Why selling your home for cash to a home buying company is the way to go.
If you wish to sell your house in Southern California, you have possibly been contemplating what your options are. Should you hire a real estate agent? Should you sell by owner? Or would it be prudent to sell it to a home buying company?
The first two options will need you to get your home ready, including staging, making repairs, adding curb appeal, cleaning, and decluttering before putting it on the market. Worse still, once it’s on the market, you have no way of knowing when it will sell. But even when that day comes, remember you will have to pay agent commissions.
A better option is usually to sell your house to a local Southern California home buyer and avoid the expenses and hassles associated with listing a house.
Read on to learn more about selling your house for cash to a home buying company.
Get a chance to sell your house as-is.
Home buying companies buy houses in as-is condition. In other words, you don’t have to worry about doing costly repair work before selling your house to a home buying company. Below are some examples of repairs that house buying companies won’t shy away from:
- Fire damage
- Water damage
- Leaky roof
- Mold
- Termite damage
- Foundation problems
- Condemned houses
- Unfinished construction
- Ugly houses
- Vacant houses
- Distressed properties
You will agree, repairs alone can be time-consuming and costly to make. Therefore, if you are in a hurry to dispose of your Southern California home and don’t have the funds to make the necessary renovations and repairs, then working with a home buyer may be right for you.
House buying companies don’t charge fees.
A notable advantage of dealing with a home buying company is that they don’t charge realtor commissions or fees. The same cannot be said about real estate agents.
The cost of selling with an agent
If you are not conversant with how much agents charge for their real estate services, we explain. For instance, if you were to engage a listing agent, they would probably charge you 3% of the house’s final sale price. If the buyer also was to engage the services of a real estate agent to act on their behalf, you are looking at paying another 3% to the buyer’s agent.
Therefore, in total, you are looking at paying 6% in commission when you officially dispose of your house. To get some more perspective, if your home is worth $600,000, that will equate to a commission of $36,000!
The cost of selling by owner
What if you sell the house by owner instead? Is it possible to save on agent fees? Yes and no. There are a few advantages of selling a home by yourself, including saving significantly on the costs of employing a listing agent.
The downside, however, would be, if the buyer uses an agent, you will still pay the 3% fee or commission. Remember, your goal in selling the house by yourself was to avoid such unnecessary costs.
Still unsure about selling your house to a home buying company? Let’s go over some further details to help you decide.
Home buying companies move quickly.
Another benefit of selling your home to a home buying company in Southern California is that they close quickly. Usually, they can make you a cash offer on your house within a day and close in as little as one week. Unlike conventional buyers, they can close the deal on your own timeline or at your convenience. This could be helpful if you wish to sell fast for reasons like:
- You are in pre-foreclosure
- You are in forbearance
- You have landed a new job in another city and need to move quickly
- You are having difficulties paying your mortgage payment
- Your listing has gone stagnant
- You have put an offer on another property and need to sell to close
- You are about to file for bankruptcy
Difference between selling a home for cash vs. mortgages
Is there a difference between selling a home for cash vs. a mortgage? Technically, whether a buyer uses bank financing or pays in cash, the seller still gets paid. However, we are sure you familiar with the saying Cash is King? When it comes to selling a home, this saying certainly comes in handy.
If you have ever tried to apply for a home loan, you appreciate that it can be a daunting process. The bank must conduct some home inspections and appraisals and do underwriting before approving the loan. As you might be aware, this takes time. It may probably end up taking around 30-60 days for a person using bank financing to close on a house.
When you engage a cash home buying company, you can bypass quite a few steps in the process because they have ready cash to buy your house. Even better, the risk is lower because the home buying company isn’t subject to the loan approval process.
Final takeaway
Whether you like the fact that you don’t have to pay agent fees or the possibility of selling your home in as-is condition, or that you can sell your home fast — partnering with a home buying company like Blue Hearth is a practical way to sell your Southern California property.
Basically, at Blue Hearth, we will help you skip the documentation and errands associated with the traditional real estate process. We have the cash to purchase your home as soon as you are ready. You don’t have to wait for weeks or months to get this critical transaction off your back.
Call us today if you wish to sell your house at the highest cash price offer. We are always ready and happy to talk.