There are many companies out there that offer to buy houses for cash. If you are looking for a way to sell your house in a way that is fast and easy, this solution may be exactly what you are looking for. But, it is important to know how this process works before you jump into this arrangement. Keep reading to learn everything you need to know about how “we buy houses for cash” works.
How “We Buy Houses for Cash” Works
Fill out the Appropriate Forms
As with most processes in life, your first step when selling a house for cash is to fill out the appropriate forms. The forms will ask you for information that is pertinent to the sale of the house, including the location of the property. You will also have to provide some personal information as well. You can fill this form out at the office of the company with which you are working. You can also save yourself a trip and visit the company’s website to fill out the form.
Schedule a Meeting With a Houses for Cash Company
A representative from the house buying company will contact you to schedule a meeting after the office receives your paperwork. This meeting will take place in your home so the representative can take a look at the property. This meeting and viewing will help the company determine an estimated value of the house.
The company will then present you with a no-obligation offer for the house. The offer will be based on the overall condition of the house. Although “we buy houses for cash” companies are known for buying houses that are in poor condition, or that are damaged in some ways, the final monetary offer will be lower for houses that are not in reasonably good condition.
Declining the Offer
If you do not like the offer the company makes, you do not have to accept it. You can simply decline the offer and walk away from the deal and lose nothing in the process. You are not required to pay any sort of commission to the company if you do not accept the offer, and a reputable business will not ask you for one. If a representative from the company suggests that you owe money for any reason at this point, hold your ground. Let the person know that you understand your rights and that you know you owe nothing. If you continue to get flack from the representative, contact a manager at the company immediately. If you can get nowhere with in-house staff, contact the Better Business Bureau to report the misconduct.
Accepting the Offer
If you decide to accept the offer, all you need to do is let a representative from the company know you accept the deal. Then the rest of the process can begin immediately.
The Closing Process
Even though a cash purchase for a house means that no financing is necessary, there still must be a legal transfer of the property. This process is known as a closing. The closing for a financed house can take up to 60 days in most cases. However with a cash sale, the time frame can be cut considerably. Normally, the process can get done in less than 30 days. Here is an outline of what you can expect to happen during the closing process when you sell a house for cash:
- Sign the contract. You may hear this step as being considered “going under contract”.
- Verify proof of funds. Since the cost of the sale is not being backed by a bank, you need to make sure the buyer has the money that is needed to buy the house. Although this is much more important when the buyer is a person, it is still in your best interest to make sure the “we buy houses for cash” company has enough money to complete the purchase by checking bank or investment statements.
- Review and sign closing documents. When you sell a house, there is a lot of paperwork that needs to be filled out, signed and filed. When you sell a house for cash, you expect to sign the following documents:
- Final closing instructions.
- HUD-1 settlement statement.
- Certificate of title.
- Title deed.
- Loan payoff statement.
- Mechanics liens.
- Bill of sale.
- Statement of closing costs.
- Statement of information.
Hiring Title and Escrow Companies
When you work with a “we buy homes for cash” company, you will most likely not need to worry about hiring a title or escrow company. Those responsibilities will be taken care of by the buyer.
What to Take to the Closing
When you go to the closing, be sure to have the following materials with you:
- A government-issued ID.
- The deed to your house if it is paid off.
- House keys, remote garage door operators, codes to keyless entry and alarm systems
- A certified or cashier’s check to cover any outstanding costs that are not covered by the money you get from the sale.
If you have a house in the Indianapolis area that you want to sell, call Ben Buys Indy Houses. Our business is accredited, so you know we’ll treat you right and give you a fair price. Contact us today to see how we can help you. Click here to learn more about Ben Buys Indy Houses.