Millions of Canadians move each year, meaning that it’s likely you might relocate to a new home at some point during your life. But when it comes time to sell your home, you might assume your only option is to work with a real estate agent and put your home up for sale on the MLS (Multiple Listing Service)
Unfortunately, the MLS isn’t always the best way to go about selling your home quickly. And while realtors provide valuable information, there is no guarantee to find a buyer if their main service is to ‘list’ your home. In some communities you may even find that you’re able to fetch a similar price for your home in its current condition faster when you seek out direct buyers who pay cash for homes.
Below are just a few reasons that home sellers will often forgo working with agents in favor of finding cash home buyers instead.
Commission Fees
It’s important to remember that, when selling a home the traditional way, the final sales price of your home doesn’t represent what you’ll actually receive. One of the many fees you’ll have to pay is your real estate agent’s commission. In Canada, there’s no set rate that all agents receive for their commission. Although commission fees typically range between 3% and 5% of the final sales price, some agents may actually charge additional fees on top of a flat fee. It totally depends on the agent, brokerage and your agreement. But no matter what, you’ll have to earmark a portion of the sales payment for your agent — and some sellers don’t particularly enjoy the thought of that. If you have the know-how, and aren’t pressed for time on your sale, you can try a marketing service or discount broker that may charge either a flat fee or a discounted commission to help you sell. If you do have to sell quickly or just want to know what you can get for your home now, then look into a cash buyer service that will forgo any fees.
Required Repairs
Homeowners will usually be advised to make certain repairs or upgrades prior to listing their properties for sale to help them get the highest price and sell quicker. These recommendations are usually based on an agent’s expertise regarding buyer preferences and comparable homes in the area. That said, these upgrades can often be a gamble. There aren’t many home improvement projects that will provide a 100% return on investment. What’s more, having that much wiggle room in your budget is a luxury that many sellers simply don’t have today. When your budget is already stretched thin, it may not be feasible to invest money in a property you intend to leave. Fortunately, those who offer cash for homes will buy properties as-is — which means no upgrades or repairs are necessary.
Delayed Sales
Traditional home sales often take a lot longer than you’d think. Properties can sit on the market for quite a while before an offer comes in. And when buyers use conventional financing options, it can take 30 to 90 days from the time you accept the offer until they can actually close on the property. As a result, many homes can take at least a few months to close and get the cash to you. Many times if your home isn’t in pristine condition, you can wait a lot longer for a retail buyer to decide to purchase it. Delayed sales can translate to undue financial and emotional stress, particularly for those who are facing foreclosure, job relocation, or other personal events. When you work with buyers who offer cash for homes, however, you’ll be able to speed up the process exponentially and gain total control over how quickly you close.
Ultimately, there’s nothing that says you have to sell your home via the MLS — and for that matter, there may be some very valid reasons not to. If you’re working with a limited budget or have only a small window of time in which to tell your property, selling a house for cash may be the best option for you. To learn more about working with cash home buyers in Calgary, please contact our team today. We’d love to help you get a fresh start fast.