Just last year, over thirty-four percent of home purchases across the United States were cash transactions.
This number has continued to rise over the last ten years and is at its highest percentage of all-time.
Cash offers are becoming more appealing to sellers because they provide a quicker and less risky closing process. Real estate sales completed entirely with cash offer major benefits for home sellers. Anyone dealing with probate, foreclosure, storm damage, a desperate need for cash or hoping to move quickly, there are advantages to cash offers. For those who need to sell their current house before closing on a new house, the cash buying process provides an especially rapid turnaround. Cash buying companies have all the funds necessary to purchase the house. There is no haggling and no stream of payments. The home seller doesn’t actually receive a briefcase full of hundred dollar bills, but the money needed to buy the home is available in a liquid account. That account equates to immediate withdrawals and transfers. There is no mortgage loan for any portion of the sale, lessening the risk of the deal falling through. Plus, the seller avoids the need for an appraisal and home inspection. All-cash offers are often preferable to homeowners because there are none of the hassles of dealing with lender underwriting. This eliminates the requirements of repairs, problems with code violations and cost of closing fees. There is no real estate agent demanding a percentage. There is also greater control over the closing timeline. Most cash buyers deliver an offer within twenty-four hours and guarantee completion of closing within two weeks.