Homeowners have many options when it comes to selling their properties, including hiring a real estate agent, selling to a cash buyer, and listing the property themselves on sites like Zillow and Redfin (a.k.a For Sale By Owner). If you need to sell your house fast, we have some good news for you. In recent years, a new generation of cash buyers have emerged. Unlike the local flippers trying to get that once-in-a-lifetime deal by putting lowball offers on distressed properties, these cash buyers compete in the white-hot real estate market with strong offers and a simplified selling process. Are you considering accepting a strong cash offer? Congratulations, you are almost halfway through the process already, read on to learn what to expect for the rest of the way on a cash transaction.
A typical process to sell your house to a cash buyer involves 3 simple phases: offer request, offer negotiation and closing. Right off the bat, it removes many of the steps that are outside of the seller’s control during a traditional transaction such as inspection, mortgage application, and mortgage underwriting. Less steps means less uncertainty, by removing above steps, the cash buyers are usually able to complete transactions with guaranteed closing on the day of the seller’s choice.
Offer Request
One of the biggest hurdles one has to clear when it comes to selling for cash is to find the right cash buyer who’s willing to put down a strong offer on the property. With many “We Buy Ugly Houses” flippers on the market, it often takes time to find the right value investor, which normally includes researching the local real estate markets to identify different types of cash buyers. We recommend submitting offer requests to as many cash buyers as possible to avoid leaving free money on the table, especially with buy-and-hold value investors. Sounds complicated? The team at BustOffer has put together a one-stop-shop solution to ensure your property gets the maximum exposure to over 100 local and national cash buyers. By submitting your property to BustOffer.com once, our algorithm automatically submits your property to all matching cash buyers and displays the number of potential offers with a click of a button. Submit your free, no-obligation offer request today.
Once the offer request is submitted to a cash buyer, the property is evaluated based on the information provided. The evaluation process differs from each buyer, large-scale national cash buyers often use an automated valuation model (AVM) to determine the offer price on the house sight unseen while other smaller buyers might request an onsite visit before putting out a firm price. After the evaluation, an initial offer will be sent back to the buyer within as little as 24 hours. With BustOffer’s one-click solution, we will present the buyer with all matching offers in one easy-to-compare format to identify the best offer. On average, our users see 3 offers on their property within 2 days of submission, with properties in select markets receiving many more.
Offer Negotiation
With the way cash buyers evaluate their offer price, there is usually little room for negotiation, especially if the offer comes from a large-scale national cash buyer. However, if the seller believes the offer price failed to consider an important aspect of your property’s value, there is normally an escalation path to submit additional information to the buyer for re-evaluation. Once you are satisfied with the offer terms, you choose a close date in as close as 7 days and put your signature on the contract. That’s it! No realtor’s commission to be paid out, no repairs to be done, and most importantly, no stressful waiting for months for the buyer to secure financing.
Closing
At this point you are almost at the finish line. With cash buyers, the closing process is greatly simplified. The buyer will do its due diligence to ensure the accuracy of submitted information, and a title company will take over the actual transaction. On closing date, a notary will be present for contract signing, before the cash is deposited into the seller’s account via wire transfer on the same day. You’ve just sold your house in a matter of days, congrats!