Selling a property on the open market can take months. On the ‘lucky’ side, it can be three, four, five or six months. If it’s a cool market, you may be looking at a year. Welcome to the property buying process! But what if you could accelerate your timeline and secure the cash you need to cover the cost of relocating, of moving to a new area, of downsizing, of unburdening yourself from an inheritance, of escaping a repossession? House buying companies can help you avoid the hassles of a conventional sale and achieve the goals you have set forth for your life.
What do you need to know about their process?
How Does the Property Buying Process Work with House Buying Companies?
A legitimate, well-regarded house buying company can cut the time it takes to sell your home from months (or longer) to just weeks. Instead of relying on mortgage lenders, which only add to the length of the process, they use their own capital to complete the purchase.
How does this work? While each company will vary a bit in terms of their processes, you will generally:
- Call or fill out a form found on their website. The information required at this point is minimal. You will be asked a few very basic questions, and they will take it from there. Use this as an opportunity to explore your options.
- Receive an offer. Usually within 24 hours, you will receive an initial offer or an ‘indicative offer.’ You are under no obligation to accept. This offer is, as you should be aware, contingent upon the results of valuations and RICS surveys that will take place if you decide to continue.
- Wait for a formal offer. If you do decide to proceed, the house buying company will instruct valuation experts to complete a thorough examination of your property as well as any potential for development.
Will the formal offer differ from the initial or indicative offer? It may. Usually it will only do so if the valuation process reveals an issue that will have a significant impact on the home’s value. Typically the culprit is a major structural issue, such as a damaged foundation or a sieve-like roof. In this case, you may receive a revised offer. In very rare cases, the offer will be rescinded – but again, this only very rarely happens. In any case, the offer is without cost for you and you are under no obligation to accept. You may access any documentation related to your valuation and you may walk away at any point you wish.
- Agree On a Completion Date. If the formal offer is acceptable to you, you will be asked to choose a date for completion. This happens quickly, often within one to three weeks. Make sure that the company with which you are working sets a firm date; this is an indication that they are on board to go ahead with the sale. If they appear ‘wishy washy’ then it is strongly recommended that you consult another company.
On a related note: do not sign an agreement or contract with a buy any house company. This may tie you into a relationship that leaves you stranded for options. Reputable companies put the power and control in your hands and not vice versa.
- When you receive notification that the buyer’s funds have been deposited into your account, you give over your keys. The sale is complete! You have streamlined the property buying process so you can move on to your next steps in life, whether it is buying a new home, relocating, renting, downsizing etc.
Making the Property Buying Process Work for You
There are many reasons why you may want to sell your house, and equally as many goals you want to achieve next. The key to making this process work for you is choosing a reputable cash buying company that specialises in this industry and has the financial standing to purchase your property outright and on a timeline that is acceptable to you.
Doing your due diligence, so to speak, and vetting a house buying company is imperative as you consider taking this route. With the right partner on your side, though, you can sell your house, have cash in your account and move forward with sure footing.