Selling your home can be a lengthy affair, sometimes taking years. But for many different reasons people need to make a quick sale. It may be debt, divorce, or moving out of state or even the country for work or personal reasons. Often the quickest way to sell fast is a cash sale, although in recent years this has become less popular, there are always buyers looking the same as sellers for a quick transaction. If you are trying to sell fast, do listen to multiple offers so you still get something close to the asking price and the home’s true value.
There are some very good advantages to selling for cash and some disadvantages, but that is to be expected. Depending on the state you live in there may be separate laws regarding cash sales, for example, if you live in texas it is worth consulting house buyers Austin TX for expert advice. Here are some of the things you need to be aware of before selling for cash.
Is it Really Possible to Buy a House For Cash?
Strictly speaking, it is not legal to buy a property with cash, long gone are the days of briefcases full of crisp banknotes. But, it is just terminology, now we use bank transfers or cashier’s checks. Simply put the buyer requires no financing from the banking institutions. There are typically 2 different types of buyers who use cash, the first type of person who makes cash offers is the individual who wants to live in the property. The second is real estate investors, looking for an investment.
Individual buyers will offer cash hoping to avoid certain charges, such as paying closing costs, interest on a loan, or simply to make their offer more appealing to sellers. Real estate investors typically want to speed up the buying process, reduce the closing costs, increase the business cash flow, and avoid debt.
Selling Your House For Cash, Fast
For whatever reason, you want to sell for cash quickly, whether it is divorce, to split an inheritance, or you don’t want to wait for a long time. Also, some houses have unique features or history that the market does not appreciate and cash sales are the best option, as it may not qualify for financing. There are some things you have to consider:
- Establish the true value of your home. Your home is only worth what somebody is willing to pay for it. Look at other similar properties in the area and get a rough idea of the market.
- Establish if you are selling ‘As Is’. This simply means the seller doesn’t have to do any work on the home before the transfer of ownership. But does have a responsibility to fully disclose any faults with the home.
- Look at all the ways to sell. There are a number of ways to sell to cash buyers, including advertising on social media, attend other auctions to see if there are any interested parties, Craigslist, having your own for sale sign on the lawn, newspaper ads, or contacting a home buying company. The fastest way is probably the home buying company option.
- Don’t pay any advanced payments. Regardless of whether a company feels legitimate, never pay up-front for anything. This is a common scam, never pay for application fees and you should never be asked to apply.
- Do your research on the companies involved. Always do some research and shop around, the best deal is not always the case. Ask friends, coworkers, and family if they can recommend a trustworthy company. Even check out the owners or partners in the company and establish their credibility.
Don’t take any risks with buyers or companies involved, establish they are legitimate, and proceed with caution. Most people you deal with will be 100% genuine, but there are some bad apples to avoid also.
Your Sale Can Move Very Fast
Placing your house on the traditional market even without any setbacks can take a long time to sell. Buyers are often waiting for months to secure financing and it is still not a guarantee they will receive the money for the purchase. This can slow you down even more waiting for a new potential buyer and the process begins once again.
With an investor who has the money already to make the cash purchase, you can save months of your time, and can sometimes take only a matter of weeks for the paperwork to be done and approved. The same applies to individual sales of people you may have met at another house sale, they have the money and a desire for a new home.
Not one house sale is the same, there are always hurdles to jump over. But with cash sales, the speed at which any problems that might arise can usually be sorted quite quickly, and the sale is processed much quicker than traditional methods.
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