Have you noticed a surge in TV financial analysts talking about their predictions for the housing market?
Though no one can claim they are an oracle, these predictions have a common trend. The housing market, so buoyant until recently, looks like it could soon head for a downturn.
So if you want to sell your house, you'll need to consider different options. One choice you may not have considered is an all-cash closing offer.
Here are four things to know about all cash offers in real estate and why it might be the best option for you in this uncertain market.
1. Cash Offers Are Surprisingly Common
It's tempting to believe that most real estate transactions start with a mortgage application.
That's true for the average person, as few of us have the capital to buy our dream family home outright.
Nevertheless, companies like ourselves are here to speed up your house sale with a cash offer replacing the traditional closing method.
Nationally, analysts estimate that three in ten real estate transactions across the United States involve some form of cash offer as part of the sale.
That means you don't need to worry about doing something unorthodox. On the contrary, companies like ours have ample experience ensuring sellers have a smooth and pleasant house-selling experience.
2. A Cash Offer is Relatively Fast
The traditional view of real estate is that it is a slow, cumbersome process often beset with problems or delays. But cash offers buck that trend.
They are quick and straightforward. That's because cash offers bypass the mortgage application and underwriting, sometimes taking weeks or months to resolve.
Cash offers also make the appraisals far more straightforward as they don't need to involve a separate third party: a lender.
3. Cash Offers Represent Lower Risk House Sales
All real estate transactions offer some degree of risk. But a cash offer allows sellers to reduce some risks when moving home.
When buyers finance via a mortgage, you have the possibility throughout the process of the lender withdrawing their offer.
That means your house sale could fall through even at the eleventh hour, leaving you with potential costs you can't recoup, such as storage and removal fees.
4. There's Still Some Paperwork When Handling a Cash Offer
Cash offers might be more straightforward, but that doesn't mean they are free of all the details needed when buying or selling a home.
There is still some essential paperwork that will need to be completed by both parties. For example, you might need zoning paperwork depending on where you live. You'll undoubtedly need title documents.
The buyer always wants a home inspection, even when making a cash offer.
Is An All Cash Offer in Real Estate Right for You?
Don't let worries or predictions about the housing market stop you from selling your house. An all cash offer in real estate might be a smart choice for your next move.
If you live in Phoenix, there's good news. Our team is ready and waiting to buy your house for cash. Head here to discover our simple process to help you make your next housing move.