If you're trying to sell your house, odds are you don't want to sit around waiting too long. You have big plans and dreams, and those take both time and money!
It takes long enough just to get a bite on a home and receive a suitable offer. If the buyer is financing your home's purchase using a:
Or other similar loan programs
It can take a long time to close the deal. Conventionally financed home sales typically take at least thirty days.
On the other hand, when someone comes along with a cash offer for your property, you'll find that the process will go much faster.
Saying that it would make the process go much faster is an understatement. The closing time is more like lightning speed compared to deals that depend on financing.
Cash sales can close in as little as a few days if everything is coordinated perfectly.
Here's what you should now about cash offers for real estate and why it's a smart idea to accept them.
What Exactly Is a Cash Offer Anyway?
When you hear the words, cash offer, most people assume an offer involving actual cash in a briefcase. You know, like in the movies. As awesome as receiving a briefcase full of cold hard cash sounds, that's not exactly how cash offers work.
When someone gives you a cash offer, the sum of the purchase price will be paid in one of two ways when you close a deal:
Via cashiers check
Or an electronic/wire transfer
Either way, you'll still get the money, and you'll get it a lot faster than you could if the deal involved conventional financing and all of the red tape it comes with.
After the deal has closed and the money has been transferred, you can do whatever you want with it. So if you feel like withdrawing $100,000 and rolling around in it, get to it! (We don't recommend you do this though.)
Other Advantages of Accepting a Cash Offer for Your Home
There are more benefits to cash offers than speedy closing times. You'll also be free from other pesky details associated with conventional financing. Does your home have a few problems that you'd prefer not to have exposed by a home inspector?
Nothing ruins a deal on a residential property like failing a home inspection. Banks are a stingy bunch, and they like to have everything just so to justify the financing on a property.