Cash In Hand: 5 Reasons To Accept A Cash Offer For Your Home Listing

Selling your home can be a stressful task. From waiting for a buyer to hosting open houses, to contemplating offers, there are many things to take into consideration before finally saying yes. There are many factors to take into consideration when choosing the right offer from getting the most for your home to accepting a decent offer. With the many offers that you get, you may get a cash offer as well.

A cash offer for your home listing is an offer for the home to be bought in cash, not with a mortgage loan. These are usually either investors or those who have been saving up to find the best deal on a home. Either way, there are many reasons why you will want to accept a cash offer for your home and today, we will review 5 of them.

No Financial Contingencies

In order to get a mortgage loan for a home or property,  a buyer will have to go through a lengthy process to ensure that they are able to afford the home and that the home that is being sold is worth what the lender is willing to loan out. This is where many potential buyers that you will deal with fall through as they find out that they are not approved for the loan that they are seeking to get on your home. This is where accepting a cash offer can be very beneficial to you.

If you are pressed for time or simply do not want to deal with the back and forth of a seller, appraisals, and the buyer’s lender, you can accept a cash offer to make things much easier. Cash buyers have the cash in hand, ready to go, and will not require any of the financial contingencies associated with a mortgage loan.

No Appraisal Disappointments

When listing your home for sale, you will have buyers hiring appraisers to visit your home and appraise the worth of the property. This is one of the required steps of purchasing a home using a mortgage lender. The mortgage company will want you to have the property appraised to determine if the asking price is in line with the appraised value. If the appraised value does not meet the lender’s criteria, they can deny the loan which ultimately forces the buyer to have to back out of the sale.

With a cash offer, buyers can choose to have the home appraised or not. Most buyers with cash in hand usually have a good eye for the value of a house and will offer you what they believe the home is worth. This can mean a quicker selling process as you will not have to worry about dealing with multiple appraisals, home visits, and loan cancellations.

Quicker Closing Times

Closing can stretch out for over a month with conventional loan buyers and can even give the buyer time to back out after letting the idea of buying a home sink in. The closing time is one of the most stressful times of selling a home as many get their hopes up of selling their home and looking forward to moving into a new home, only to have the buyer back out at the last minute.

This is one of the biggest advantages of accepting a cash offer on your home as cash buyers have usually made up their mind and are ready to purchase. Many of the cash offers that you may receive are going to be from investors who are looking to close on the house as quickly as possible to start to renovate and flip the home for maximum profit. You can expect about half of the time that you would expect from a conventional loan closing process.

More Serious Buyers

Like in any market, cash is king. Those who have either saved up the money to purchase their next home or even those who are buying the property as an investment or flip usually are more serious about where their money is spent rather than those who are taking a 15 or 30 year mortgage loan out on the property. Cash buyers will have to have the cash amount for the home, appraisal costs, and closing costs associated with the purchase in order to make a firm offer. This alone will ensure that your cash buyers are more likely to stick through the entire process.

These types of buyers have usually done more research on your property and know exactly how much it is worth, what they are willing to pay, and how much they will need to put into it if they plan of making a profit from reselling your home. While many cash buyers are more serious, they are still subject to walking away if you choose not to accept the first offer that they give you for your home.

Overall Easier Process

The reason for selling your home can vary from job relocation, family emergency, or even retirement. Many of the reasons will require you to sell your home as quickly as possible, even if it means taking less than your original asking price of the home. Accepting a cash offer can streamline the process and make it less stressful for you and your family to allow you to focus on your next home. As we have discussed above, each of these reasons can make the process much quicker and easier than offers from those using a regular mortgage loan.

Wrapping It Up

Accepting a cash offer for your home can be an overall simpler process for you especially if you are in a time crunch or need the money now. While it may be a lower offer, it may be worth your time to accept the offer and move on to the next chapter of your life. There are many assets that you can use to help find cash buyers such as Florida Cash Home Buyers that assist you with selling your home more quickly to make the process even easier.

Join our newsletter

Get financial tips from a licensed professional directly to your inbox.

Powered by ConvertKit

Speak Your Mind

*