Selling Your House For Cash Online: Local Homebuyer vs Nationwide iBuyers
Selling your house for cash online to a professional home buyer is becoming more and more common every day. Starting the process of getting a cash offer online is simple, fast, and convenient. However, not all online home buyers are the same.
There are two primary types of home buyers you will encounter when you begin to search for cash house buyers in your area. The first is going to be local cash house buyers. These are smaller companies that are local to your city or region. They likely live and work in your area and only buy houses in your city. For example, Capstone Homebuyers buys houses in San Antonio and the surrounding areas but not outside of the greater San Antonio area.
The other types of house buyers you will encounter are nationwide home buyers. These are corporations that are typically headquartered in San Francisco (the tech hub) and they have employees working for them across the country. These types of companies are typically known as iBuyers.
Here we will discuss working with the local homebuyer from your city versus working with a nationwide iBuyer. There are pros and cons to both and after reading, you should be able to decide which type of buyer you prefer to work with.
Selling Your House For Cash Online: Local Homebuyer vs Nationwide iBuyers
The number one reason to look online for a cash house buyer is convenience. You can start the process from the comfort of your home and do not have to take time off work or away from your family to meet with real estate agents or open your home up for showings. The most common reasons people choose to work with an iBuyer are below:
You Need To Sell A Home For Cash Quickly
If you need to sell your house for cash quickly, working with an online home buyer is the best option. You can have a contract signed and the sale of your home completed in as little as 7 days. On the other hand, if you list your home with a real estate agent, it could take months to find a qualified buyer
You Need To Sell A Home As-Is
Another advantage to working with an online home buyer is that you can sell your home as-is. This means that you do not have to make any repairs or updates to your home before selling. You can simply request a cash offer and once the sale is complete, the new owners will be responsible for making any necessary repairs or updates.
You Can Test the Waters of The Market To See What Your House is Worth
If you are curious about what your home might sell for on the open market, working with an online home buyer is a great way to test the waters. You can request a cash offer and if you do not like the number, you are under no obligation to accept it. This is a great way to get a feel for what your house might be worth if you were to sell for cash.
You Don't Want To Hassle With A Traditional Listing
If you do not want to hassle with listing your home and dealing with showings, real estate agents, etc., working with an online home buyer is a great solution. You can simply request a cash offer and if you like the number, sell your home without having to deal with any of the traditional selling hassles.
Pros of Selling To A Nationwide iBuyer:
Selling your house fast to a nationwide iBuyer can definitely have some pluses. For one, if national brand recognition is important to you, then this might be the way to go. Another thing is that when you work with a national brand, you feel like you can rely on their ability to follow through.
You Can Get An Offer Within Minutes of Filling Out Your Information
When you work with an iBuyer, you can get an offer on your home within minutes of filling out your information. This is a great way to get a feel for what your home might be worth without having to wait around for days or weeks. If you are just testing the market, this type of computer-generated offer can be all you need to see what your house is worth.
They Have A National Presence
As we mentioned above, one of the pros of selling to a nationwide iBuyer is that you can rely on their brand and ability to follow through. These companies have a national presence and are typically headquartered in tech hubs like San Francisco. This means that they have the resources to work virtually.
Their Process Is Completely Virtual and You Don't Meet Anyone in Person
Another advantage of selling to an iBuyer is that you never have to meet anyone in person. The entire process is completely virtual and you can do everything from the comfort of your home. This is a great option if you are not comfortable having strangers in your home or if you live in a remote area.
Cons of Selling To A Nationwide iBuyer
Of course, there are also some disadvantages to selling your home to a nationwide iBuyer. There have been mixed reviews about the reliability and they aren’t local to your area. We have listed some of the more common negatives about selling directly to a nationwide iBuyer.
The Initial Offer Will Change After An Inspection
You should be aware that the initial offer you receive from a nationwide iBuyer will likely change after an inspection. The reason for this is because they use computer-generated models to make their offers and these models don’t take into account things like needed repairs. So, if your home needs some work, the offer you receive will change once they conduct their inspection.
