- Selling Houses For Fast Cash
- Small Vs. Large WeBuyHouses Companies
- Personalized Service
- The Shotgun Approach
- How To Analyze Company Websites
- WeBuyHouses Scams To Look Out For
- Tips When Inheriting An Estate
- Protecting Your Personal Information
- Are WeBuyHouses Companies Ethical?
- Real Companies Pay Cash
- WeBuyHouses Pitfalls To Watch Out For
- WeBuyHouses Investors
- Beware Of Financing Contingencies
The answer is, that some of them are and as with all things in life: it depends.
Many nationwide companies have a standardized process for how they treat every single client that comes in the door, and their salespeople are trained to operate within those preset standards.
Smaller, privately-owned companies don’t have to follow such a strict business code and can offer more flexible terms and conditions for their clients.
We Buy Houses! – Yea, We Know
The Main Differences Between Small And Large We Buy Houses Companies
Larger “we buy houses” companies are run by publicly traded corporations and have to adhere to the American way of “profit first, people second”.
Smaller, individually-owned cash home buying companies only have to adhere to their own personal code of ethics.
This makes it much simpler to choose between a good and bad company because when dealing one-on-one with someone, you only have to decide what is good within their own character.
It’s up to one single person, not a group of shareholders sitting in a board room.
Dealing directly with one single person that will be purchasing your home is a much safer option in terms of choosing “the right person” to sell your house to, because when you sell your house fast to a large company you aren’t selling to a person!
This is a critical distinction that must be understood by anyone looking to sell their house fast to investors and cash home buyers.
Let’s break it down into a nice clean list.
Large We Buy Houses Companies
- Are publicly traded
- Are beholden to shareholders
- Are run by a large group of people, all with separate controlling interests
- Operate their company by a strict code of “profit first” ethics and standards
- Have extremely rigid rules and regulations
- Wont buy a house with tenants or squatters
Small We Buy Houses Companies
- Are privately owned
- Aren’t beholden to shareholders
- Are run by one single person, or a family of people who are all related
- Operate their company by a personal code of ethics and standards that allows them to be much more flexible when dealing with complicated situations
- Have a set of flexible guidelines that changes based on the needs of the client
- Will buy a house with tenants or squatters.
If you want to know that you are dealing with a reputable, national brand then go with a larger we buy houses company. If you are in a complicated situation where you need personalized, individual assistance then go with a smaller we buy houses company.
The choice is completely yours.
It’s up to each individual client to perform their own due diligence to accurately determine which company is right for them.
It can be challenging, calling multiple companies and asking all sorts of questions and getting quotes, and then having to decide between all of the offers.
This is not recommended by the way!
We call this strategy the “we buy houses shotgun approach”.
The We Buy Houses Shotgun Approach
Calling ten different home buyers and getting ten separate cash offers on your home is what we call the “we buy houses shotgun approach”.
This is extremely stressful for the seller and we highly recommend that you avoid this strategy at all costs.
The reason being is that it creates a high level of stress when you have to field ten different phone calls with 10 separate investors and then turn down 9 of their offers.
I mean if you are up for the challenge – knock yourself out I’m not going to stop you.
I’m just saying that if you carefully sort through your list of investors and do a little bit of digging on their website then you can find one that suits your needs without having to contact an entire laundry list of them.
How To Analyze We Buy Houses Companies Websites To Identify Trust Signals
To quickly identify trust signals on a we buy houses companies website simply go through the list of trust signals and check them off one by one.
- The company is listed with the Better Business Bureau (BBB)
- The company is listed on Yelp
- The company is listed on CrunchBase
- The company is listed on MapQuest
- The company has the owner’s phone number listed on the website
- The company has a picture of the owner on the website
- The company has a link to the owner’s personal social media profiles
- The company has its business license displayed on the website
- The company has reviews and testimonials from past clients posted on their website
- The company has at least 4.5 stars across all of their review platforms
- The company has the owner answer the phone when someone calls in to get a quote
- The company can close the deal within 7 business days
- The company can provide a proof of funds letter proving that they have the money to buy your house
- The website load speed is fast
- The website’s blog is packed with valuable information and resources about how to sell a house
- The company lays out a clear value proposition on their website
- The company has pictures of some of their past house flipping projects posted clearly on their website
- The company has a Facebook Page, LinkedIn, Twitter, and YouTube Channel
- The company is responsive to emails, phone calls, and SMS messages
- The website is 100% custom designed and not like any other website in the space
If you stick to this list of specifications when choosing which we buy houses company to work with then you will be in a much better position to find one that is privately owned and will offer you personalized service.
If you fail to adhere to this list of criteria then you may end up getting scammed and fall victim to an unethical we buy houses company.
And there are plenty of them out there!
We Buy Houses Scams To Watch Out For
- Personal information thieves with no intention of giving you a cash offer
- Not using a well-known public title company
- Wire fraud
- Lending scams
- Lowball offers
- Sales gimmicks and tricks
- Playing the victim
- Blaming someone else
- Shady sales tactics
- Sleazy mental tricks
- Black magic
- NLP (Neurolinguistic Programming)
- Backroom deals
- Unethical practices
- Selling out to another company
- Injecting malware through false links
- Deed forgery
- Title scams
And this is just the tip of the iceberg.
