How to Choose a Cash Buyer for Your Home

There are many cash home buyers today, but not all of them are created equal. Hence, you have to do your due diligence to ensure that you end up with a fair and honest one.

Types of Cash Home Buyers

First off, you will probably find three types of cash buyers - professional,individual investors, and scammers who claim to be 'cash buyers' but sell your information to another party. When someone claims to be a cash buyer, first find out if they have their own funds, get loans via mortgage, or sell your details to other people. Don't hesitate to ask for proof of funds. No legit buyer will mind.

Code of Practice

If you are selling to a company, ask if they are a member of the National Association of Property Buyers and/or The Property Ombudsman Scheme (TPO). Members of these organizations are bound by a strict code of practice, and one of their benefits is, they cannot lower the price at the last minute unless absolutely necessary.

Fees & Pricing of Properties

Know if the cash buyer collects for their services. They shouldn't. Also inquire how much they will offer for your property. You need to know this from the get-go.

Valuation Process

Another important part of choosing a cash home buyer is knowing the valuation process they use. A 'desktop' valuation involves web research and chats, as well as calls with local agents. A personal valuation means the property will be actually be visited by an appraiser (don't forget to ask who pays for the appraisal). Sometimes, companies will do both. If you're unsure, ask them to show show you any contracts and have it checked by a lawyer.

Guarantee

This is crucial. Ask the cash buyer if the offer you have received is guaranteed or if there is a change they would change it later. Know what circumstances might lead to that possibility.

Timeframe

Ask the buyer how long it will take them to conclude the transaction. Generally, this shouldn't take more than 4-6 weeks. If it takes longer, find another potential buyer. Learn how to sell my house fast to Louisville House Buyers or visit https://www.louisvillehousebuyers.com for more details.

Costs

Be clear about what you will pay and what they will shoulder. For instance, if you have an agent, do you still need to pay that agent? Are they going to pay for your legal fees? If they do offer to cover your legal fees, can you decide which lawyer to work with?

Tie-In Clause

See if there's a tie-in clause. Sometimes, cash buyers will make you to sign this clause, which means you are prohibited from offering your property to other prospective buyers within the period it covers.

Pull Outs

Finally, let them explain what happens should they back out of the deal for any reason. Are they going to pay you for your costs or get you another cash buyer? And if you decide not to push through with the sale, are there fees you need to pay? In most cases, you will be allowed to pull out at no cost to you if this is done before contracts are finalized. Continue reading more on this here: https://www.huffingtonpost.com/zak-mustapha/five-tips-to-sell-your-ho_b_11693042.html.