Are you interested in selling your house for cash in Dallas but uncertain how long it will take? While situations vary, some cash sales can close in at least two weeks. Compare this to four to six weeks closing times for traditional, financed sales.
A shorter, simpler cash sale can be beneficial for many reasons, including relieving financial difficulty, minimizing stress, and allowing both parties to move quickly.
Even if a cash sale sounds appealing, you probably still have questions about this alternative: How long does it take? What are the steps? What could go wrong? Read on to discover the answers to these and other questions.
What Are the Steps Involved in a Cash Sale?
Cash sales are becoming increasingly common. Cash sales’ relative simplicity and ability to sweeten an offer make them particularly appealing in a hot real estate market. This type of real estate sale takes only six simple steps:
1. Negotiating an Offer
Just like a traditional sale, an offer kickstarts the process. The seller can take the first offer or come back with a different one.
These negotiations will include details about inspections, sale price, closing date, and any sale contingencies. The clearer and more transparent the initial negotiation is, the more straightforward the process toward the closing date.
2. Checking the Money and Deposit
In a regular sale, banks verify the ability of the buyer to pay the mortgage on a house. Because no lenders are involved in cash sales, sellers need to ensure that buyers have the funds to purchase the property.
Prospective buyers can provide this proof via bank statements or communications from a private lender, usually in the form of a letter. Always confirm the validity of these forms of proof by contacting the lender directly.
Most sellers will also request an “earnest money deposit” to confirm the buyer’s interest in the house. If a buyer backs out late in the process, sellers sometimes keep this deposit as damages.
3. Title Search
Title companies are third-party entities that investigate the title history of a property to protect buyers and confirm that they have followed the conditions of the purchase agreement.
The title search serves as confirmation that the seller has the legal right to sell the property. The process also uncovers whether there are any liens on the house.
4. Inspections
If the buyer and seller agree on a home inspection, it should come right after the title search. If the review raises critical issues with the house, the buyer might back out at this stage.
5. Final Walkthrough
Before putting pen to paper on the closing papers, it is advisable that everyone take a last look around the house. Ensure that everyone is on the same page before signing paperwork.
6. Sign Closing Documents
Finishing the task is what most individuals love! It should take not more than two hours to fill out all the papers for a cash sale.
Once you’ve completed the closing process, buyers can enjoy their new home, and sellers can breathe a sigh of relief and move on to the next adventure.
Factors That Can Slow the Process Down Conflict Among Sellers
Some people who sell their house for cash may be doing so amid contentious personal situations, like a divorce. If the sellers themselves are in conflict, the process itself might become slowed by disagreements.
Sales occur most quickly when all parties agree on the goals of the process and are transparent about the circumstances.
Liens or Other Issues in the Title Search
Any liens discovered in the title search process can significantly slow down a cash sale, as the title owner must pay off any liens before any sales can go through.
A lien is a claim on an asset, such as a house or land. It acts as an assurance of a debt’s repayment. However, borrowers must repay these debts before the house is free to be sold.
Honesty at the outset from both parties is the best way to avoid nasty surprises like this that slow down the process.
Dishonesty or Insufficient Communication
As mentioned above, neglecting to inform a potential buyer about liens on the house or other issues can impact the timeline. Foundational problems with the home discovered during an inspection can also raise issues.
If the seller is behind on other fees, like property taxes or HOA fees, the process can stall out while they repay these fees. The later such information comes up, the more likely the sale will become drawn out and contentious.
Buyer Wants an Appraisal
While home appraisals are necessary for the traditional home-buying process, some cash buyers do not require appraisals. Some buyers, however, may elect for one.
While appraisals themselves typically only take a few hours at most, the appraiser’s report may cause a few days’ delays. If, however, the appraisal comes in lower than the buyer’s offer, the buyer may choose to terminate the sale or renegotiate the offer.
Buyers who will occupy the house are more likely to request an appraisal than real estate investors like Southern Hills Home Buyers.
Cash Sale Insights with House Buying Girls
Though there are some potential slowdowns and drawbacks to an all-cash sale, the typical two-week closing time—compared to the traditional four to six weeks, sometimes longer—is hard to resist. There are many great benefits to selling your house for cash, and House Buying Girls are ready to help you take the next step.
Selling your house for cash can be a great opportunity, especially when your buyers are reliable and honest. Contact real professionals: contact us at House Buying Girls to see how we can help you make your dream a reality and get you a fair cash price for your Dallas house.
