In a state like Arizona, the level of cash for homes sales and businesses is growing expeditiously each month. Whether due to investor interest & activity or the rising level of new and returning residents, there is a large demand for cash for homes sales. The traditional market is unpredictable and time consuming; a seller never knows how long it will take their home to be sold. With time constraints, financial constraints, or other possible interferences, the traditional market does not work for every seller. This pulls forward further opportunities for those interested in selling homes for cash instead.
When looking into opportunities for how to sell a home, there are two big choices. Of course, the traditional market, or selling a home for cash.
Traditional Market Sales –
- Homes on the market are bought by homebuyers often with mortgages
- Process includes listing with an agent, staging the home + repairs to home, showings of the home every week or month, home appraisals, underwriting, and further financing
- Potential for a higher sale price, and more power to negotiate the price
- Slow, time consuming, with high potential for deals to fall or fail
- Seller must pay listing agent at least 5% commission, and buyer agent at least 2%
Cash for Homes Sales –
- Cash for homes are purchased by investors or individuals who have the funds ready
- Process includes quick offers in a couple days or less, fast closing within weeks, fewer repairs needed as property is often sold just as it is, and no possible financing contingencies
- Fast closing with an easy & simple process, less stress for the seller, no agent commission or fees, and a great option for homes in need of updates or maintenance
- Although properties are sold for less than what would be on the traditional market, properties can be sold as is
In Arizona, there are many common situations where having a cash sale may work best for the seller. Inherited or probate properties are a popular one, as families who have inherited homes do not want to deal with the maintenance, showing, or listing process. The same goes for those who have vacation homes or snowbird properties in Arizona. The process of listing on the market can take up an extensive amount of time, and when a property needs a heavy amount of maintenance, it can take even longer with more expenses to get a home on the market and sell it. The cash for homes option removes the need for repairs and excess expenses completely, allowing the home to be sold as is. When a property is in foreclosure or pre-foreclosure, a solution is needed fast. Cash for homes allows for a quick process that moves faster than any home being put on the market. Similar goes for those dealing with divorce, or relocation. We can get your home assessed and closed quicker than any market closing.
Arizona homes that reside in a desert environment are a great choice for cash buyers as they often have less landscaping costs and upkeep. Most homes with desert landscape and environment hold lower utility costs, as much desert botany is drought tolerant and often, trees are placed on the property where the sun is blocked out during the intense months. Homes that belong to an HOA are also great for cash buyers due to the managed maintenance and standards that most HOAs apply. Most homes that reside within an HOA contain a better structure whether in how they are physically built, upkeep of landscape, and often a predictable environment. Arizona also contains many neighborhoods with older homes. For example, many of the homes in Sun City were built during the 1960s with the original structures remaining. Not limited to the West Valley, the whole state of Arizona boasts many neighborhoods of older homes, even built pre-1960. Older homes are great for cash buyers as they often need “desirable” repairs for cash buyers, while residing in desired, high-sought out locations.
When looking at the pros and cons of cash buying, there is a handful of each. For starters, the main pro of cash buyers is the speed and certainty of the sale. The seller knows that once they agree to it, their home is going to be sold for cash. The close will happen within days or weeks, without rising interest rates or waiting for further approvals or appraisals. The sale can happen without staging the home, extensive cleaning, and no showing the home to strangers is necessary. Absolutely no commissions are taken; whatever the seller agrees for a final price, is what they get. For older homes, distressed homes, sellers looking for a fast sale, or those tight on time, this is the perfect opportunity. The cons of cash buying are as expected. The biggest one, lower cash offers, can be a blow to some looking to make more for their property. Offers reside on average, 8-15% lower than market value, which is the compensation for the quick sale and convenience of cash buying. There is much less competition with home bids, unless the seller asks multiple cash buyers for offers or bids. Finally, when looking to sell your home for cash, expect a decent amount of work to do in regard to choosing a reputable cash buyer. That is, if you don’t choose Quick Cash Homes.
Deciding if a cash sale is right means putting the convenience and quickness of a cash sale versus listing on the market for max. price to the test. Cash sales are truly a wonderful option when faced with an urgent move, an inherited home, or when your home needs a great deal of maintenance. Being able to sell your property as-is continues to draw in an extreme number of sellers. In a market that speed is never assured, selling cash is a fantastic option. If a seller wants to make back the most maximum profit available, listing on the market is your best choice. That is, if one can take the unpredictable amount of time the listing takes.
Although every seller is different, cash for homes is a splendid alternative to the passive amount of time selling on the market can take. Selling your home for cash does make the most sense when you are strapped for time or cash, your home needs extensive repairs, or if you are facing foreclosure. Give us a call at Quick Cash Phoenix today to see how we can help you in your home selling journey.