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                                  Home Real Estate Selling a Home

                                  5 Pros and Cons of Selling Your House for Cash

                                  Monica Selas by Monica Selas
                                  September 21, 2022
                                  in Selling a Home
                                  Reading Time: 6 mins read
                                  0
                                  5 Pros and Cons of Selling your House for Cash

                                  If you’re thinking about selling your house quickly and wanting to know what is the best way to go about it, you’ve come to the right place. Here are 5 pros and cons of selling your house for cash.

                                  Table of Contents

                                  • Pro: No Commissions
                                  • Pro: Quicker Transaction
                                  • Con: You Won’t Get Any Commission
                                  • Con: You Have To Hire A Realtor
                                  • Pro: You Can Use The Money You Make To Improve Your Future
                                  • Con: You Have To Be Careful With The Documents You Provide
                                  • Pro: The Paperwork Is Reduced
                                  • Con: There Are A Few More Steps
                                  • Pro: You Have The Option Of Working With A Realty Company Or Going It Alone

                                  Pro: No Commissions

                                  The biggest pro of selling your house for cash is that you don’t have to pay any commissions to the broker. With commissions, you will be required to pay a portion of the sale price to the agent. Think of it as a gift – you’re giving the agent a part of your profit!

                                  Con: You Have to Pay Clutter Fees

                                  One of the major cons of selling your house for cash is that you have to pay additional fees to the county clerk’s office. If you want to get your house cleared of any mortgages, liens, or judgments, you will have to pay a filing fee. The amount ranges from about $500 to $1,500, depending on the county.

                                  Selling your house for cash doesn’t mean you have to leave town. You can hire a realtor to help you find a buyer and manage the transaction. In some cases, you can even work with a mortgage company to get pre-qualified for a mortgage.

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                                  Pro: Quicker Transaction

                                  When you sell your house for cash, the entire process can be finished in a much shorter period of time. It typically takes about 3 to 6 months to sell a house that is on the market for 30 days or more. By comparison, it usually takes about 6 months to a year to sell a house that is on the market for just 10 days to a week. If you need to move quickly, selling your house for cash is the way to go. You won’t have to worry about finding a realtor who can work quickly and you won’t have to go through all the paperwork associated with a typical home-sale transaction.

                                  Con: You Won’t Get Any Commission

                                  Another important con of selling your house for cash is that you won’t get any commissions for doing so. If you sell your house for cash and it becomes a successful transaction, you will receive no credit or compensation for your efforts. The opposite is also true – if the house sells for less than what you paid for it, you’ll lose money.

                                  Pro: More Freedom In Terms Of Where To Live

                                  One of the biggest pros of selling your house for cash is that you don’t have to live in an area dictated by realtors or landlords. You can live anywhere you want as long as there is a school or place of worship within a reasonable driving distance. As long as you can find an area that meets these two requirements, you don’t have to worry about finding an affordable place to live. You can even use the money you made from the sale to pay off your debt and move into a more affordable place.

                                  Con: You Have To Hire A Realtor

                                  Another important con of selling your house for cash is that you have to hire a realtor. Hiring a realtor is not only expensive but also requires you to take a lot of their time. If you want to sell your house quickly but don’t have the time to find a realtor who can help you, you can’t go with this option. There are also some counties and municipalities where it is illegal to pay for realtor services. If this is the case for you, you must look into alternative options.

                                  Pro: You Can Use The Money You Make To Improve Your Future

                                  One of the biggest pros of selling your house for cash is that you can use the money you make to improve your future. If you want to take advantage of the sudden influx of cash, you can pay off your student loans, buy a house, or make other financial strides. The only con here is that if you want to take advantage of this opportunity, you have to move quickly because there are a lot of people who will want to buy your house. If you are going through a difficult time right now and need some quick cash, this is the option for you.

                                  Con: You Have To Be Careful With The Documents You Provide

                                  One of the most important things you need to be careful about when selling your house for cash is the documentation you provide. Since you are not working with a traditional realty company, there are a lot of holes in the documentation process. It is essential that you consult with a lawyer who specializes in real estate to make sure you provide all the proper documentation and do everything by the book. Even something as simple as missing a few forms can result in serious consequences. It is essential that you work with a lawyer who is well-versed in real estate law.

                                  Pro: The Paperwork Is Reduced

                                  Another important pro of selling your house for cash is that the paperwork is reduced. With a traditional realty company, you will be dealing with a lot of red tapes. The MLS (Multiple Listing Service) systems, for example, is a database that contains all the relevant information about properties, including photographs and descriptions of the house and its features. The paperwork involved in getting this information is almost endless. You will be provided with a packet that will help you fill out the necessary paperwork, but it will still be a lot to deal with. The process is both time-consuming and tedious. You will have to answer a lot of questions regarding the property and its features, as well as supply a lot of documentation, such as mortgage payment records, property tax records, and more.

                                  Con: There Are A Few More Steps

                                  Another important con of selling your house for cash is that there are several more steps. When working with a traditional realty company, you will have to go through an application process in which you will be asked questions regarding the property you want to sell. Once your application is accepted, you will be given a packet that will help you through the entire paperwork process, from start to finish. The process, however, can still be a little cumbersome and time-consuming. You will have to take the time to familiarize yourself with all the forms, procedures, and red tape.

                                  Pro: You Have The Option Of Working With A Realty Company Or Going It Alone

                                  One of the biggest pros of selling your house for cash is that you have the option of working with a realty company or going it alone. If you decide to work with a realty company, you will have to go through an application process in which you will be asked questions regarding the property you want to sell. Once your application is accepted, you will be provided with a packet that will help you through the entire paperwork process, from start to finish. The process, however, can still be a little cumbersome and time-consuming. You will have to take the time to familiarize yourself with all the forms, procedures, and red tape.

                                  If you decide to go it alone, there is no application process and you will not be provided with a packet. You will have to make sure you have all the necessary forms and that you deal with all the necessary parties in the right way. The amount of paperwork will still be a lot, but at least it will not be onerous. You will have to decide if you want to work with a realty company or go it alone. It’s all about what you’re comfortable with.

                                  Also read: How to Build Your Dream House from Scratch

                                  Tags: Selling your House for Cash
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