Why Cash Is King Of The Hill When Selling a House In Detroit.
If you are ready to put your house up for sale there are some very important things to be aware of. Detroit Michigan is a market where cash buyers dominate the playing field. As of this writing, many lenders are still a little bit hesitant to give loans for houses in Detroit in many neighborhoods. A lot of institutional lenders still view the city of Detroit as an area of high risk. Because of this many transactions involving a buyer obtaining traditional financing simply fall apart. When someone is getting an FHA loan or conventional financing it’s required to get an appraisal of the property. A frequent issue with this is that homes tend to appraise for less than the purchase price and this can kill a deal because the financing falls apart. This particular scenario happens very often and is just one of the many pitfalls you may come across when selling your house.
What Are Some Benefits Of Selling My House For Cash?
So we’ve already discussed a major concern involving a buyer getting a traditional loan, now let’s talk about cash! With an all cash deal there is no need for an appraisal so that eliminates a major deal killer right in it’s tracks. A cash transaction can also close much faster than a conventional financed sale. This is a huge benefit when selling your house and will make things much easier! A true cash buyer will not need to go through any pre-approval process because they are funding 100 percent of their own purchase. Once you negotiate favorable terms and price then the next step is typically very straight forward. You and the buyer will execute a purchase agreement and things should move right along fairly quickly at that point.