Millions of homes are sold and purchased every year in the United States. For many, selling their New Orleans home is a matter of choice or preference. But for others, there’s no choice involved at all — and selling immediately is of necessity.
It might be that you’ve just gone through a divorce. Maybe you inherited a property or you have to move for work. Regardless of the reason, if you need to sell your home fast, you know the stress that can cause.
Unfortunately, We Buy Houses for Cash companies are plentiful, and they’re more than willing to swoop in and “help” you with your situation. You’ve probably seen their signs or online ads.
These companies are owned by or work directly with real estate investors. Their aim is to purchase your home at the lowest possible price and flip the house for a profit. They tout benefits such as not having to pay commission, having no listing or closing fees, choosing your own closing date, and being able to get your home sold quickly in a single transaction.
To some, it sounds like a dream come true. But you should know the truth about We Buy Houses for Cash in New Orleans before you choose to call that number or fill out that online form.
Are New Orleans We Buy Houses for Cash Companies Legit?
Even though the ethics of targeting vulnerable people and convincing them to sell their home for far less than its worth sounds questionable, it’s actually completely legal. Most cash buyers and iBuyers are legitimate businesses that are operating within the realms of the law.
However, that hasn’t stopped scammers from creating their own spin-offs of We Buy Houses for Cash companies.
How to Spot a Scammer
Usually, the main difference between a legal cash buyer and a scammer is that the cash buyer will take on your mortgage as well as your title. A scammer usually takes just the title and leaves you holding the financial bag.
Scammers often promise you that if you accept their offer, you can just transfer the title over to them and make mortgage payments to them. While they say that this saves you having to deal with the mortgage company directly, what’s really happening is you’re paying their bank account and falling into serious debt.
When all is said and done, the scammer makes off with the equity in your home, any funding they were able to obtain with that equity — such as a home equity line of credit — and has let the house fall into foreclosure. They make off with the money, and you’re left with the debt, foreclosed upon home, and ruined credit.
If you’re dealing with a so-called investor or We Buy Houses for Cash company who asks you to sign off the title but never takes control of the mortgage, run, don’t walk, to your nearest exit. This is a real estate scam.
Any time someone offers to “handle” the mortgage, has you pay money to them instead of your mortgage company, or tries to rush you out of the home so they can rent it before the sale is done, they’re probably a scammer.
How Much Will a Cash Buyer Pay for Your New Orleans Home?
Let’s say you go ahead and sell to a legitimate cash buyer or We Buy Houses for Cash company in New Orleans. What will happen? How much can you earn?
On average, legitimate companies pay around 80% of the fair market value of your home. That might not seem bad, but if you do the math, it’s easy to see how much you’re losing.
A typical home in New Orleans sells for around $226,300. A cash buyer paying 80% would offer around $181,040. If you took that deal, you’d be losing $45,260.
That’s assuming a best-case scenario. Many cash buyers in New Orleans only pay 50%, meaning you’d lose $113,150.
When the best case scenario means losing $45,000, it’s safe to say you should seek additional options.
New Orleans iBuyer and Cash Buyer Reviews
There are many We Buy Houses for Cash companies in New Orleans. However, if you search online for ways to sell your home quickly, the top three results are as follows.
One company that comes to the top of the list is a top result in almost every location in America. They are Express Home Buyers, and they are everywhere. They promise that you can get a baseline offer online in as little as seven minutes. After meeting with them once at your property, they’ll make an offer. If you accept it, you can be done with the process in as little as seven days.
Another cash buyer in New Orleans is Big Easy Buyers. They promise to buy your home no matter what the condition. Just fill out a form or call them, meet once at your property, accept their offer, and cash out at closing.
Highest Cash Offer runs a similar business. They’ll take your home in any condition, and they’ll even take over the tenants you have if it’s a rental. Just contact them, meet up, accept their offer, and you’re done in less than two weeks.
It’s worth noting that all of these companies have almost identical processes, and that’s because they’re almost identical companies. They’re all made up of investors looking to buy cheap and sell for a profit, which is why so little attention is given to the details of your home or accurate valuations.
It’s simply not about you, and that’s why working with these companies can be so harmful to sellers.
“Sell Your House for Cash” vs. a Full-Service, Local Real Estate Agent
Working with a local real estate agent provides multiple benefits to you as a seller. Not only do these agents have in-depth knowledge of the market, but they can also often sell your home quickly at far less of a loss to you.
Even if you have to sell in a short amount of time, a qualified and experienced real estate agent will be able to save you thousands and help you meet your goals without being taken advantage of.
Many cash buyers play on misconceptions that people already have about working with real estate agents, and they use those ideas in their marketing. In reality, working with an agent doesn’t have to be an expensive or drawn out process.
Many flat-fee real estate agents, like Clever Partner Agents, work for a low fee so you don’t have to worry about unexpected costs. Clever Partner Agents are verified top performers, and all of them have agreed to work on a flat-fee basis of $3,000 or 1%.
Instead of falling prey to opportunistic cash buyers looking to use desperation to turn a profit, contact a Clever Partner Agent. They’ll work with you to formulate a plan that will meet your goals while saving you thousands so you won’t be taken advantage of.