Traditionally, the home selling process involves four key players: a seller, a real estate agent, a buyer, and a lender. This process tends to take a lot of time, cost a lot of money, and involve a lot of intricate details. Thankfully, there are a few ways to simplify this process. One way is to sell your home for cash.
The Buyers
The first question that comes to mind when considering a cash home sale is who are the buyers? Most people don’t have hundreds of thousands of dollars sitting around to be used on a home purchase. So who does? Well, in a conventional sale you might end up with a cash offer from a traditional buyer. These people are generally coming out on the tail end of an extremely lucrative sale themselves. However, these types of cash buyers are more an exception than the rule. Most of the people who can afford to purchase a home for cash are real estate investors such as house flippers or home buying companies.
The Funding
Because most buyers don’t have a lot of cash sitting around they rely on a lender to supply their funding. This model of financing is common and generally works well, but it isn’t for everyone. Waiting on the loan to go through usually adds around six weeks to an already lengthy process. When you don’t have that kind of time, finding a cash buyer will significantly hasten the process.
The Closing Process
Closing with a cash buyer will differ depending on the type of sale you decide to go with. If you accept a cash offer from a traditional buyer in a conventional sale, the closing process will be much the same. You will close at a title company and you will typically cover many of the closing costs and all of the real estate agent fees from the proceeds of the sale. If you choose to sell your home to a home buying company you won’t have to pay a penny in either closing costs or realtor commissions, saving you a whopping 8-10% off the sale price.
A cash sale is just that: a home sale where the buyer pays cash for the property, rather than taking out a loan. If you want to simplify and shorten the home selling process, selling your home for cash is one of the best ways to do that. Of course, there is no easier way than to sell to a home buying company!
If you have additional questions about how the process works, click here to learn more about Forrest Buys Houses. You could be well on your way to closing on your home in as little as a week!