All-cash home purchases are becoming more common. In 2023, about 1 in 3 homes sold in the U.S. were all-cash purchases. Cash buyers accounted for 28% of all home purchases in Minneapolis, and 25% of all home purchases in Milwaukee. If you put your Northwestern WI home on the market this year, there’s a chance you could see an all-cash offer.
For home sellers, cash offers provide several advantages:
- No lender appraisal
- No home inspection mandate
- No waiting on the buyer’s final mortgage approval
- Faster closing
There is one big disadvantage of an all-cash offer. Cash buyers know they have clout, and they expect to pay less for your home, in return for the convenience they provide. Statistics back this up: the Journal of Finance reports that cash buyers pay 10% less for a home, on average, than a buyer with a mortgage.
Note: if you receive an unsolicited cash offer out of the blue, when your home isn’t on the market, you could be dealing with a “we buy houses” company. These types of buyers only offer a fraction of your market value! No matter the condition of your home, it is probably worth much more than their proposal. This is just one reason why knowing your home’s market valuation is important.
When selling your NW Wisconsin home, take a close look at each offer you receive and evaluate it against your priorities. If your goal is to get top dollar for your home, then a cash offer may not be the best offer. But, if you need a quick closing, a cash offer could be an attractive solution. We will present all offers to you promptly and discuss their merits, so you can make the best decision for your needs!
Six Lakes Realty is a locally-owned family business, with over 45 years of experience in Northwestern Wisconsin real estate. Contact us today for friendly, hometown service!
John Flor
Managing Broker
Six Lakes Realty
Office: (715) 924-4806
Email: john@sixlakesrealty.com