Should You Sell To Conventional Offer?

Picture this scenario. You've decided you no longer want or need the properties you currently own in Pittsburgh, and you'd like to liquidate them and move somewhere else. First you obviously need to market them and find some buyers. Next what do you do when the offers roll in?

If you receive interest on the property, and one is a conventional loan with a bank and the second is a cash offer at a lower number, which do you choose? In order to make that decision, we have to go through the process for each offer.

1. Bank financing

With bank financing, there are going to be a few additional steps to the process. First, there must be a pre approval that the bank will in fact finance that purchase if you sign the agreement. Next is the inspection phases. There will most likely be several contingencies in order to actually close on the property. The first will be a home inspection. This will require an inspector to visit the properties and disclose any defects they see. This in itself can scare away a buyer, or require the seller to make additional improvements or repairs. Next is the radon and pest inspections. These can locate issues not visible to the eye and can be expensive if required to make repairs. At the end, this offer will generally be higher than a cash deal because there are more contingencies and less risk to them as the buyer. If you as a seller have additional cash set aside to make repairs, this could be the route to go. If you are seeking a quick sale of your house, it most likely will not be anything close what you would hope for.

2. Cash For Your House

With an all cash offer, this generally comes with no contingencies, and the buyer will purchase the house as is. This means no inspections, no additional repairs, and without all the extra steps, a much faster closing. In fact, most of the times a cash deal can occur in less than a month! As the buyer is taking on all the risk without any of the above inspections or contingencies, they have to reduce the price they will pay. If as a seller, you are trying to get every last dollar you can, and hold on to the house as long as possible, it probably isn't the offer for you. If you are looking for a deal without any headaches and a quick process, it would be in your best interest to take a cash deal for your house in Pittsburgh.

These two offers may seem very similar to the average buyer or seller, but in reality they are almost complete opposites. As you can tell there is a perfect offer for each seller. Time, repairs, and money all comes into play with making your decision. The homeowner should always focus on what will be most helpful for them, and is in a good situation if multiple people want to buy the house!

For an all cash no contingency offer on your home, please visit us at CashforHomesPGH.com and receive an offer in less than 24 hours!