Is it Safe to Sell My House for Cash?
One of the most common questions we get at PropertyLark: “Is it safe to sell my house for cash?” In general, the answer is yes. However, we’ve all heard the saying of “buyer beware.” Well, we might also say “seller beware” in certain cash home selling circumstances. It pays to do your research and make smart decisions when it comes to a cash deal.
Sell My House for Cash—Buyer Funding
Perhaps the biggest advantage of a cash home sale is that the buyer is paying with cash. Whether it’s a real estate investor or a regular home buyer looking for a primary residence, they have cash available to them. They can pay the full agreed-upon purchase amount and the whatever money you are owed at the end of the transaction (after any mortgage debts and closing fees are paid off) will get in your pocket quicker than in a traditional real estate sale. If the buyer is getting a mortgage loan, it takes longer to complete the funding and closing processes and there are never any guarantees that their funding will be approved by the lender until the final loan actually goes through.
Naturally, waiting for the buyer’s funding to be finalized and going through the longer escrow process can be stressful and sometimes complicated. Cash home sales can be completed much faster (days or weeks rather than months) with a lot fewer complications. There are other advantages of a cash sale, as well. You should check out our past article on “7 Benefits of a Cash Home Sale” to learn some of the other things like no repairs, a simpler inspection process and fewer closing expenses.
So, a cash home sale is less complicated. That’s great, right? Yes, if the buyer is reputable and the contract is solid, you should have a relatively stress-free closing experience when selling your house for cash.
These last two points are very important, though, so let’s explore both a little further…
Sell My House for Cash—Working with a Reputable Buyer
One of the biggest fears any home seller will have is that they are dealing with a buyer they can trust. This is especially true when selling to a cash buyer. You definitely want to do your due diligence and make sure you feel comfortable with whomever you are selling your house to for cash. Some offers may be too good to be true. Some cash buyers may not be completely trustworthy.
You must make sure they have the money they are offering and you want to feel a sense of trust with them. If you call a number off a hand-made “I Buy Houses for Cash” sign on the side of the road, then you are going out on a limb and hoping that’s a trustworthy real estate investor. Some are. Some aren’t. Be sure and ask plenty of questions when talking to a potential cash buyer. If something doesn’t feel right, then it probably isn’t a good situation and you should get out before you get yourself in too deep.
You can also do your research. Ask them for referrals, look up their contact information, ask about credentials and real estate licenses, and see if they have a professional-looking website or other marketing materials. These are usually signs of more reputable home buying companies and individuals. The point is you should look beyond just the surface value of any cash price they are offering. Make them earn your trust and your business.
Sell My House for Cash—Contract Review
Last but not least, you want to make sure that the cash purchase contract is solid. It will still need to go through a final closing process to transfer the title and notarize the agreements. If a buyer walks up to your house with a suitcase full of cash and a hand-written contract, it’s a sketchy situation. Protect yourself and review contracts carefully. Bring in a lawyer if necessary and always ask questions throughout the entire process. You should always know exactly what’s going on and what happens during and after the transaction.
If you would like to receive a no-obligation fair cash offer for your house, please fill out the contact form on any page of the PropertyLark website. Be sure to check out the rest of our site for additional information about our company and our network of buyers who have gone through our intense qualification process. We vet them carefully to protect our sellers and make sure your cash home sale goes as smoothly and successfully as possible.