BUYER: The Offer’s Foundation

Every successful cash offer must start by understanding the buyer. This forms the foundation of the sale; when you understand the buyer’s intent, you will be able to better gauge the likelihood of the deal closing.

When considering a buyer, it’s important to investigate their authority, experience, and references.

Here’s a little more information about how to evaluate each.

Authority

There are three main players when selling your home: cash buyers, real estate agents, and wholesalers. Real estate agents are the traditional route of home selling, but sellers are often confused by cash buyers and wholesalers. Both may advertise with “Sell Your House Fast” and “We Buy Houses” slogans, but cash buyers should have the authority to purchase your home directly. Make sure when dealing with a home buyer, that they have this authority actual authority to purchase your home.

Experience

An inexperienced cash buyer can cost you time, money, and more stress in what’s meant to be a quick, stress-free process. To avoid getting handcuffed by a purchase agreement that significantly favors the buyer, carefully prequalify two or three potential buyers by asking them some very direct questions:

  • How long have you been buying real estate?
  • Tell me about the last two houses you purchased.
  • What do you do with the properties you purchase?
  • What is your title/position with the company?
  • Do you intend to wholesale my property?

References

When it comes to vetting references, our motto is “trust, but verify”. Start with a Google search to see what kind of reviews are out there about different cash homebuyers and their businesses. Do they have an online presence? Do they have any reviews? Are they positive? If there are negatives, what are they? How many reviews are there? A few negative reviews out of hundreds doesn’t necessarily mean anything bad. But, three out of ten reviews is a different story altogether. Next, check the references of your prospective buyer. Ask for names of past clients, then ask to talk to them. Find out what the client’s experience was like and if the buyer did what they said they were going to do. It’s okay to trust people but make sure to verify what they’re saying is true.

Understanding the Cash Buyer

Want to ensure that you are completely informed before you make a decision on a cash home buyer? Talk to 1 800 BUY HOUSES today to learn more.