As a seller, it is understandable that you may be concerned about closing the sale within a specific time period. The house selling process is stressful as is, but the fear of the sale taking more time than anticipated makes it more cumbersome. The delays could result from a number of different factors, including complex repairs to hesitant buyers. Accepting a cash offer can help you move quickly, though. Here are some reasons why you should accept a cash offer when selling your house.
Effective closure rate
Needless to say, a cash offer is likely to consumer lesser time than an offer financed by mortgage. An underwritten mortgage can take up to two months, which is enough time for a competitive bidder to offer a better deal. Besides, lenders are free to turn down an application for loan if the buyer faces financial difficulties before the loan is finalized. Conversely, putting up cash nearly secures the deal to begin with and helps both parties save time.
Element of risk
Unlike the traditional offers, cash offers typically do not come with strings attached. This makes such offers more attractive for sellers. It makes sense for you to opt for a cash offer when faced with a multiple offer situation, even if the cash offer was slightly lower. As a seller, you will be able to close the deal much quicker and get paid earlier.
No appraisal necessary
When buyers choose to get a mortgage, the lender would likely want to determine the property’s worth. In this case, an appraisal is necessary to make sure the house is at least worth the amount requested by the buyer. However, lenders may choose not to proceed if the appraisal comes in low. Since a lender is not involved in a cash sale, an appraisal is not necessary.
Doing away with negotiations
Being pestered over cost reduction is not fun as a seller, nor is having a back-and-forth over repairs and associated fees. While traditional financing might mean you go back to the negotiation table with the buyer more than once, this would not be necessary with a cash sale. A cash offer will let you sell the house as is; in fact, you may even be able to pass on certain repair and inspection costs in some cases.
A cash offer is clearly a more appealing prospect when selling your house, so keep an eye out for buyers who can offer cash up front and help you close the deal more quickly and effectively. You can get in touch with me for any assistance or advice about buying or selling a home in Greater Boston. Feel free to call me or send me an email or get in touch on Facebook.
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