Is there a standard process to selling a house for cash? And if so – is it easier than selling your home traditionally?
Today’s home buyers typically rely on help from a lending company when financing the purchase. The lender, often a bank, provides a loan in the form of a mortgage that is then paid monthly by the buyer for a specified length of time.
This is just one part of the home buying process and one that can have negative consequences for the seller. If the financing falls through, the seller now has to start the entire process again and find another buyer.
The process of selling a house for cash eliminates this issue.
Finding a Buyer That Can Actually Afford Your House With Cash
Certainly, celebrities and other wealthy individuals can buy a home with cash whenever the whim hits. It’d be great to have someone swoop in and offer your full asking amount and then pay in cash, but it’s also unlikely that will happen.
However, don’t give up on that dream. There are reputable buyers offering cash for homes, but it’s important to do your homework.
Chances are you’ve seen those signs at busy intersections that proclaim, “We Buy Houses!” While this can look like a legit service, beware.
Many of these are house buying scams. A “buyer” doesn’t need a license, permit, or specific certification to present as a real estate investor or house buyer.
A reputable home buying company won’t have bandit signs littering intersections throughout your city. It should be simple to verify a cash-for-houses company’s reputation.
As a seller, begin by accessing the company’s website. If they don’t have one or it’s unprofessional without any way to contact a representative, it may be a scam. A reputable home buying company, like HomeGo, offers:
- Easy-to-access, professional website
- Verified customer reviews and ratings
- An accreditation and verified rating from the Better Business Bureau
- Licensed real estate agents* with knowledge of the local market
- Processing that includes state-regulated forms
- Professional marketing and high-level customer service
In addition, a cash buyer of any type should have experience in closing a home sale and be able to resolve any issues that may come up at that time.
The Steps of Selling To a Cash Buyer
If you want to sell your house fast, then a cash buyer can be the best option. Selling to a cash buyer can speed up the overall process immensely. It’s fairly simple.
- Contact the cash buyer and set an appointment.
- The cash buyer visits the property and typically makes an offer during that visit.
- The home seller agrees to the offer and signs a purchase agreement.
- The closing of the sale can happen in as little as 14 days.
What Makes the Process of Selling a House for Cash Better Than Selling Traditionally?
Often, time is the biggest downside when taking the traditional path to home selling.
According to Zillow, a home for sale in the United States lingers on the market for 68 days. This was the national average in 2018. During the housing crisis in 2010, the national average was 140 days—that’s more than four months! Do you have that much time to waste?
Of course, you hear about sellers who get multiple offers the day the “for sale” sign hits their lawn. However, this is not the norm. Most homes for sale are not “move-in ready” and unfortunately, that’s what many buyers want.
The traditional home selling process has several steps which include but are not limited to:
- Find a reputable real estate agent who knows the local market
- Make any repairs or upgrades to the house before it’s listed
- Clean, de-clutter, and de-personalize the house
- Stage the home for the real estate agent showcase (where other agents come in to see the house before the public)
- Stage the home again for the open house and any additional showings
- Negotiate any offers
- If the potential buyer is not pre-approved for a loan, wait while they secure financing
- If the buyer’s financing falls through, begin the showing process again
If the buyer pays for a home inspection, and issues are reported, that can affect the sale as well.
You may end up with more repairs to make, which often means more expense out-of-pocket for you.
Which Selling Process Makes the Most Sense for You?
The process of selling a house for cash has multiple benefits when compared to the traditional home selling method. For many home sellers, time is as important as the money and a cash buyer speeds up the process significantly.
Choosing to sell to a cash buyer can make a difference when times are tough. It can be a way to liquidate assets to pay off debt, help to avoid foreclosure, and be the easiest solution when selling after a difficult, life-changing event like a divorce, illness, or death of a loved one.
Let’s break it down. Going through the process of selling a house for cash means:
- No listings = no cleaning, home staging, and time-consuming showings
- No appraisals or banks to cause delays
- No home inspections = no repairs to take more money out of your pocket
- No closing costs = more money for the seller
- No real estate agent commissions = more money for the seller
Working with a reputable cash buyer like HomeGo also means all documents are prepared and filed correctly. There are no surprises, no hidden fees, and never a bait-and-switch. You always know exactly where you stand and how much money you will receive for selling your house to HomeGo.
With HomeGo, our local agents know your local market and how to make a fair offer. We will answer any questions and address concerns regarding the closing and work for you so your sale goes smoothly without title or lien issues. Our offers won’t fall through due to funding because it’s our own cash, not a mortgage. If you’re looking for a simpler way to sell your house, consider a cash buyer like HomeGo.