“WE BUY HOUSES FOR CASH!”
You’ve seen the signs all over the place. They’re on billboards, Internet ad sites, and even telephone poles. Buying houses and flipping them is a multi-billion-dollar industry, run mainly by small groups of private investors operating in local markets. Quoted in the Washington Times in 2011, one of these investors explains:
“We can be a real advantage to folks who don’t want to wait or don’t have the money or time to spend on repairs,” says Brad Chandler, CEO of Express Homebuyers, a Washington-based company formed in 2002. A bit of research online will reveal bunches of these services all over the country, with a plethora of reviews, recommendations, and feedback that can be useful when you’re considering this.
Of course, there’s one case in which getting cash “on the barrel” is a terrific option: if your plans include options or plans such as a once-in-a-lifetime opportunity elsewhere, a cash-for-your-house deal gives you resources and helps you “cut ties” with minimal fuss. And many folks also see this market as its own opportunity: several “gurus” in the business recruit entrepreneurial types to join their investor teams with the enticement of building a business “without risking any of your own money.”
But guess who (all too often) takes the risk instead?
Due to no fault of your own, you may find yourself in the unenviable position of being in a home you can’t afford to keep and can’t afford to repair. In this case, quick cash can be a tempting “release valve” for the pressure you’re under; especially if you’re facing foreclosure, you may see it as your only option. Truthfully, for many years, the “cash for your (distressed) home” option was just that.
But THAT’S NOT THE CASE ANYMORE.
Now, there’s a better way: MaxSalePrice.com.
Let’s face it: real estate investors aren’t in the business to be knights in shining armor, riding in on white steeds to save your day. They’re businesspeople, and their business is “turning over” real estate. Which means a few things:
- They’re not going to offer top dollar for your home.
- They’re not going to put YOUR interests first.
- Their product is failure: ours is success.
So let’s talk about how each of these affects your situation.
Sale Price vs. Your Home’s Equity
While cash in your pocket and/or a payoff of your mortgage may be a large weight off your mind, what many homeowners find, to their dismay, is that a cash-for-homes sale turns into a large weight off their wallets! According to Bankrate.com, the typical cash-for-your-home deal offers considerably less than your home is worth, averaging about 65 cents on the dollar. Cash-for-houses investors don’t care about the equity already in the house, except in terms of being a “ballpark” for their offer.
In other words, if you tell an investor you owe $75K on the house, don’t be surprised if that’s the sale price they propose. You get the “monkey off your back,” maybe…but you leave the house with nothing. They’re not being “mean”; in their eyes, you’re a “beggar” who can’t be a “chooser.”
There’s some truth to this assumption, unfortunately. If you’re trying merely to escape an untenable situation, any money may seem better than none at all; and, until MaxSalePrice.com was born, it may have been a choice of the “rock” or the “hard place.” Fortunately, now you don’t have to settle for less than your home is worth—even if it’s a little cosmetically challenged!—in order to salvage your good name, credit rating, and ability to get into better housing in the future.
MaxSalePrice.com is a for-profit concern…so in that sense, it can sound much like the independent investor dangling cash in front of your eyes. But the surface is where the similarities end. Unlike professional “flippers,” our object isn’t to “buy low and sell high.” In fact, we don’t buy houses at all. Instead, we help YOU to sell, quickly, and for top dollar.
Our mission is helping you keep the maximum possible return from the sale of your home, regardless of how dire your present financial situation may be. We don’t think you’re a “beggar,” and that’s why we give you a better choice.
And Speaking of Equity…
That brings us to our second point about cash-for-your-home setups: usually, the investors will take your house off your hands for 60 to 70 percent of its potential value—or less, depending on the state of the market. But then, they’ll flip it to another investor or owner-occupant for 80 to 85 percent of its value—or more. If this sounds like a bad deal to you, your instincts are correct!
Also, plainly put, your distressed circumstances aren’t sufficient excuse to remove your liability with your mortgage holder or bank. If you get less than 60 percent of your home’s value, you could still be left paying what remains of the mortgage, while at the same time no longer having a place to live.Talk about a “lose-lose”!
…Which Is the Heart of the Matter.
Bottom line? It may seem paradoxical, but the size of the cash-for-houses industry is a clear affirmation of our business plan. The difference is we’re doing it better for YOU. Instead of the shame of having a “flipper” take over your home, MaxSalePrice.com enables you to keep your dignity. Cash-for-house deals need failure in order to thrive; on the other hand, our process enables BOTH parties in the equation to succeed. We believe that we’ve found a better way—one that reaches out a helping hand rather than grasping at a bargain for its own sake.