If you’re selling your house and find a buyer, they’ll likely either finance the home acquisition or pay cash for the property.
While mortgages continue to be the most popular financing option for home buyers, cash purchases are growing in popularity in today’s real estate market — with the National Association of Realtors (NAR) reporting that 27% of US house purchases were done in cash in July 2024.
Cash home purchases involve individuals or businesses who can afford to buy a house outright without the need for a mortgage or other type of financing. The money they need to achieve this can be obtained through investments, savings, or the sale of another asset.
In this blog post, we’ll look at some of the significant perks that all-cash offers provide to home sellers.
4 Reasons Why Home Sellers Are Drawn to Cash Bids
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Cash Offers Speed up the Home-Selling Process
In 2024, the average mortgage process takes 43 days from start to finish.
On the other hand, cash transactions typically close in one to two weeks, but they can happen as quickly as one to two days.
For example, if you’re a home seller looking for a fast, competitive cash offer for your property, HomeBuyers of Pittsburgh can present you with a fair cash offer within a few hours of contacting us. If you accept the offer, the sale can be completed in a few days.
The expedited closing process that cash home purchases offer makes them more appealing to home sellers who need money quickly for several reasons, including job relocation, impending foreclosure, or personal needs.
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Cash Offers Provide Sellers With a Higher Level of Certainty
When selling your house to a mortgage buyer, there’s always a chance that the sale won’t go through.
The buyer might, for instance, lose their job during the loan application process, have their credit score lowered, be discovered to have lied about their income, or experience other circumstances that would prevent them from being approved for a mortgage or provide them with less funding than they had hoped for.
Should this occur, the buyer might have to pull out of the home sale agreement, forcing you to start your home selling process from scratch.
Such risk is minimized with a cash home buyer because once they provide proof of funds, there is very little likelihood that the transaction will fail, boosting your confidence in them.
The certainty cash deals give is especially alluring to homeowners who have previously been frustrated by a sale falling through because of financing difficulties.
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Cash Offers Can Save Sellers Money
If you choose to sell your house the old-fashioned way, you might have to pay for professional listing photos, a real estate agent, some closing charges, and other expenses in addition to spending money to renovate your house to make it more appealing to prospective buyers.
When buying a home, cash buyers—especially those eager to close on a deal quickly—are frequently willing to accept it “as-is,” which spares you the cost of staging, repairs, inspections, etc.
Also, many cash home buying businesses, including HomeBuyers of Pittsburgh, pay all closing fees, which can add up to 9–10% of the home sale price, providing sellers with extra savings.
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Cash Offers Don’t Need an Appraisal
When a buyer applies for a mortgage to purchase a property, their lender will request an appraisal to determine if the house they’re thinking of buying is worth the amount being lent.
According to the NAR, it takes on average 11 days to have a home appraisal done. Once completed, an appraisal could present problems for the home seller and buyer.
For instance, a lender can only loan a buyer the appraised value of a home if an appraiser determines that it is worth less than what the buyer had offered.
A home buyer in such a scenario has three options: they can 1) walk away from the deal, 2) persuade the seller to accept a lower offer or 3) cover the difference between their offer and the appraised value out of pocket.
Due to the potential issues that an appraisal may generate, sellers are more drawn to cash buyers since they frequently don’t require an appraisal, and their home’s worth is determined by what a cash buyer is ready to pay for it, not a lender.
If everything you’ve read thus far has convinced you to sell your house for cash, that’s great!
Before you take action, however, we feel you should be aware of the primary disadvantage of selling your house to a cash buyer, which is that the amount you get for it may be substantially less than what you would receive on the market.
To cover the cost of repairs, many cash buyers usually offer less for homes. Keep in mind that they purchase houses “as is.”
Prior to making you an offer, they’ll inspect your property to ascertain the extent of the work required and how much they’re willing to spend on it. An offer more in line with market value is more likely to come through if your home is well-kept, in a nice neighborhood, and has few problems.
Having said that, in a cutthroat market, don’t be shocked if a cash buyer makes you an offer that is equal to, more than, or considerably higher than your asking price.
Receive a Cash Offer for Your Home Now!
Would you like to know how much cash you could get for your house if you’re selling it? Please contact HomeBuyers of Pittsburgh via phone at 412-444-8914 or email at info [@] urbanpgh.com.
As Pittsburgh’s top-rated professional home buyers, we buy houses for cash in any condition, and we can present you with a reasonable cash offer.
Once you contact HomeBuyers of Pittsburgh, we will come to your home within a few hours of your inquiry for a quick 20–30-minute evaluation to see what improvements or repairs would maximize the value of your property. Following this, we will make you a competitive cash offer.
If the offer is accepted, we can wrap up the house sale in less than 21 days or anytime that is most convenient for you. This will spare you from tedious, drawn-out traditional house selling processes and provide you with the funds you need to move into your new home without thinking about money.
Get in touch with HomeBuyers of Pittsburgh today, and we can get your cash house sale started immediately!
