When selling your home a cash buyer is seemingly the golden ticket. A cash buyer is not limited by banks or appraisers and can make closing on the home a much simpler process. However, beware of potential scams and the arrogance that can accompany some all-cash buyers. There are several ways in determining a scammer is trying to take advantage of your, but with cautious oversight you can avoid these potential losses. Also be aware all-cash buyers may ask for too much and overstep their welcome. With the help of an agent and a not too eager attitude to sell you can protect yourself from a disaster.
There are several ways a scammer may try to swoop in on your property and take money from you. To begin, avoid illegitimate advertisements like “We buy houses,” signs posted along roadsides. A real investor or agent will not waste time with advertising in this manner. Also avoid foreign buyers who pass on the opportunity to see the home and wish to make haste. This is a signal that the transaction will likely be fraudulent. Most buyers will want to see the home or at least have an agent that is in correspondence with them and showing pictures of the home through email. A real estate scam artist will also ask the funds be wired. This also sends a red flag warning as wiring funds means the buyer is not present and cannot be traced. Although there are all-cash buyers out there use caution and if something seems too suspicious avoid the sale and look to other buyers.
Other let downs of the all-cash buyer can be the attitude and air of the buyer when negotiating terms. After the offer has been placed and accepted odd requests may suddenly be made that will cost you or take away from your home. For instance, because the buyer has cash in hand they may posses an arrogance that they assume allows them to have precedence over other offers which allows them to ask for outlandish terms. These may include asking for heirloom items be included in the sale of the home without additional costs, stipulate that you move out ASAP upon closing and not allowing you your lawful 90 days to vacate the property, or they may ask that cabinets be completely redone at your expense before the sale. Despite these buyers having the cash readily available and its appeal, if the terms are not within your comfort do not follow through with the sale and be bullied into actions you do not want.
What to conclude is that real estate cash buyers can be a great win-win for both sides of the process in selling your home. However, remain open-minded and cautious. Don’t give in to pressure and do not follow through with a transaction that seems illegal or fraudulent. Real estate scams are all to real and the amount of money you could lose would be a disaster to recover from. Utilize your agent and beware of so-called cash buyers at all costs.