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CASH IS NO LONGER KING! WHAT INVESTORS NEED TO KNOW ABOUT CASH OFFERS.....
WHAT YOU NEED TO KNOW ABOUT CASH
1. CASH IS GOOD WHEN GOING UP AGAINST OTHER OFFERS BUT ONLY WHEN IT IS THE BEST OFFER
2. MOST SELLERS DON'T UNDERSTAND THE DIFFERENCE UNLESS THE REALTOR EXPLAINS IT TO THEM
3. IT WILL NOT EXPEDITE A SHORT SALE APPROVAL ONE BIT, THE BANK COULD CARE LESS
4. IF THE CONDITION OF THE HOME IS TURN-KEY AN FHA FULL PRICE OFFER WILL BEAT YOU
5. IF THE LISTING AGENT IS ALREADY DOUBLE ENDING THE DEAL WITH A POCKET BUYER YOU HAVE NO CHANCE
What I must explain is that most sellers want to net as much money as possible from a sale. With that said if
the subject property needs many lender required repairs, CASH will take first position when the difference in net
proceeds is small in comparison to repairing the property. For example if it will cost $20,000 to repair a property
but only give a seller $5000 more in net proceeds the seller will most often take the cash offer.
In a property that will qualify for Conventional financing the highest amount I feel the sellers are willing to lose
to take a cash offer is 10% off ... more
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