Are you considering selling a home for cash in the near future?
The process of selling a house tends to be complex in the modern property market. With so many parties involved including the buyer, real estate agent, lenders, escrow company, and title company, the operation is lengthy and takes up a lot of energy.
However, when you need to sell a house fast, a cash offer can be a boon. The process becomes much simpler with less paperwork and fewer people involved.
This article will give you a guide on how to sell a home for cash. Read on to learn more about selling houses for cash offers!
How Long Does Selling a Home for Cash Take?
One of the main benefits of selling a home for cash is how little time it takes. Once you have accepted an offer, it is possible to sell your house within a week.
This is the time it takes for the title and escrow companies to provide insurance, clear any liens, and prepare the paperwork. Follow this link to discover more about the whole process.
However, in the case of a financed purchase by the buyer, the delay will be longer. You will have to wait at least a month as the buyer has to take out a mortgage on the house they are buying.
How to Sell a Home for Cash
Even if selling a home for cash is a lot faster, there are still a few steps to take and paperwork to sign.
First off, you will have to accept your buyer’s offer. You will then have to complete a Purchase and Sale Agreement contract.
Afterward, you will want to verify that the buyer does have the funds to purchase the house. It will usually come in the form of a bank statement. You might also get a small percentage of the sales price upfront.
Title and Escrow Companies
Depending on your state, those companies will be chosen either by you or the buyer.
A title company has a few purposes: it ensures that there are no property liens that need taking care of, issues title insurance, and makes sure that ownership is transferred on closing day.
As for the escrow company, it manages all closing documents, facilitates the transfer of the funds, and takes care of the legal paperwork to record the sale.
Sometimes, the same company can perform all those duties.
Closing the Deal
There are still a couple of things to do before sealing the deal. Oftentimes, the buyer will want to have an inspection of the property. If so, it will be in the contract you initially signed.
Depending on the findings, the buyer may renegotiate the agreed-upon price. Once this final negotiation is over, it is time for closing.
Even in a cash sale, there is a fair amount of paperwork.
You will have to sign the closing instructions, HUD-1 settlement statement, certificate of title, a title deed, loan payoff statement, mechanics liens, bill of sale, statements of closing costs, and information.
Sell a Home Fast for Cash
Selling a home for cash is the best option when you want to sell fast. You can get the real estate deal done within a week or two.
Once you have a buyer, you will sign a contract after agreeing on the price. The title and escrow companies will prepare the paperwork, the last inspection and negotiation will take place, and you can finally close the deal.
Do you want more tips on selling a house? Check out our Real Estate articles right now to learn more about home improvement and property sales.