You really need to watch out these days because wire fraud is at an all-time high and has been increasing steadily every year.
Also, if you have inherited a house and the home is owned by an estate in which you are the executor then you need to watch out for Quitclaim deed scams.
We just had a woman in Denver, Colorado attempt to file a Personal Representative deed claim on a house that she had no rights to own and when confronted she claimed that the lawful inheritor, a man from Michigan, wasn’t the rightful heir to the estate.
Are We Buy Houses Companies Ethical?
Are we buy houses companies ethical? They should be able to offer references and payment in cash. In addition, a reputable company will not require a financing contingency or offer to pay you less than 80% of your home’s actual value minus repair costs.
However, some are more ethical than others. Read on to find out what to look for in a reputable company. Also, remember to do your research, and avoid unscrupulous companies.
Reputable companies provide seller references
Reputable companies provide seller references when buying homes. Usually, you can find such references by contacting previous clients. In addition to the references, they will also be able to give you a feel for the price range that is available to you. Asking for references is a good idea, but you should be extra cautious with those you don’t know. Listed below are a few tips on how to find a reputable company that will buy your home.
They pay cash
Selling your home to a We Buy Houses company is a good option if you don’t want to deal with a real estate agent. These companies make offers that are 30% to 50% below market value. In other words, you could lose $75,000 to $125,000 on your house. While not all We Buy Houses companies are the same, they follow the same basic business model. The only difference may be in the details and timelines.
You’ll receive an offer in a matter of minutes if the We Buy Houses company’s online form is complete. This offer is usually non-negotiable. This means that you can close quickly. Another benefit is that most We Buy Houses companies pay cash for your home. In addition to paying all the closing costs, there are no commissions or other fees. You’ll get your offer in cash within a few days or less, depending on the condition of your home.
We Buy Houses companies specialize in purchasing homes in difficult situations. Their investors often have experience with troubled tenants, so they can buy homes in need of repairs. The process of selling a home can be time-consuming and expensive, so you might want to consider a direct home buyer. These companies buy homes fast and often require little or no repairs. This is great news for those who need to sell their homes fast. They’ll pay cash for your home and free you from the burden of property ownership.
However, there are pitfalls to using these We Buy Houses companies. While these companies usually pay cash for houses, you should avoid companies that pay less than market value. Be wary of ads with vague language and unprofessional behavior, such as answering the phone with “hello” or other high-pressure tactics. We buy houses companies pay cash for homes in any condition and can even work in situations where you are in a time crunch.
The We Buy Houses company can purchase your house for up to 80% of market value. If the property has some major problems or needs major repairs, they can offer you a price that is close to fair market value. They pay cash in ten to fourteen business days. It’s a fast and easy way to sell your home and get out from under its burden. The downsides to these companies are that they don’t make full payments and typically offer a lower price than other real estate investors.
They are non-negotiable
When selling a home, homeowners are often faced with a difficult decision. While we buy houses companies are often more ethical than realtors, but not all of them are. Henry Street Property Group is a great example of an ethical and responsible company. It prides itself on its honesty and professionalism and works with homeowners to make a fair offer. Ethical standards are non-negotiable with any We Buy Houses company.
Real estate investors are usually eager to purchase homes that are less than market value. Because these investors don’t need a license, they do not have an obligation to pay fair market prices. This means they can sell homes for far less than market value. Furthermore, there are few regulations and ethical standards for real estate investors. To make sure your deal with a “we buy houses” company is legitimate, research the company thoroughly. Some companies will try to push verbal agreements, requiring upfront application fees, and not ensuring that they are an honest company.
We buy houses companies are ethically transparent and follow strict ethical guidelines. Our goal is to avoid any unnecessary hassles, which means we do not use high-pressure sales techniques. In addition, our team of professionals strives to make sure the entire process is as transparent and stress-free as possible. As a result, you can rest assured that you will be completely satisfied with the service and experience.
They don’t require a financing contingency
The best way to avoid these contingencies is to make sure you have everything you need. Too many contingencies can make your offer less attractive to the seller and could lose you the home to a competing offer. The financing contingency addendum is a complicated document, so make sure you know exactly what you’re getting into. The Greater Capital Area Association of Realtor’s addendum specifies a financing deadline, and failure to meet this deadline will not automatically result in the buyer defaulting or voiding the contract. This also prevents the seller from keeping your earnest money deposit.
A “we buy houses” company’s offers are generally less than market value. This is because these companies are taking a risk buying your distressed property. A cash offer from a fix-and-flip investor will close faster and with fewer hassles than a traditional buyer. However, you can’t count on a “we buy houses” company to pay the full amount you asked for.
Another reason why the We buy houses company doesn’t require monetary conditions is that they don’t require a financing contingency. Having a financing contingency will slow down the home-buying process and cause more work for the seller. A buyer with fewer contingencies is generally preferred by home sellers because they offer less risk and speed up the process. This is because fewer contingencies will likely result in a faster sale.
Adding a financing contingency is an expensive way to avoid a financial bind. A financing contingency is an option that allows the buyer time to secure financing before moving forward. While this option is often avoided by other home buyers, a financing contingency is a good way to protect yourself as a buyer. A financing contingency gives you a few days to find a mortgage. In case you can’t get the loan, you can always take your earnest money back.