Why Should I Sell My House for Cash?
This is a question you may want to ask yourself if you are planning a home sale in the near future or needing to sell soon because of extenuating circumstances:
Why should I sell my house for cash if I can get more through a normal sale?
For some home sellers, this is a very important question to understand. As with anything in life, the answers aren’t always so black and white. There are times when it makes sense to sell your house in the traditional way. That would involve hiring a Realtor® to represent and market your listing. It requires getting your house ready for the market with repairs, upgrades, cleaning and staging. It means showings and open houses to attract as many potential buyers as possible. Then, you have offers, negotiations and the final closing process.
Pros and Cons of a Traditional Home Sale
On the positive side, this traditional real estate sales approach will generally lead to a higher selling price. In the end, this may allow you to net a bit more money in your pocket by the time everything is said and done. However, that difference in net return may not be quite as huge as you think. There are more costs associated with a standard home sale. You have to pay the real estate commissions (usually 3-6% of the selling price). You’ll likely invest some money upfront for repairs or upgrades to maximize buyer appeal. You’ll have closing costs, as well. Lastly, you will still be paying your ongoing homeownership expenses until the transaction is closed. These include mortgage payments, homeowner’s insurance, property taxes, utilities and general upkeep. The average home sale takes anywhere from 2-6 months to complete, so you can do the math.
Most home buyers are funding their purchase through a mortgage loan, which can add some complications to the transaction. There could be delays in funding or they could pull out in the middle of closing for a variety of other reasons. There may also be contingencies attached to the offer, such as waiting to sell their current house to use the equity toward the down payment on your property.
Cash Home Sale—An Alternative Solution
Selling your house for cash to a real estate investor is an alternative you may want to consider if the numbers add up or you are in a situation where you need or want to sell sooner. At PropertyLark, we are regularly contacted by people dealing with financial distress (laid off, pay cuts, divorce, pre-foreclosure, post-forbearance, property tax default, etc.). They need to sell quickly to get out from under the major financial burden of mortgage payments and other homeownership expenses.
Then, there are those who want or need to sell quickly for other reasons. Examples might include a job relocation, unwanted inherited property, or someone who simply doesn’t want to go through the normal real estate process. They don’t want to work with a real estate agent or have a bunch of people walking through their house. They just want to get a deal done fast and discreetly, with as few complications as possible.
The benefits of a cash home sale are that the process is faster and easier. You don’t have to deal with real estate agents, mortgage lenders, escrow officers or real estate attorneys. The investor is paying all cash for your property and this makes the closing go as smoothly and quickly as possible. The sale could be completed within a week or two rather than months, which may mean cash in your pocket when you need it or getting out from under your current financial burdens as much as possible.
Is a Fast Cash Sell Right for You?
A straight cash home sale is not the best solution for everyone, but it is a good solution for certain homeowners and that’s why it is at least worth considering the key question that started this article: Should I sell my house for cash?
If you are looking to sell soon, contact PropertyLark today. We can get you a fair cash offer for your house within 24 hours or help you explore other creative home selling or financing solutions.