Cash is King
Did you know that cash is still king when buying items? You probably do, as its easier to buy many used items with cash and welcomed by the sellers. Did you know that all cash deals are also popular when buying real estate? Sellers are often more likely to lower the price to take an all cash deal. Its a great way to buy the house of your dreams and is used frequently for people coming east from west coast states.
All cash deals popular
The all cash deal is a popular one. You can buy cars and boats with cash, the preferred method. Houses are also a popular all cash deal. Did you know that people who buy with cash can extract a 23% discount for a home? In Jacksonville, the discount has been higher, 27%.
In all, 28.8% of U.S. home sales this year have been all-cash transactions. This comes to us from Attom Data Solutions, a real estate data provider. That was down from the peak of more than 40% in 2011 and 2012, when investors were buying homes at a furious pace to turn into rentals. But the percentage of cash deals stands much higher than the 20% or so common in the early 2000s, and it has edged up from 28.6% last year, according to Attom.
Cash will provide more buying power
If you were selling a house, would you want to wait around for 30-45 days on average, pay another mortgage payment, utility bill, and other household expenses? Who knows, the sale may fall through. Nationally 3.9% of sales failed in 2016, up from 2.1% in 2015. In other words, contracts rarely fall through. This rate is rising and its not just “first time” home buyers attributed to the issue. Many people are not familiar with all the documentation needed to get a loan. The process now takes longer with more different types of credit terms reviews. Did you know you have a general credit score? Then you have a car rental score, as well as a mortgage score? Those “free credit” scores are worth exactly what you paid for them. So beware of them, and consider all cash deals instead.
Questions about all cash deals?
How may I help you? I have been a Realtor since 2005 and have worked with both investors as well as all kinds of buyers and sellers. I love all cash deals as much as the sellers, and often the buyer needs to ask for the discount. Its worth asking for to save money! Its my job to ask and I love it! Call me today to have me work for you at (904) 210-6399.