The Evergreen State sees its fair share of home sales, and it’s no wonder. The beautiful scenery and nature-oriented lifestyle draw many people to its cities and rural towns alike. But there are some buyers in Washington more eager to purchase than others — We Buy Houses for Cash companies.
These companies offer to pay cash for your house. You don’t have to use a real estate agent, conduct showings, or wait very long at all to sell your home. It seems like a great deal to some, but what they don’t tell you is that you’ll be earning well below market value on your home.
We Buy Houses for Cash companies target buyers who need their home sold right away. The urgency could stem from a divorce, relocation, or a number of other issues. Regardless of the reason, these companies swoop in and offer what seems to be irresistible.
But are these companies as legitimate as they claim to be? How can you be sure you’re not falling victim to a scam? And could there be a better option?
Are Washington We Buy Houses for Cash Companies Legit?
Most We Buy Houses for Cash companies are legitimate, even if the ethics behind them seem questionable. These companies are typically run or work with real estate investors who are looking to flip your home for a profit.
Their goal is to purchase your home for as little money as possible, spend as little time renovating it as they can, and then sell it for a profit. The process for the seller is that they meet with the company once (maybe), get an offer on their home, accept the cash, and transfer the title and mortgage.
However, for every legitimate cash buyer, there’s another scammer waiting in the wings. Sometimes, it can be hard to tell the difference between a real estate scam and a legitimate company.
How to Tell the Difference Between a Scam and a Legit Company
Legitimate companies will typically take over both the title and the mortgage. (If their offer for your home almost exactly equals the outstanding balance on your mortgage, that’s not an accident.)
Scammers, on the other hand, will tell you that they can handle the mortgage — just pay them. They’ll take over the title and you’ll think they have a mortgage, too.
But what’s really happening is they’re using the equity in your home (now their home) to secure financing, allowing your home to go into foreclosure, and will soon take off with the money leaving you with the foreclosed home and newly ruined credit rating.
If you’re being rushed to move out, the buyer wants to start renting your home before the sale is even complete or offers to “handle” the mortgage, it’s a scam.
Always keep in mind that whether legitimate or not, these companies all target vulnerable people who are desperate to sell their home. They know they are undervaluing your property, and they do not have your best interest at heart.
How Much Will a Cash Buyer Pay for Your Washington Home?
A typical cash buying company will pay, at most, 80% of the market value for your home. You might not think that’s a terrible rate, but it can end up costing you tens of thousands of dollars.
For example, take an average Washington home. The median value for a home in Washington is $339,000. A cash buyer paying 80% will offer about $271,200. That means you’ll lose around $67,800 off the fair market value. And that’s in a best-case scenario.
Many cash buyers offer as low as 50% of the fair market value, meaning on that same home you’d lose $169,500.
Unless you’re a fan of losing tens of thousands of dollars for the sake of convenience, We Buy Houses for Cash isn’t the best option.
Washington iBuyer and Cash Buyer Reviews
One of the top ranking cash buyers on Google for Washington State is Best Choice Homebuyer. They offer you the ability to contact them, get a quote, and sell in three easy steps. You even get to pick your closing date.
Express Home Buyers is another company that shows up for Washington State if you search terms like “sell my home fast” This particular company shows up in nearly every state because they work nationally. They match people who need to sell their homes with real estate investors looking to flip homes to make a profit.
Highest Cash Offer lists the same three steps and the same benefits as almost every other We Buy Houses for Cash company in Washington. You get to sell, get paid, and move out on your terms.
But what’s important to remember is that all these companies sound the same for a reason — they are the same. They all offer zero closing fees, no commission, and the “hassle-free” process so attractive to those who need to get rid of their home in a hurry.
What they won’t tell you is that you pay astronomical fees, they’re just all wrapped up in that huge financial loss you’ll be settling for.
“Sell Your House for Cash” vs. a Full-Service, Local Real Estate Agent
It’s easy to be attracted to the simple process of meet, sell, and close. But you’re paying far too great a price for the perceived convenience of working with cash buyers.
While these companies say you can save on commission, closing fees, and the so-called hassle of working with a real estate agent, much of that language is misleading.
For one thing, with as little as iBuyers and similar companies pay for your home, you’ll lose more with them than you’ll ever pay in listing or closing fees. Plus, there are many flat-fee real estate agents, like Clever Partner Agents.
Clever Partner Agents work for a flat fee of $3,000 or 1%, and they can help you sell your home for a fair price — even if you need to sell it in a hurry. Instead of losing tens of thousands of dollars for the sake of convenience, contact a Clever Partner Agent who knows the area and can advocate for your best interests.