They Typically Charge Fees That Are About The Same As A Realtor's Commission
While it might seem like you are saving money by not having to pay a real estate agent’s commission, you should be aware that most iBuyers will charge fees that are about the same as a realtor’s commission. So, while you might not have to pay a traditional commission, you will likely end up paying fees that will be the same dollar amount to your bottom line.
You Never Work With The Actual Decision Maker
When you sell your home to a nationwide iBuyer, you never actually work with the decision maker. Instead, you work with an agent who works for the company. This can be frustrating if you have questions or need clarification on an offer. You might not be able to get the answers you are looking for in a timely manner. Also, you never know who is actually responsible for making sure the sale of your home closes and closes on time.
Selling To A Local Home Buyer From San Antonio
When you sell your house for cash to a local homebuyer, you still have to weigh the pros and cons to make sure it is the right decision for you. Here are some things to consider:
Pros of Selling To A Local Cash House Buyer:
You will most likely get a higher price for your home. Because they are not bound by the same computer-generated models that iBuyers use, they can pay more for your home. This is because they take into account things like repairs that need to be made and the current market conditions in your area.
You Know Who You Are Dealing With
When you sell your home to a local cash buyer, you will actually know who you are dealing with. This is important because you will be able to ask questions and get clarification in a timely manner. Also, the person you are dealing with will be responsible for making sure the sale of your house goes through and closes on time.
It Is Easy to Verify Reviews
When you are looking for a local cash buyer, it is easy to verify their reviews. You can look at sites like the Better Business Bureau and Yelp to see what other people have said about them. This is important because you want to make sure the reviews you are reading are about the same people you are selling to, not some out-of-town office that doesn’t represent the same experience you will have.
They Have The Ability To Buy Faster Than An iBuyer
Local cash buyers usually have the ability to buy your home faster than an iBuyer. This is because they don’t have to go through the same approval process that an iBuyer does. They can usually make you an offer within 24 hours and close on the sale of your home in as little as 7 days. Also, since the decision maker is the one who made you the offer, you know the offer isn’t subject to change.
They Have Local and Personal Relationships
Local cash buyers usually have personal relationships with the people they work with. This means they can usually get things done faster and more efficiently. For example, if the title company needs to rush a file or service, the local buyer can call in a favor. If you need to get some of your funding prior to closing, a local buyer may have the flexibility to give you a cash advance.
You Will Receive Better Customer Service
Local cash buyers usually provide better customer service than iBuyers. This is because they are focused on building relationships with their customers. They want you to be a repeat customer and will work hard to make sure you are happy with the sale of your home. Also, much of their business is from word of mouth and referrals so they are very invested in making sure your experience is top-notch.
Cons of Selling To A Local Cash House Buyer:
You Won't Get A Computer Generated Offer Instantly
When you sell your home to a local cash buyer, you won’t get an offer instantly as you do with an iBuyer. This is because they don’t rely on computer algorithms to generate a generic offer that is subject to change after inspection. You might have to wait 24 hours before you get an actual offer from a local buyer.
Most Local Buyers Must See Your House Before Making You An Offer
While some local buyers will make you an offer without seeing your house, most of them will want to see it before they make you an offer. This is because they want to make sure there are no surprises and verify the condition of the house. As we mentioned before, most homebuyers will come out to view your house within 24 hours.
You Have to Check Reviews to Make Sure Your Buyer Is Reputable
As with anything, you have to be careful when selling to a local cash buyer. There are some reputable buyers out there, but there are also some that are not so reputable. This is why it is important to check the reviews of any local buyer you are thinking about working with. You can look at sites like the Better Business Bureau and Google Reviews, or see if they have any video testimonial reviews on their website of local homeowners.
Sell Your House Fast With a Cash Offer From Capstone Homebuyers
You’re thinking of selling your house and you’re not sure if you should sell to an iBuyer or work with a local cash buyer.
There are pros and cons to both selling methods, but at the end of the day, you want to make sure you’re working with someone you can trust.
Selling your house to Capstone Homebuyers is more than just filling out a form and letting a computer do the rest. We’re real people who care about our clients and want to help them through the home selling process. Our years of experience have taught us that every situation is unique, so we take the time to listen and understand what our clients need.