I want to understand the real difference between selling my house to a cash buyer and putting it up for sale the usual way.
I have to sell my house soon since I’m moving to another city, and I’d rather avoid repairs, showings, or paying agent fees. Cash buyers seem convenient because they buy houses as-is and move quickly, but I’m not sure how much money I’d lose compared to a regular sale.
Did it seem like a fair deal, or did you end up losing more money than you thought you would?
How much money do you really give up by selling to a cash home buyer instead of listing?
byu/miked0331 inRealEstate
Posted by miked0331
5 Comments
Really depends on your market and the condition of your house tbh. I’ve seen people lose anywhere from 10-25% compared to market value, but that’s before you factor in agent fees, repairs, and carrying costs while it sits on the market
If your house needs work and you’re in a hurry, sometimes that “loss” isn’t actually that bad when you do the math
Doesn’t HURT to just to ask cash buyers but also some realtors are good at finding cash buyers in their network. Don’t know until you ask
Edit. Missed a word
Assume you mean the we pay cash for houses investors vs selling at market rate. Probably 20% to 50%. All depends on the numbers. Consult a realtor to know market values and costs. Do the math.
Most of these investors are targeting 20-30%. This Leaves room for fees, carrying costs, labor and materials, and profit.
Otherwise, on the open market, you’ll be trying to keep ~93-95% of market value.
It really depends on the cash buyer. Are you selling an “as-is” house that needs work and trying to cash out quickly to a “we buy houses” operator? Or are you selling a market-ready house and have found a cash buyer? Those “we buy houses” people are usually going to low ball you to death. In the latter circumstance you won’t necessarily lose much – if anything- and gain the advantage of the deal not being dependent on mortgage approval. Very little red tape.