Cash home sales have grown in popularity with sellers and buyers over the last few years. However, even with the steady rise of cash sales, there are still a lot of misconceptions and myths surrounding selling a home as-is.
As experienced home buyers in Detroit, Michigan, we have worked with dozens of home sellers throughout the area – particularly sellers in financial or legal hardship. As such, we have the experience and knowledge necessary to do three things:
- Guide sellers through the home-selling process
- Answer frequently asked questions about cash home sales
- Address common home seller concerns with transparency and honesty
We are also in a position to explain the cash home sale process and dispel common myths about the sell-my-house-for-cash alternative to a traditional home sale. Below is Cash Home Sale 101. If you have any further questions, feel free to call us. We’re here to help you sell your house fast in Detroit, Michigan.
What Is a Cash Home Sale?
A cash home sale is a private real estate transaction between a motivated home seller and a company that buys houses in Michigan. The buyer assesses the property and makes a cash offer to buy the house as-is based on its current market value. If the seller accepts the offer, they negotiate the terms of the sale and close the sale directly with the buyer.
Since a cash home sale is a private transaction, the seller does not have to hire a real estate agent or list the house on the market. Since the buyer agrees to purchase the property as-is, the seller does not have to make any repairs or upgrades to the house. In most cases, they do not have to schedule an inspection or appraisal.
How Is a Cash Home Sale Different Than a Traditional Home Sale?
One of the best ways to understand a cash home sale is to compare it to a traditional home sale.
Traditional Home Sale
In a traditional home sale, you prepare your home for sale. You hire a real estate agent and list the house on the market. You may also stage your house so that you can show it to multiple prospective buyers. If you find a buyer, your real estate agent negotiates the deal, and you close the sale.
Cash Home Sale
In a cash home sale, you meet with the buyer to discuss your property. The buyer may also ask to see the property. The buyer will appraise the property’s value and assess its condition. If they like what they see, they make a cash offer to buy the house as-is. If you accept the offer, you negotiate the terms of the sale and close the deal together.
Here’s a side-by-side comparison of a traditional home sale, a For Sale by Owner, and cash home sale.
| Realtor | For Sale by Owner | M1 Home Buyers | |
| Commissions Fees | 6 percent | Zero | Zero |
| Closing Costs | Pay up to 100% | Pay up to 100% | We Pay 100% |
| Appraisal Required | Yes | Yes | No |
| Open House/Showings | Yes | Yes | No |
| Repairs/Renovations | Yes | Yes | No |
| Average Selling Time | 60 to 90 days | 6 to 12 months | 7 to 21 days |
Why Choose a Cash Home Sale Over a Traditional Home Sale?
A traditional home sale is still the most popular way to sell a house in Michigan. However, it may not work for you, depending on your situation. Here are some benefits to a cash home sale over a traditional home sale.
1. Little to No Selling Costs
The three most common selling expenses are home repairs, closing costs, and realtor commissions. Combined, all three can eat into your profits by thousands of dollars. When you sell your house for cash to a house-buying company, you incur little to no selling costs.
2. Sell Your House During Personal Hardship
If you are going through a financial or legal hardship, you can sell your house fast to get rid of the property or get out of your mortgage. A cash home buyer can help you overcome hurdles such as bankruptcy, foreclosure, divorce, probate, or a sudden relocation.
3. Close a Home Sale Faster
If you need to sell your house fast in Detroit, Michigan, you don’t have time to go through a long selling process. The average cash home sale – at least with our company – takes seven to 21 days to complete. You can get a cash offer, close the sale, and get cash in your hand within one to three weeks.
Sell My House for Cash in Detroit, Michigan
If you need to sell your house fast, but can’t find a buyer or want to skip the traditional route, we can buy your house. At M1 Home Buyers, we buy houses as-is for cash. Call 248-397-5800 to get a fast cash offer on your house.