Accepting a Cash Offer? Be Sure To Consider These Things

Homeowners often prefer to go with cash buyers instead of financed buyers, and there’re reasons behind it. Not only can they close the deal faster, but the chances of it falling through are usually less.

These are certainly significant benefits, especially when you’re trying to sell your house fast, either to an individual or a ‘we buy houses’ company. However, there’re some essential things you need to consider to avoid selling the house to an unethical or dishonest cash buyer.

Let’s take a look at them.

Potential Contingencies

Usually, a cash offer appears with much fewer contingencies compared to a traditional offer. However, it doesn’t mean that there’re no contingencies at all. Most cash buyers have the right to inspect and evaluate the property, even though these aren’t necessary in a cash sale.

However, some cash buyers still prefer to do an inspection. Their intention isn’t nickel-and-diming you, but they just want to see what they’re paying for. But if a buyer tries to renegotiate your after an inspection, it should be a red flag because you’re selling the house as-is.

Source of Funds

Once a buyer makes a cash offer, be sure to verify that he/she has the funds. It’s important to understand that it isn’t just a matter of how much the buyer can pay but also where the funds are coming from.

In fact, this is one of the biggest reasons ethical buyers, whether it’s an individual or a ‘we buy houses’ company, don’t pay in cash, even if they’re dealing with a cash sale. At closing, they’ll use either a cashier’s check or direct deposit to transfer the funds.

Now, you may be wondering how much funds a cash buyer should have? The buyer must have enough funds in the bank to cover both the purchase price of your house and the closing costs. As the total cost can easily be hundreds of thousands of dollars, generally, experienced and reputable home buyers enter into a cash sale.

Ability to Take Out a Loan

Legitimate home buyers such as a reputable ‘we buy houses’ company complete cash sales on a regular basis. They do it as their full-time profession and typically have enough money to purchase houses. These companies also have a robust network of professionals and contractors that help them quickly renovate and sell the properties they purchase.

On the contrary, some buyers can try to low-ball you because either they don’t have the money or they cannot take out a loan from the bank. We aren’t saying that this is always a bad deal, but you should also ensure you aren’t getting a low offer just because it’s a cash sale. You can always get a fair price for the house when you choose the right buyer.

Once you list your home mentioning that ‘I want to sell my house quickly,’ cash offers start coming in almost immediately. But as the home is perhaps your biggest asset, be sure to consider these things before accepting an offer.

 

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Estefania Castaneda
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Extremely pleasant, attentive to all my needs always. It was a pleasure renting an apartment from Ken.
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Vichai Soysouvanh
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Can't say enough about Ken and his team. This was the most seamless sale I made. I didn't have to deal with all the... nonsense that comes with selling your home. They bought my house as is, I didn't have to declutter and pay a broker commission. All in all great experience, will do business again.read more
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Alfredo Garcia
Alfredo Garcia
03:20 17 Jun 21
Selling my property too Ken was the best thing I did. Although I was skeptical at first I soon found out how... professional he was. Even though my closing contract was not standard because of the pendemic situation. He followed through on time with all the contract terms as promised. Thank you Ken for your professionalism.Alfredo Gread more
Vishrut Patel
Vishrut Patel
23:27 19 May 21
Ken was referred to us by someone who had sold their home thru Ken last year. From the first meeting to the last... transaction, Ken and his team were professional, efficient, easy to work with, and above all.... caring. Each seller's situation is different, and Ken truly understands that. We were treated with respect each time.Since we were in a time crunch situation, selling our home with a cash offer from Ken was the best decision we could have made. We were perfectly okay with getting slightly less money for our home as compared to selling it via an agent. But if you consider the money saved on agent commissions (both buyers and sellers), closing costs, repair costs, attorney fees, and most important of all... time and headache, you can't beat the option to sell your home with a guaranteed cash offer from a reputable buyer like Ken.My wife and I were very pleased with our experience with Ken. If you are in the market to sell your home fast for a cash offer, I highly recommend giving Ken a call!Best of luck!Vishread more
Christopher Martino
Christopher Martino
14:19 10 Mar 21
Ken and his team were great. They were easy to work with, professional, and responsive. If you are thinking of selling... your home they offer a super easy process.read more
Chelsea Grant
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I am a travel nurse and stayed in a town home for 3 months... It was exactly as described and any issue that came about... was handled within a few hours - I would definitely recommend and I would definitely stay again!read more
Aaron Zachko
Aaron Zachko
12:41 14 Aug 20
Amazing experience! Ken was upfront, quick and got the deal done in no time. Having done a number of real estate... transactions this was by far the easiest and smoothest. I would unconditionally recommend him to anyone looking for an easy, quick and fair transaction.read more
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19:10 26 Mar 20
Ken is a very professional individual from start to finish. As promised, he gave me a fair deal on my one of my... properties that was in rough shape. He was knowledgeable and responsive to my requests and as promised we didn't need to waste time with inspections and appraisals and we closed quickly. He made it painless as possible by having his crew handle the clean up. This was truly a quick and easy process but a professional individual. Thanks Ken!read more
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