cash home buyers: The Good, the Bad, and the Ugly

There are many reasons why a person may want to sell a home quickly. Such as an opportunity has come to the attention of the seller and without cash, the opportunity will pass them by. Or perhaps the seller has taken a new job out of the area and he must sell soon in order to avoid paying two house payments. Ten there are the usual suspects. Divorce, death, and unwanted sell my home for cash inheritance are some of them. In addition, some people lose their jobs or there money stream has been broken or reduced to the extent that they can no longer make the payments on the house. Unfortunate as some of these events are, there are several ways in which to sell, reduce or limit your liability on a house.

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Probably the fastest way to sell a home quickly is to contact a Buy Homes type investor. An investor will pay cash and close on the home in days rather than months. They can do this because they will discount the house price to an amount that allows them to transfer the rights to a rehabber for an assignment fee of between one thousand and three thousand dollars. The rehabber will in turn invest money into the repair and update the house to make it more appealing to the retail buyer and then put the home on the market for sale.

Another way to get out from under your house payments is to sell your home through owner finance. In this way you can find someone, rather fast, who is willing to give you a down payment and a monthly payment amount that is equal to or greater than your house payment, taxes and insurance. In addition, because they have agreed to purchase the home at some point in the future, they must be responsible for the upkeep and maintenance.

A third way is to rent to own. Similar to owner finance, you collect a sizable deposit and rent that again, equals or exceeds your monthly liability on the house. In addition, because the tenants are hoping to buy the house at a future date you would write up an option agreement that specifies the price of the home and the date by which they must close on the house with new financing in place through a third party such as a bank.

One more way is to sell the house in what is termed subject to. The way in which this works is you sign over your deed to a buyer and the buyer signs a promissory note to make the payments on the house. There are variations to this such as money up front to the seller or the buyer agrees refinance the mortgage by a certain date.

In each of the above methods, you have been able cash home buyers to get out from under the liability of a mortgage payment and you have contracted the house very quickly. In addition, you have paid no realtor commissions. Each method is set up for a certain type of buyer, but done properly and with the right amount of down payment, deposit or money up front is well worth the time spent if the buyer does not fulfill their end of the contract before the time to refinance expires. Because in most cases you are going to keep the option money which will help you find another buyer if you need to.

Venturing into the world of wholesaling can be a very lucrative decision. If there has ever been a time when buying and selling houses is proving to be profitable, it is definitely right now. One of the most important steps to take before you begin the wholesaling process is building your buyers list. It is crucial to have a list of investors already in place for a variety of reasons. It determines what areas of town you should focus on, it ensures that your houses will sell quickly, and it keeps the cash flow positive.

Having a variety of different types of investors can prove to be invaluable. Making sure to include both high-end and low-end property landlords, contractors, rehabbers, new and seasoned cash buyers, as well as bargain buyers and wholesale buyers in your list puts you in a position to sell houses at every level.

There are several ways to go about finding buyers for your list. Begin building your list of buyers by marketing to the masses. Placing ads in the classified sections of the newspapers and also replying to current classified ads are good ways to start. Sending direct mail to mortgage brokers and realtors can and connect you with potential investors. Another way to network with potential buyers is by visiting your local Real Estate Investor Association (REIA) clubs where. Use your business cards and get as many business cards of others as you can. Visiting local churches and letting the priests, pastors, etc. know what you do and offering your help to parishioners and members of the clergy is another way to connect with possible buyers.

Take advantage of the massive resources technology has to offer. Place ads in online classified sections, Craigslist, and eBay. Peruse specialty websites such Home-Buyers.com, Buyers.com, FindMoreBuyers.com, and We Buy Houses.com. A great resource for finding non owner occupied leads and wholesale buyers is Listsource.com. Leads for landlord type buyers can also be generated via websites such as Socialserve.org or by just Googling the public housing authority for a specific area and viewing the section eight units. Other buyers can be found on websites such as Kijiji.com, and Backpage.com. Take part in online forums and websites specializing in real estate. Peruse websites like Craigslist and eBay. Join and visit social networking sites such as Facebook, MySpace, and Twitter. Media marketing on television and over the radio is another way to generate leads.

When you do get responses from possible buyers you need to make sure you ask them the right questions to establish your relationship and secure the potential for future deals. Knowing the right questions to ask is key. Besides asking for general information such as name, telephone number, and email address, you should also ask for what areas they prefer and if they can close with cash immediately. Asking what their price range is and if they would be interested in future deals is beneficial. Investors should also be asked if whether or not they are interested in rental properties and rehabbing opportunities. Inquiring about specific criteria will allow you to create a more clearly defined list of buyers in your database. Building a buyers list is an ongoing process and should be constantly monitored, refined, and growing. When the list has been established, it is time to find the deal and the money will come.