Suppose I’m selling my house for $800k in California. I have a buyer with a traditional financing arrangement (30 year loan) and a cash buyer. As the seller, I get my money regardless of whether a bank pays me or an individual cash buyer. Why do people get excited over the cash buyer?
In: Economics
Cause the cash buyer has all the money ready to go. They don’t have to then go ask the bank for the money.
That’s an extra step that could go wrong. The bank might decide they don’t like the house or think it’s worth that much. It might take a long time and leave you tied up. There’s a number of things that could go wrong.
Cash is just easy. Why risk the headache when you can just get your money now?
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