Selling your house has, for ages, been a fairly arduous process. Unlike selling furniture or jewelry, it isn’t a simple transaction that only involves the buyer and the seller. Real estate transactions are composed of a variety of steps and a variety of people who play different roles. If you’ve never sold a house before, where do you even start? Nowadays, when we’re using the internet for almost anything we do, it’s much easier to come across options outside of the traditional process. “We Buy Houses For Cash” sites are popping up left and right, and they seem like a pretty good deal. However, if you’ve never done much digging on what they are, there’s quite a bit to learn. Here are some insights.
Who Are These Buyers?
Usually, the people who fall under the category of cash buyers consist of three groups: house flippers, property investors, and iBuyers. While these different cash buyers generally have the same goal of making a profit in mind, they have a different method of reaching that goal. House flippers are on the lookout for “lower value” homes that require a lot of fixing up while other investors are more interested in finding homes that don’t require much work. iBuyers, who are newer to the game, use technology to locate homes, purchase them quickly, and then sell them using their digital platform. When selling your home to any of these buyers, you’re bypassing the entire listing to closing process.
What are the Risks?
Arguably the biggest risk that comes with selling your house to a cash buyer is selling for a lower price than what you could make if you went with a Realtor. Depending on the condition of your home, these cash buyers will offer between 65%-94% of what your home is worth based on a home value estimator. While that might seem a pretty good deal, remember that even 6% of our home’s value could be over $10,000. Additionally, a top Realtor can sell your home quickly and also for higher than what it’s valued at.
Who Usually Sells for Cash?
Considering the high risk of selling for less than what your home is worth, you might be wondering who does go this route? Selling for cash and bypassing the lengthy, more traditional process does come with several benefits and is an easy way out for people who don’t necessarily have the time to find a qualified buyer via a Realtor. First-time home sellers might also see this option available and jump on the opportunity.
Why You Should Weigh Your Options
At the end of the day, you’re more likely to sell your house for its true value, if not more, if you hire a real estate agent. Selling your house for cash is an enticing option, especially if your house requires a lot of repairs or if you are pinched for time, but it isn’t the only option if these are your pressing issues. Before you make any decision regarding your home’s sale, chat with a top Realtor in your area to see what they can offer you in place of having to go the “cash buyers” route. And, if you do make the decision to sell your house to one of these sites, do your research to find companies that are going to give you the best offer. At the end of the day it’s your house, and therefore your decision!