What Is a Cash Offer in Real Estate, and Should You Accept One?
What Is A Cash Offer in Real Estate?
If you’ve decided to put your house up for sale, then you likely have many potential buyers looking to purchase it. When a buyer decides that they would like to do so, they submit an offer. This offer will include specific information regarding their intentions, including the purchase price and how they plan on paying for the home.
In most situations, many offers will state that the buyer will be using a mortgage loan, and you’ll be provided with the lender’s information. However, sometimes you may receive a buyer that wants to pay in all cash. This means that the buyer pays you directly out of their bank account to purchase your home. Moreover, they don’t rely on a lender to fund the purchase, allowing them to close faster than most. At Flash Realty Solutions, our cash offers on homes allow you to close on your schedule and your terms. Besides, we do not require an option period, inspection, or appraisal, otherwise required by a bank.
What Are The Benefits?
As the seller of a home, an all-cash offer can be intriguing for many different reasons. First, this means that you don’t have to worry about a potential buyer not getting officially approved for a mortgage loan. If a buyer is using a mortgage lender to finance a home’s purchase, they may decline the loan up until the date of closing.
The second major benefit is that the sale process moves much faster. There’s no waiting on underwriting and mortgage lenders. Rather, you’ll just need to wait on the title policy and the insurance.
In some cases, sales with a cash offers can be closed in a few days compared to a few months. This can be very enticing for any home seller who is looking to get the equity out of their home quickly.
Should I Accept A Cash Offer For My House?
One of the first questions that will come to your mind when you receive a cash offer for a house is, “Should I accept a cash offer for my house?” The answer to this question really depends on your ultimate goal. Let’s say that I just purchased a new home and I’m attempting to sell my old one. It costs me money each month it sits on the market. In this case, I would likely accept a cash offer for my house so that I can pay off that mortgage quickly.
I may also choose to accept a cash offer in exchange for a less stressful sales process. Traditionally, a lender requires extra time for underwriting, and they want to have an appraisal performed. The appraisal usually takes a week or two until it’s fully completed. A cash buyer doesn’t typically require an appraisal as part of their contingency. This means that the sale process can be done with minimal effort on my part because I don’t have to worry about the appraisal results coming back low.
Get a Cash Offer from Flash Realty Solutions
If you’re convinced that a cash offer is just what you need for your home, you can get a no-obligation quote from Flash Realty Solutions. In fact, they typically close their purchases within seven business days.