Selling a home does not have to be as stressful as it might seem. Instead of putting a home on the market and waiting around for weeks or months for a buyer, many homeowners are making the wise choice to sell their home for cash. There are many benefits to selling a home for cash and learning about the process will help homeowners to make a wise decision.
What Is Involved in the Process?
The process for selling a home for cash is fairly straightforward and generally does not cause any major stress for a homeowner. When working with the professionals, homeowners simply go through a few steps and then they are able to sell their home for cash in a short amount of time. The following are the steps that can be expected in the process.
- The first step in the process is the initial consultation. This is often completed over the phone and allows the buyer and seller to ask questions and gain necessary information. The team of professionals will work with the seller to determine the best option for selling their home, based on their reasons and the state of the home.
- A viewing will be scheduled to allow the team to inspect the home and determine the cash value. Some homeowners become concerned about this process because they are worried their home is too damaged or too old. It is important to note; these companies purchase homes “as is,” so there is no need for a homeowner to be concerned.
- A cash offer is given to the homeowner based on the state of the home, the asking price, and the fair market value. If the homeowner chooses to sell their home for the cash offer, it is possible the team can close on the property in as few as seven days.
- Once closing is complete, the escrow process begins. The company that is purchasing the home will take care of the entire process and provide full transparency to the homeowner. They take care of all of the paperwork, so there is much less stress placed on the homeowner.
Reasons Why People Sell Their Homes for Cash
There is a multitude of reasons individuals decide to sell their home for cash. The National Association of Realtors has estimated around 20% of all residential home sales are full cash transactions. The following are some of the common reasons homeowners choose to sell a home for cash.
- Their home is not in sellable shape and is in need of repairs.
- They need cash now and do not want to wait on the selling process.
- The homeowner does not want to go through all of the steps involved in selling a home.
- The homeowner wants to sell quickly, so they can avoid foreclosure.
Time limitations and problematic homes are two of the most common reasons sellers seek a cash buyer. Although individuals could take their chances with private cash buyers, it is better to get help from a professional company that can take care of all of the steps involved in the process, so the owner simply waits to receive their cash. This is one of the easiest real estate transactions a homeowner can go through, so it is preferable to many.
Benefits of Selling a Home for Cash
There are many benefits to selling a home for cash and being aware of the advantages will help individuals to make the best choice for their needs. With much fewer hassles in the process, it is no wonder so many homeowners are choosing companies that can buy their home for cash.
- Selling a home for cash is a favorable method when the home is in a state of disrepair or needs cosmetic work to make it more attractive for putting on the market.
- Homeowners who sell their home to a cash buyer are going to find the process is much faster and more streamlined.
- There is no obligation for a seller to sell. If they are unhappy with the cash price, they can refuse.
- Homeowners are able to get the cash they need, in a short amount of time and with less hassle.
- Homeowners who choose a cash sale will not have to go through the time and expense of getting their home in saleable condition.
- The closing can be scheduled according to the needs of the seller, so there is less stress and pressure.
- A cash purchase company will take care of issues that revolve around tenants, so the home can be sold quickly.
- Homeowners who choose a cash company will find they are able to save thousands on hiring a real estate agent to sell their home.
It is clear to see, selling a home for cash is often a preferred method for a variety of different reasons. Simply being able to sell the home without hassles is why so many people choose this method. Now, it is time to break down the differences in a cash purchase versus a traditional approach.
Differences Between a Traditional Home Sale and a Cash Purchase
There are quite a few distinct differences in selling a home for cash or going the traditional route. Although an individual could sell their home without any real estate agent, there are legalities involved, so this is not always recommended.
One of the key differences in selling a home to a cash purchase company is not having to make repairs and cosmetic changes to get the home sold. Some homeowners simply do not have the time or money to devote to this process.
Another major difference is the length of the process. With a traditional approach, homeowners will go through about fifteen different steps before the sale is complete. Although a lot of the steps can be taken care of by a real estate agent, the agent gets a big percentage of the final sale price, which could lead to a homeowner getting thousands of dollars less. A cash transaction involves only three major steps for the homeowner and the vast majority of the process is handled by the company that is purchasing the home.
More money, less time, and less aggravation are big drawing points for choosing a company to purchase a home for cash. Seeking a cash purchase takes away the headaches of selling a home and puts money in the hands of the owner in a short amount of time.