SHOULD I GET A DISCOUNT WHEN I PAY WITH CASH?

Todays question is : Should i get a discount if i am paying with cash?

The first thing you need to keep in mind, is that terms are just as important as how you are paying for the property at closing.
 
What is terms?

The name "Terms' refers to what makes up the purchase and sales agreement.

It is the length of time until you are going to close.

It is what contingincies you have included such as this sale is contingent upon a home inspection or contingent upon obtaing a mortgage.

It is that there are no contingincies, you are taking the property "as is"

Why does the seller care about terms?

The seller cares about what could stop the sale. An offer with contingincies offers the buyer a way to withdraw from the purchase.

When will the seller offer a great dicount to cash buyers?

. As with any listing, some sellers will take less for a quick cash closing with no contingincies. So if you are ofering cash, it is important to make your offer as clean as possible. This means you should not be adding any contingincies, if you do, your offer even though cash, is similar to soemone needing a mortgage, so there is no incentive for the seller to give you a great discount. The discount or willingness to accept a much lower price has to do with having a "sure sale" meaning you the buyer didnt include anything that allows the buyer to back out, That the sale is firm with your offer.

In conclusion if you want the biggest and best deal, make your best offer, have your ducks in a row and do not include any contingincies, let the seller know you mean business, that you are ready, willing and able to close quickly.

So what do you think? Do you have any tips, suggestions or comments when buying with cash?

Updated Aug. 1, 2010

Blog Written by

Scott Godzyk
Godzyk Realty Group

Manchester NH