Selling A Home On Cash And Its Advantages
Selling house for cash has become a very popular alternative for those who want to sell the house or any property quickly. Due to unstable credit clog and sluggish status of the real estate market, many properly seller are finding it very difficult to find potential buyers. They are instead looking for investors who are sound and are willing to ante up the cash.
The jual rumah for cash is nothing different from selling the house to any buyer through traditional finance. But there are several benefits of cash transactions which cannot be possible if the buyer buys the house through bank loans. It is acceptable that buying a house, small or big is not a small decision. One is planning to spend the hard earned money for life time. Paying so much money in cash might be difficult, but if you can full amount in cash without taking help from a bank then it would be much better. This way one can avoid the interest paid to banks, which is too high. The interest rate is too high in any bank irrespective of it being a government bank or a private bank. The seller is also at an advantage if the buyer buys the property without any funding from banks. Few advantages are as follows.
Advantages Of Selling for Cash
The main benefit of selling the house for cash is that the deal will be closed very soon. Both the buyer and seller need not wait for the bank proceedings to get completed. Bank proceedings will usually take a very long time as they are giving the buyer a very huge amount in the form of loan. The bank will take longer than expected for approving the loan and then to pass the loan amount. In the current scenario, banks have very stringent rules towards borrowers. Today for a borrower to get a loan approved he need to have a very good FICO score and also bank will provide only 80% of the money required to buy a house. Rest 20% of the amount should be paid by the buyer from his pocket.
It is a well understood fact that the market is currently not in a good position. With the never seen unemployment rate people are very much scared to buy a property fearing lack of continuous income. Many people are keeping themselves away from investing on property fearing they would lose jobs and then their house. No one is actually willing to take much risk. Every seller is feeling the pressure of lack of potential buyers.
On the other hand the real estate business owners are buying houses everywhere round the nation. Many of these investors are buying properties in cash because they can no longer depend on banks for loans as the traditional lending sources have completely dried up. Though the market goes down sometimes, availability of private money is abundant. Established real estate investors do have a lot of money and they are on a spree investing it in property making for self use and for their clients.
If the property is being sold to private investor then the seller can get the benefits of their expertise. Most of the investors are very much skilled in foreclosure properties as well as in short scale transactions. This would need a pretty good knowledge and strong relationships with various other lenders.
In order to sell house fast, few people try to sell their property to real estate investors. The real estate investors provide the seller with cash instantly. Another advantage of selling house for cash is that there is no need on a realtor. This it saves so much money which goes through commission.