When you want to sell your home fast, a cash sale might be the answer. Let’s look at how selling a house for cash works, who buys houses for cash, and if it’s the right choice for you.
What Does Selling a House for Cash Mean?
Selling a house for cash means someone buys your home by paying all the money upfront. They don’t need a bank loan. The buyer has all the money ready to pay you.
Cash buyers include:
- People who invest in houses
- Companies that buy houses
- People who saved up enough money to buy a house without a loan
Why People Sell Their Houses for Cash
Many homeowners choose to sell for cash because it’s fast and easy. Here are some reasons why:
You Need to Sell Fast
Maybe you need to move quickly for a new job. Or you have money problems. Cash sales can close in about 1-2 weeks. Regular home sales with bank loans take about 6-7 weeks.
Your House Needs Repairs
Does your house need a new roof? Are there broken things inside? Cash buyers often buy homes “as-is.” This means you don’t need to fix anything before selling.
You Want Less Stress
Selling a house the normal way means:
- Cleaning and fixing up your home
- Having many people walk through your house
- Waiting for a buyer to get loan approval
- Worrying the sale might fall through
A cash sale skips many of these steps.
You Are Going Through a Hard Time
Cash sales can help if you:
- Got divorced
- Lost a loved one
- Have money troubles
- Need to move fast
The Steps to Selling Your House for Cash
Let’s look at the steps to selling your house for cash:
Step 1: Find Out What Your House is Worth
Before you talk to cash buyers, know what your house is worth. You can:
- Ask a real estate agent
- Look at similar houses for sale in your area
- Get a home appraisal
This helps you know if cash offers are fair.
Step 2: Find a Cash Buyer
There are many ways to find cash buyers:
- Look for “We Buy Houses” signs in your area
- Search online for cash home buyers
- Ask a real estate agent who knows investors
- Try online companies that buy houses (called iBuyers)
Step 3: Get and Review Cash Offers
After a cash buyer looks at your house, they will make an offer. Remember these things:
- Cash offers are often lower than market price
- There is no need to wait for bank approval
- Most cash buyers won’t ask you to make repairs
- Good cash buyers will show proof they have the money
Step 4: Check the Cash Buyer is Real
Before you agree to sell:
- Ask the buyer for proof they have the money
- Check online reviews of the company
- Make sure everything is in writing
- Look up the company with the Better Business Bureau
Step 5: Complete a Home Inspection
Even with cash sales, buyers often want to check the house. They may:
- Walk through the home
- Take pictures
- Have a home inspector look at it
This helps them know what repairs they’ll need to make.
Step 6: Title Search
Before closing, a title company will check that:
- You truly own the house
- There are no liens (money owed) on the house
- You can legally sell the home
Step 7: Sign Papers and Close the Sale
The last step is closing, where:
- You sign the papers to transfer the house
- The buyer gives you the payment
- You hand over the keys
This often happens at a title company office and can be done in as little as 7-10 days.
How Much Do Cash Buyers Pay?
Cash buyers usually offer less than what you might get in a normal home sale. Here’s what to know:
- Fix-and-flip investors may offer 70-80% of market value
- iBuyers might offer 85-95% of market value
- The better condition your house is in, the higher the offer might be
- Cash buyers need to make money when they resell your home
Remember, while the offer is lower, you save money on:
- Real estate agent fees (3-6% of sale price)
- Repairs and cleaning
- Closing costs
- Holding costs while waiting for a sale
Pros of Selling Your House for Cash
Fast Closing
Cash sales can close in 7-14 days. Regular sales take about 49 days on average.
No Repairs Needed
Most cash buyers purchase homes “as-is,” meaning you don’t need to fix anything.
No Home Staging
You don’t need to make your home look perfect for showings.
No Loan Problems
You don’t have to worry about the buyer’s loan being denied.
Less Paperwork
Cash sales have fewer forms to fill out.
Fewer Costs
Many cash buyers pay closing costs. You might not need to pay a real estate agent.
You Pick the Closing Date
Want to move next week? Or need a few months? Many cash buyers are flexible.
Cons of Selling Your House for Cash
Lower Sale Price
Cash offers are often 10-30% below market value.
Risk of Scams
Some “cash buyers” aren’t honest. Always check their reviews and get proof of funds.
Fewer Buyer Options
You won’t have multiple buyers competing to raise the price.
Do You Need a Real Estate Agent?
You don’t need an agent to sell your house for cash. But an agent can:
- Help you find trusted cash buyers
- Make sure you’re getting a fair offer
- Guide you through the paperwork
- Protect you from scams
Some agents have lists of investors who buy homes for cash.
Is Selling Your House for Cash Right for You?
Selling your house for cash might be right if:
- You need to sell quickly
- Your house needs lots of repairs
- You’re going through a hard time
- You want a simple, sure sale
Selling on the regular market might be better if:
- Getting the highest price is most important
- You have time to wait for the right buyer
- Your house is in great shape
Final Thoughts
Selling a house for cash can be a good choice when you need a quick, simple sale. While you may get less money, the speed and lack of stress might be worth it. Always check that the cash buyer is honest and has the money before you agree to sell.
If you’re thinking about selling your house for cash in Colorado, We Buy Colorado can help. We buy houses as-is, with no repairs needed, and can close on your timeline. Get in touch today to learn more about how we can make selling your house quick and easy.