How To Tell If A Cash Buyer Is Legitimate and Trustworthy
But there might be one that bubbles up to the top: How will I know if a cash buyer is trustworthy? There are a few things you can look out for to help you determine if a cash home buyer is legitimate. Let’s take a look.
1) They are a local business with good reviews and references
When you’re looking for or after you’re approached by a cash home buyer, always make sure to check them out online. Consider:
- Do they have a website with clear and consistent contact information?
- Can I call and speak with them, instead of only communicating via email?
- How long have they been in business?
- Do they have good reviews?
- Do they have any references?
Answering these questions is a simple step that will help you get a sense of the cash buyer’s legitimacy and trustworthiness in your community. But it’s important not to stop there!
2) They have the ability to physically see the home
Once you’ve been in contact with a cash home buyer, they should always offer an option to physically come see the home. During the COVID-19 pandemic, the ability to sell your home virtually may be appealing and is a safe option. However, just make sure that you have the opportunity to show your home in-person, if you prefer.
Why? It helps verify that the buyer is local to the area. It may also be helpful if your photos or videos can’t provide an accurate enough picture of your property. In this case, the cash buyer may need to visit your property in person to make an educated final offer.
Plus: Beware of instant offers from iBuyers. Offers from iBuyers rely on algorithms to determine the value of your house, and are only as accurate as the data the algorithm is based on — which, in the case of Zillow’s “Zestimates” has been found to be off or outdated.
If a buyer makes an offer site unseen or without ever looking at any images or video of your property, make sure to carefully read all paperwork before signing to ensure any risk doesn’t fall back on you.
3) Their terms and fees are clear
No one wants to be surprised by fees, or to be scammed out of money. When they make an offer, a legitimate cash buyer will be upfront and clear about the terms of buying your home for cash. You should know what closing fees you are expected to cover, if any.
Additionally, it’s important to keep in mind that like during a traditional home sale, you shouldn’t be paying any fees before closing. Be weary of a cash buyer who asks you to pay any fees before the sale is final.
P.S At Columbia Redevelopment, there’s no cost to sell your home to us. We always pay closing costs and other expenses. You’ll never pay any fees!
4) They never pressure you and aren’t overeager
Selling your home is a big decision. A trustworthy cash buyer will never pressure you to sell to them, or to close a deal faster than you want to. You should be able to take the time you need to get your questions answered and make the right decision for you.
If a buyer seems overeager — for example, bringing up payment or providing financial information before you’ve even asked for it — be wary.
Some unprofessional cash buyers will do this as a “sign of trust.” They’ll send a check unprompted, but it will be for a higher amount than you expected. Then they’ll tell you they made a mistake, and ask you to wire the extra money back to them. After you do this, the check won’t clear.
You should never feel pressured at any point during the process.
5) The process is fast, straightforward, and hassle-free
This one goes hand-in-hand with the point above — selling your home to a cash legitimate buyer should be a quick and easy process, made so by the buyer. They should do this by:
- Making sure the terms are always clear to you
- Working with you every step of the way to answer questions
- Providing all of the forms and paperwork you’ll need
- Listing a clear reason for any changes or “mistakes” made to the agreement
- Remaining flexible with your timeline and purchase terms
At Columbia Redevelopment, we are committed to providing all of these things and more throughout the selling process.
6) They will buy your home as-is, without inspections or contingencies
Maybe you inherited a fixer-upper you don’t want to fix up, or perhaps you’re worried your home will be difficult to sell because of its condition. No matter the reason, a legitimate cash buyer will purchase your home without requiring an inspection or listing any contingencies.
This means the buying process should truly be “as is” — you shouldn’t need to negotiate for any repairs or pay for inspection fees.
Additionally, the cash buyer should always be the final buyer. If your sale is contingent on the buyer finding someone else to purchase the home, stop right there and find someone else to work with.
Benefits to choosing Columbia Redevelopment
At Columbia Redevelopment, we are a local, family-owned business that has bought hundreds of Portland-area homes for cash. When you work with Columbia Redevelopment, you’ll see our commitment to providing a fast, easy cash home buying process, with no fees and clear communication the whole way through.
Not only that, but you can expect:
- An offer within 24 hours (we offer in-person and virtual tour options to fit your needs)
- An earnest deposit of $10,000, releasing the funds once we’ve reviewed and approved a preliminary title report
- A transaction that can close in as little as 2-3 days
Do you have more questions about selling your home for cash in Portland?