Real estate market participants may have encountered “we buy homes for cash” signs or texts offering to do just that. While some of these companies may be legitimate, others have a history of scamming homeowners or otherwise misleading individuals; it’s crucial that real estate professionals can recognize which is which.
We Buy Homes For Cash real estate companies are usually owned by individuals who purchase properties to flip for profit or rent them out as rentals, either locally or nationally. Their investors typically advertise on social media, print advertisements, or the web – sometimes even targeting real estate agents themselves!
Cash home buying companies provide many advantages for homeowners: quick turnaround and closing in as little as one week are among them. In addition, we buy houses for cash companies usually offer less than traditional on-market sales due to need for repairs; and they usually charge a service fee similar to real estate agent commission.
However, local and national real estate agents typically take months to sell homes due to having to market properties to prospective buyers. On average, New York sellers pay their real estate agent approximately 6% in commissions and fees per sale; which can quickly add up.
As many of these companies are unregulated, it’s crucial that you conduct proper due diligence prior to agreeing on any sales transaction. Furthermore, it would be prudent to work with a licensed real estate agent who can assist in screening potential investors as well as manage all paperwork properly.
One red flag to look out for when working with “we buy houses for cash” companies is their use of high-pressure sales tactics to pressure sellers into making an offer quickly, including using emotional triggers to urge them to act fast while quickly scheduling appointments through phone, text, and email. They may even claim that selling quickly will save on taxes or other financial obligations.
Express Homebuyers provides preliminary offers within seven minutes of visiting a property and final offers within seven days, while trusted local investors like Pro Homebuyer Solutions make all-cash offers within days that close within several weeks.
Consult a real estate attorney in your area to make sure all the required paperwork is completed properly and to find qualified buyers and avoid scams. They can also perform title searches to ensure there are no liens on your property and its ownership remains clear.