Key Takeaways
- Typically, cash home sales take between 7-14 days to close, as opposed to traditional financed sales, which take 30-60 days.
- The elimination of mortgage approval processes removes the single biggest source of closing delay.
- Cash buyers also buy homes “as is,” thus avoiding repairs and inspection issues.
- The more parties to the cash transfer operation, the more paperwork and the longer it will take to complete the process.
- Sellers have more power in controlling closing times when dealing with cash buyers.
Blog Objectives
This blog aims to educate readers about the process and timeline involved in selling a home for cash. By reading this, homeowners will gain knowledge of the possible time span it will take for the cash home sale to close.
Advantage in Speed
When financial pressures mount or life situations require one to act fast, homeowners often feel like they’re at a dead end. A fast cash home sale offers a streamlined alternative to traditional real estate transactions by skirting most of the delays found in conventional sales.
Companies like We Buy Houses As Is specialize in quickly buying properties for cash and can provide homeowners with a seamless, hassle-free alternative to long bank approvals, costly repairs, and an uncertain closing timeline, turning what could be an ordeal that lasts many months into a matter of days or weeks.
Did You Know?
Some of the research estimates that it takes 30-45 days on average to close a traditional home sale in the United States after an offer has been accepted, and often longer than three months from listing to close. In contrast, cash transactions can close in as little as seven days, which is an 85% reduction in closing time compared to financed purchases.
Timeline of Cash Sale
The actual speed of a fast cash home sale is dependent on various factors, although the process is usually on a more compressed timeline that cannot be matched by a traditional sale.
Initial Contact to Offer: 24-48 Hours
Cash buyers generally take less time during the initial assessment. Once you reach out to a buying company for cash, they will:
- Schedule a property walkthrough within 24 hours.
- Determine the condition and value of the property
- Present an obligation-free cash offer in 24-48 hours
- Provide transparent pricing, do not include hidden fees.
This rapid response time contrastingly stands opposite to traditional sales, in which the preparation of listings, market exposure, and identification of buyers can take many weeks or even months.
Acceptance to Closing: 7-14 Days
Once you accept a cash offer, the closing process moves very fast. When you sell a house fast for cash, you bypass the mortgage approval process, which usually takes 30 to 45 days. The remaining steps include:
- Title search and clearance (3-5 days)
- Preparation of closing documents (2-3 days)
- Final walkthrough and signing (1 day)
What Makes Cash Sales Faster?
No Financing Contingencies
Traditional buyers have to get approval for a mortgage, and this includes:
- Credit checks and verification of income
- Appraisals of properties ordered by lenders
- Underwriting reviews which may request supplemental documentation
- The potential loan denials that restart the entire process
Cash transactions eliminate these obstacles fully, making the way smooth to closing.
Minimum Inspections and Repairs
In most cases, when you’re pursuing a quick home sale for cash, buyers purchase homes in their existing condition. This means:
- No compulsory repair negotiations
- No waiting for contractor estimates
- No re-inspections after repairs
- No appraisal-driven price reductions
Simplified Documentation
Cash sales generally involve less paperwork than financed transactions, as they do not require:
- Loan application and other financial documents
- Lender-required insurance and escrow arrangements
- Mortgage-related disclosures and certifications
Factors That Can Affect Your Timeline
Although cash transactions are processed speedily, certain circumstances may lengthen the process:
Title Issues
Outstanding liens, boundary disagreements, or questions of ownership must be resolved before closing. Experienced cash buyers may have the means of resolving such problems expeditiously.
Seller Preferences
Some homeowners need a longer period to relocate or to organize their next abode. Legitimate cash home buyers can meet your needs and respond to your timely request.
Complex Property Situations
Properties with more than one owner, estate properties, or those that have undergone pre-foreclosure may call for more legal processes, thus making it take longer.
Comparing Cash Sales with Normal Transactions
These are just a few of the things that show you what makes selling your house fast for cash different from other more conventional means of selling your house.
The timeline for a traditional sale is:
- Getting the property ready and making repairs: 2 to 4 weeks
- Profiling in the market and finding buyers: 2 to 8 weeks
- Offer negotiation: 1–2 weeks
- Negotiating for repairs and inspections: 2 to 3 weeks
- Getting a mortgage approved and underwritten takes 3 to 6 weeks.
- Closing Preparation: 1-2 weeks
- Total: 11 to 25
Cash Sale Timeline:
- First Contact and Offering: 1-2 days
- Acceptance to Closing: 7-14 Days
- Total: 1-2 days
Speed Meets Certainty
The flexibility to get fast cash for home sale helps to ensure homeowners get speed and certainty in the midst of unforeseen circumstances. This ranges from cases of foreclosures, dealing with inherited properties, divorce proceedings, as well as circumstances that call for urgent removal to a different place.
Working with experienced cash buyers like We Buy Houses As Is, we guarantee to our sellers they’re working with someone to get a fair, efficient deal. All our experience with fast transactions for our sellers means your home will get fair market value quickly.
FAQs:
- Can I actually close a cash home sale in seven days?
Yes, many cash purchasers can settle transactions within 7-14 days if their titles are clear and they are ready.
- Do any repairs need to be made to sell for cash?
No, reputable cash buyers will only purchase the properties “as-is,” thus there will be no need to fix anything.
- Are cash offers less than traditional market offers?
Cash offers, while perhaps slightly lower, avoid the commissions of agents, repair costs, and costs of holding properties for extended periods of sale.
- What documents do I need for a cash sale?
The typical requirements include proof of ownership, identification, as well as property tax records, with your cash buyer helping you with those.
- Can I choose the date to close with a cash transaction?
Cash buyers often have flexible closing dates, arranging for a closing within a reasonable timeframe.