When most homeowners think about buying or selling a house, the first thing that comes to mind is mortgages. Mortgages are a typical way to finance the purchase of a home, but they’re not the only option available.
In this post, we’ll discuss 5 main differences between mortgages and cash in real estate transactions. Keep reading for more!
Mortgage vs. Cash
When making real estate transactions, cash is considered to be king. Why? Because cash buyers can make a clean offer with no contingencies. This means that the sale can close quickly and without any issues.
Mortgages, on the other hand, can be more complicated. Mortgage offers are often contingent on loan approval, home inspections, and appraisals. This can make the sale process take longer, and there’s always a chance that the deal could fall through if the buyer is unable to get financing.
5 Differences Between Mortgage and Cash
Here are 5 key differences to keep in mind when considering a cash or mortgage offer:
1. Closing Time: As we mentioned before, cash offers can close much faster than mortgage offers. If you’re looking to sell your house quick, a cash offer is a way to go.
2. Flexibility: Cash buyers are often more flexible regarding price and closing date. This can be helpful if you’re trying to work around a tight timeline.
3. Financing: A lender must approve Mortgages, which can add some uncertainty to the sale process. On the other hand, cash buyers don’t need to worry about this step.
4. Appraisals: A cash offer eliminates an appraisal, saving you time and money.
5. Inspection: A cash offer also eliminates the need for a home inspection, although you may still want to get one.
Rex Property Group, The Cash House Buyers You Need
Do you want to sell your house quick? Look no further than Rex Property Group! We are cash house buyers who can close on your property in as little as 7 days. We’ll buy your house regardless of condition, so you don’t need to worry about repairs.
Contact us today to start with the process.