Debunking Common Misconceptions About Cash Home Buyers

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Debunking Common Misconceptions About Cash Home Buyers

Published on: Apr 07, 2023

Selling a home for cash is a quick and convenient way to offload your property without the hassle of traditional selling. However, there are many misconceptions and myths about cash home buyers that can make homeowners hesitant to take this route. In this article, we’ll debunk some of the most common misconceptions about cash home buyers. Then we will dive into the process of selling your home to a cash buyer, along with some of the benefits.

1. Cash home buyers are scams.

Many people mistakenly believe cash home buyers are fraudulent and target homeowners in need of a quick sale. However, this is not the case. Most cash home buyers are investors, in the business of buying properties to fix and flip or hold as rentals. Cash home buyers can provide a legitimate and convenient way to sell a home. To avoid scams, make sure to research potential buyers, read reviews and testimonials, and verify credential sources such as the Better Business Bureau.

2. Cash home buyers will only offer lowball prices.

Another common misconception is that cash home buyers offer absurdly low prices for homes. While it’s true that cash buyers may offer slightly lower prices than a traditional buyer, this is largely due to a renovation budget factored into the price. Additionally, the offer is net to the seller. This means all closing costs traditionally charged to the seller, are paid by the cash home buyer and there are no Real Estate commissions.

Make sure to find a Cash Home buyer who covers all the closing costs, including the documentary transfer tax.

3. Cash home buyers are only interested in distressed properties.

Many homeowners believe that cash home buyers are only interested in purchasing distressed or run-down properties. While it’s true that most cash buyers do specialize in distressed properties. Reputable cash home buyers buy homes in any condition, from fixer-uppers needing full renovations to move-in ready or occupied homes. Selling to a cash home buyer is a great option for homeowners seeking convenience and peace of mind or need to sell their homes quickly for any reason.

4. Cash home buyers are not licensed and regulated.

Another common myth is that cash home buyers are not regulated and can operate without oversight. However, most cash home buyers are regulated and licensed by their state. Reputable cash home buyers require all their agents to hold an active Real Estate license. This ensures our clients are dealing with true professionals.

Overall, a cash home sale is a simple and straightforward process that provides homeowners with a quick closing. There is no need of signing a lengthy listing agreement and having to go through showings and open houses, staging the home, and negotiating with buyers. Choosing a reputable cash home buyer allows for the process to be seamless and convenient.

By debunking these common misconceptions, we hope to help homeowners make informed decisions about selling their homes for cash. If you're considering selling your home for cash, it's important to know what to expect during the process. Let’s dive into the steps involved and how it works. Here's a rundown of what you can typically expect during a cash home sale.

Initial consultation: The process begins with a quick phone call. During this consultation, you will be speaking with a licensed Acquisitions Specialist. This conversation will be centered around the current condition of the home, occupancy, and the current situation with the property.

Receive Offer: Based on the consultation, the cash home buyer will make you an offer for your property, As–Is. You will have the opportunity to review and negotiate the offer if needed. Your Acquisitions Specialist will be by your side to answer any questions.

Acceptance and Escrow: Upon execution of the offer, the cash home buyer will move forward to expedite the closing process. The purchase contract will be sent to the title company, to begin the title process. You can expect an introductory phone call and email from your assigned closer. This process typically takes 1-2 weeks to gather the title and lien search results and prepare the closing documents. Once they receive the “cleared to close”, your closer will reach out to schedule either an in-person or mail-away closing.

Payment: Once the closing process is complete, you will receive payment for your property in the form of a bank check or via wire transfer the same day.

An "As-Is" cash offer provides a faster closing process. Additionally, selling to a cash buyer can save you money on repairs, staging, closing costs, and commissions. This makes it a more financially sound and convenient option for some homeowners.

Conclusion

In conclusion, not only are cash home buyers a legitimate and viable option for homeowners who need to sell their homes quickly and easily. There is an understated value in being able to sell a property "As-Is" without having to go through the lengthy process of a traditional sale. However, the true benefit is the convenience and white glove service from start to finish. This is where making sure you choose a reputable cash home buying company plays a huge role.