You may have heard the phrase “Cash is king,” and that is often true in buying real estate in The Woodlands. As more homebuyers pour into local real estate markets looking to snap up homes for sale, more home sellers are finding that cash buyers have a lot more to offer. Why is that? Cash comes with less strings attached, less financing and lenders to secure, and allows sellers to achieve a quick sale for their homes in The Woodlands.
According to the National Association of Realtors, all-cash sales accounted for nearly one-third of all the residential real estate transactions early this year. Cash is proving to be king in buying local real estate— here’s why these deals are looking so sweet to area home sellers and homebuyers alike and better yet, why they are ruling the housing market:
Possible Price Reduction
Texas homebuyers with cash can catch the seller’s eye and often score a home for less than asking price. Because they are able to sidestep financing, which is the number one reason for the delay of a home’s closing, home sellers see an all-cash deal as a way to sell their home quickly and ensure they are indeed getting their money on time.
Again, sidestepping financing has its perks— a quick closing is the biggest one. According to LendingTree.com, “In 2008, mortgages took an average of 30 days to close. By 2011, that time had increased to 45 days.” In February, the task of closing on a home typically required 47 days, reported another mortgage expert. One snag in financing can delay a home’s closing by weeks.
No Credit Check
With cash offers, there are no lenders peering through your financial history, credit reports, checking and savings accounts, or current debts— cash means working around all of that. No credit cards? No problem. A cash offer means you will not have any banks searching for any negative scratch on your credit report. Avoiding all of the paperwork and requests for personal information can shave weeks off of the time of closing.
Avoid Closing Costs
Paying in cash can also mean a way around closing costs. Handling the fine print of your mortgage application has a fee, as does the application’s filing and covering loan origination fees. There are many add-ons that banks throw in as fees when the time comes to purchase a home in The Woodlands, TX, but all of them may vanish when you approach the seller with an all-cash offer— they may cover them simply for the convenience factor.
No Monthly Payments
Think about it— no mortgage payments! The biggest perk by far of making an all-cash offer is there are no checks to write each month, no monthly bills, no End of Mortgage Party in 20 or 30 years. Buying real estate in The Woodlands with cash earns you a stress-free sale and gets you into a home, scot-free.
Keller Williams The Woodlands | 281-960-1900