are dealing with. If you need to sell quickly, selling to a cash buying company might be right for you. Contact your local home buying company today to learn more.
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