What You Need to Know About Most Home Buying Companies

While cash home buying companies are relatively new in the home sales industry, they are quickly gaining popularity as a viable option for homeowners who want a quick and easy sale. Yet, many people don’t know much about these companies and aren’t sure if they should trust them. Before contacting them, you should know some general background.

Every industry has a few bad eggs, but the majority of cash home buying companies are legitimate businesses that make a living by investing in properties. Almost all companies are locally owned, though some are affiliated with national chains. Local ownership means the company representatives know your area and care about your community.

You can easily check on the company you’re interested in by searching the Better Business Bureau website. The BBB will tell who owns the business, how long it’s been around, and whether any complaints have been filed.

Traditional real estate companies act as intermediaries between you and a potential buyer. You contract with brokers and agents to market your property and assist as you negotiate the terms of the sale. For that, you pay them a commission that averages about 5 to 6 percent of the sales price.

Cash home buying companies don’t list your home on the market. That means you don’t have to spruce it up or do repairs to attract buyers. You also don’t pay commission or closing costs. 

Cash home buying companies purchase your home directly from you. They are prefunded, which means they don’t need to get financing from a mortgage lender. They already have enough funds to pay the money they offered you for your house.

For that reason, a cash home sale can close rapidly, often within a week or so, and almost always within 30 days. Like a traditional sale, you meet at a title company and sign legal papers transferring the deed. 

Selling to a home buying company may be an unfamiliar process, but it can be a good solution for homeowners who need to sell quickly for cash. After finding a company in your area, research the website and give them a call. They’ll be happy to answer any questions you have.

If you’re thinking about selling your house, click here to learn more about Utah’s premier cash home buying company.