7 Tips for Selling Your House for Cash to a House Buying Company
You know that old saying "why would you go to a Chevy Dealership to talk about Fords"? If you don’t, let me explain it. People will often go to a company and ask about their competitors as if the competitor is the one who built the product. This can often happen in real estate. You will talk to an agent and they will tell you all of these myths about house buying companies. And why do they do this? So that you will give them your business. But this post is coming from the mouth of a house buying company. We are a cash buyer company who will buy your house within 7 days. This process is an extremely quick and efficient operation that takes very specific steps. For this process to move smoothly, here are seven tips that will make your journey an easier transition.
1. Know Your Home’s Value
There are multiple different sites that will give you the value of the property you own. This is a great site that will give you a quick breakdown of your home’s value. Now, this is the key to selling your house for cash to a house buying company. When you start to research your home’s value, you will notice that multiple sites will give you different values for what your property is worth. This can give you a good range for the home’s value. A house buying company is going to offer you something on the lower spectrum of the range you discovered. This isn’t because we are just cheapskates, but because most of the time, we are buying as is.
2. As is Means as is
I cannot tell you how many times I have gotten a phone call from someone who is just trying to get rid of their pack rat grandmother’s house that she lived in for over 50 years. The person calling is usually saying that they just inherited the home and don’t know what to do with it. This is the ideal situation to illustrate as is. The seller and I will go and take a look at the home. We will open the door to mice scurrying out, leftover food that has been there for ages, and stacks of junk that for some odd reason, grandma wanted to keep. This is an everyday occurrence for my team. We truly mean as is when we say it. You don’t have to repaint, fix plumbing, or install new carpet. We can take care of it for you. Our goal at Friendly Home Buyer is to make it a win-win situation. You get rid of the home quickly (remember, we can get you cash within 7 days) and we get a home for our business.
3. The Money Actually Does Make Sense
A real estate agent is going to tell you that it just doesn’t make sense to sell to a house buying company because you are going to lose out on the money. But in all reality, there is a major chance that you make almost as much as you would have made with going through a real estate agent. The key to this is to track where all of the money is going when selling your home.
- First off, time is of the essence. If you sell your house to a house buying company, you don’t have to keep paying your mortgage while you are selling it. Through an agent, it could take months or even years to sell your home. This means you are going to just keep making payments on this home.
- Secondly, repairs, maintenance and curb appeal all cost money. Are you going to be throwing an extra $5,000 to $10,000 on repairs and replacements in your home? There is a major chance you will need to in order to sell it.
- Last but not least, what are you paying the mortgage company, the real estate agent, the closing costs, the extra hidden fees, etc…? These all end up piling up and the home that you listed for $300,000 ends up really only making you $250,000.
That is why selling to a house buying company makes sense. You don’t have to go through all of that hustle just to get paid almost the exact same amount of money.
4. Not all house buying companies are made equal
Okay, so there are multiple different house buying companies and there are some bad apples out there. This is why I think that house buying companies get a bad rep. Some of the companies will target people who they can take advantage of. No, that is not us! Like I said earlier, we want a win-win situation for both the buyer and the seller. If it doesn’t make sense to us for you, we will tell you.
5. Time is of the essence
If you are looking to get rid of a home quickly, then a house buying company is the best option for sure. Most people who are not in a hurry don’t need a house buying company (of course, we will take them though). This all returns back to making it a win-win situation. It is similar to selling a car. You can sell the car yourself, it just requires patience. But, if you are in a rush, you can go and trade in the car to a dealership. The dealer is going to give you less than the free market would, but you get rid of it quicker and with much less hassle. This is how a house buying company works in comparison to selling your house through an agent. A house buying company is like the dealership and selling your car on your own is like using a real estate agent to sell. It all depends on your time frame.
6. Keep your money
Paying up front is something that scam artists will ask you to do. Don’t ever pay anything up front, even if it feels legitimate. There are people out there who will claim to be real estate investors, ask for an “application fee”, then take your money just to never be heard from again. Cash buyers don’t need you to apply for anything. They should take care of the whole process. If they are requesting things that they say will require money, then beware.
7. Sell once you trust the company
Trust is the key to our company. We don’t like to buy a house if the person feels like they are getting the short end of the stick. We have seen it way too many times when a company takes advantage of someone. Trust me, that just isn’t our style at Friendly Home Buyer. We work hard to make sure everyone is happy with the process. So go ahead and fill out the form below to start your new journey today.