In a traditional home sale, you aren’t selling direct to buyer. This means you’re selling to a buyer who needs to be backed by a mortgage loan in order to purchase the house. While there are merits to this option, you can also encounter many problems.
It Takes Longer
Since you need to wait for your buyer to get approved for their mortgage loan, it can take much longer to go through the sale process. Sometimes it can take weeks or even months before your buyer gets approval. You also need to wait for an appraisal and inspection to be completed. In a cash sale, you don’t need to wait. Your buyer has all the money upfront and you can begin the sale process much sooner. Cash sales also take less than 30 days to complete. It’s a more streamlined process and you don’t need to stress for months about selling your home.
It Costs More
When not selling direct to buyer, you will typically work with a real estate agent to market and sell your home while your buyer will also work with an agent. At the end of the sale, you will have to pay closing costs. While there are some costs required no matter what, such as fees and taxes, the biggest expense is real estate agent commissions. As the seller, you are responsible for paying both commissions and this will be about 6% of the sale price. You don’t need to worry about this expense in a cash sale since real estate agents are typically not involved.
It Requires More Effort
One of the hardest parts of a traditional sale is getting your home ready and attracting a buyer. Most people will renovate their homes to increase their value and so more buyers will be interested in the home. However, most cash buyers will purchase homes as is so you don’t even need to make any changes. You can sell your home without needing to sink time, money, and effort into repairing and renovating your home. Marketing is also more complicated when you aren’t selling direct to buyer. You need to stage your home, take photos, and open your home up for viewings and open houses. Cash buyers don’t require this kind of effort, so you can live uninterrupted until the sale is complete.
When you don’t sell direct to buyer, you end up with a longer timeline, higher costs, and more work. Selling to a cash buyer removes a lot of the stress and makes things easier. A home buying company is an excellent cash buyer.
Living Way Properties buys homes in many different situations. Click here to learn more and get a fast cash offer.