When getting ready to sell your home in this hot market, you will likely receive offers from various potential buyers. The typical information that home sellers look for in these offers is how much the buyer will pay and their mode of payment. You may hear the words ” all-cash offers ” or things like ” we buy homes for cash. As appealing as that may sound, it is important to understand what it means to make the right decision. Keep reading to learn more about selling your home for cash.

MEANING OF SELLING YOUR HOME FOR CASH

You may find that a bit unclear when you are told that your home will be bought for cash. You may think you will get a briefcase loaded with the money asked. However, it gets confusing when you eventually wind up with money at the bank.

Essentially, when someone says they are buying your home for cash, they will do so without a mortgage or loan application. In this case, the buyer has sufficient funds to meet the purchase price on the go. When both of you settle on the market price, the buyer will just transfer the cash to you.

Your home is only truly bought for cash when the buyer has the money available when making the offer. That is where things become a bit messy if you are not careful of the people you are dealing with. Some agents may claim that they buy your home for cash, whereas that is far from the truth. On the contrary, they may have planned to sell another property before they could get the money needed to buy yours. From a strict perspective, that wouldn’t classify it as a cash purchase.

ARE CASH OFFERS COMMON?

Cash offers are more common than you might imagine. A study done by ATTOM Data Solutions reported that a quarter of 2018 home and condo sales were completed under cash transactions. However, 2011 had the biggest record, accounting for 38% of the sales.

There are some scenarios where home cash sales tend to be common:

• When competition is high, and the buyer seeks to stand out
• When the buyer just completed another sale and has cash reserves to use
• When the property has the tag fix-and-flip due to pending renovations
• When an investor has an interest in a property
• When the seller approaches the buyer regarding the purchase

Please note that cash offers can come up at any time of the home selling process, not just the mentioned ones. Therefore, ensure that you understand the process and do not get confused.

DOES THE HOME SELLING PROCESS CHANGE WITH CASH ON THE OFFER?

The home selling process slightly changes when cash is on the table, unlike if a mortgage is involved.

The main difference is that the buyer does not have to go through the mortgage or loan application process. That minimizes hoop jumping on the buyer’s side. Of course, the buyer will still want to conduct a detailed search before offering to purchase your home for cash.

Even as your home is bought for cash, processes such as surveys and property searches will still be done. The good thing is that the cash buyer can deal with these much faster than a slow-moving lender. Are you ready to sell your home for cash? Reggie Buys purchases houses fast for cash. We are here to help you deal with personal hardship, bankruptcy, or quick moving out of your house. Contact us to get your cash offer