Sell Your House For Cash For Privacy Concerns
Selling a house the traditional way where a realtor lists it on the market is the route most people take when they decide to sell. When you sell your house for cash directly to an investor, it is less common but usually done for good reason.
Most people think that the benefits when you sell your house for cash are a quick settlement, less headaches, and less effort. But one important benefit that is often overlooked is the privacy aspect.
The Privacy Aspect When You Sell Your House For Cash
When you sell your house for cash to an investor, there are typically only a few (and in many cases only one) showings, and no one can see publicly that the house is being sold. This means no open houses or nosy neighbors taking a look at your property.
Compare this to selling a house the traditional way. This route is accompanied by several showings, inspections, open houses, appraisals, etc. The thought of opening up your home to have people walk through all the time is a stressful concept for pretty much everyone.
For these reasons, selling a house for cash directly to an investor is the preferred route for many sellers who would like to maintain their privacy. This might not be the only reason someone chooses to sell their house off market to an investor, but we have seen it be one of the most attractive reasons as to why people choose to sell their house this way.
Maintenance Needs Can Make A Private Cash Sale Attractive
Houses take lots of work and effort to maintain and keep orderly. Over extended periods of time, the snowball can grow larger and larger in terms of maintenance needs that accumulate. I owned a property that I used as a rental for several years, and it gradually became worn down and needed a good bit of maintenance.
Selling A House For Cash Case Study #1
A friend of mine was aggressively looking to purchase property and I casually mentioned I was thinking about selling it. It had become a bit of a headache with the tenant living there so I figured selling it would be the best option.
My buddy mentioned that he would like to buy it from me direct as opposed to me having to list it on the market with a realtor. After determining a fair value for being able to sell it without fixing anything up, we agreed on a fair price and had a “handshake” agreement in place.
It was below market value, but I was incredibly relieved to not have to deal with fixing anything up, having to do showings, and having all of the nosy neighbors come look at the house.
Ultimately, his finances were tied up with another property he was trying to sell and I didn’t have the patience to wait on him, so I ended up selling it on the market. I had to spend tens of thousands of dollars to get it fixed up and then had to deal with showings galore. It would have been a much simpler and less invasive ordeal had I sold the house fast direct to an investor like I originally planned on.
Selling A House For Cash When It Is Cluttered
This was an example of maintenance needs accumulating over time, but another common reason we see people sell a house for cash to an investor is because of clutter that is compounded over the years. Over the years some people accumulate lots of belongings and have a hard time getting rid of it.
We have seen on multiple occasions where someone just needs a fresh start. Selling their house in this condition on the open market with a realtor is usually the last thing someone wants to do. No one wants to have people snooping through their home, especially when it is cluttered.
When the house gets to the point where it has lots of deferred maintenance and lots of belongings inside of it, pressing the “reset” button is something many people will do. By selling your house for cash to an investor, you are able to select the items they would like to keep and leave everything else that is no longer wanted.
Selling A House For Cash Case Study #2
We dealt with someone who had wanted to move out of state with his wife so they could start fresh after living in the same property for 25+ years. There was a lot of clutter in the house, as well as some maintenance concerns, so they did not want any of their neighbors being able to take a look inside of their home.
They loaded up several PODS (storage/moving containers) and then left everything they didn’t want. This was a win-win for everyone, they were able to sell their house for cash for a good price, and also maintain privacy for themselves and their family.
When you sell your house for cash to an investor, there is nothing that is posted on any of the MLS (Zillow, Redfin, etc.) sites and no one gets a notification that a sale occurred. There is also no sign in the yard, and nothing at all indicating the property is for sale or in the process of being sold.
The only way someone will know the property sold is by checking the county’s tax assessment website. Most people have no idea how to do this, however.
How To Sell Your House For Cash To Maintain Privacy
If you’re reading this and can relate to it, there are a few ways you can ensure that your privacy will be maintained during the process of selling your house for cash:
Find An Experienced Investor
Dealing with an experienced investor who knows how to handle situations in which a seller wants to maintain privacy is very important when you sell your house for cash. Wholesalers who pretend to be investors should be avoided at all costs when selling your house as is.
Avoid Wholesalers At All Costs
The reason is because they will invade your privacy by blasting your property pictures and details to their list of buyers unbeknownst to you. They advertise that you can sell your house fast for cash with complete privacy, but this is generally not the case. Check out our other articles to learn the red flags you should look for to determine if you’re dealing with a wholesaler.
Communicate Your Need For Privacy
Once you are comfortable with an investor that you plan on moving forward with, it is important to communicate with them your need for privacy so that they are able to help you maintain it. If you are looking for a “fresh start” like I mentioned earlier in this article, there is a good way to go about doing this.
Consider Doing A Rent Back
Selling the house and getting the cash from the sale can be very advantageous before going to look for another home to buy. When you do this you are not tied to the previous house and it will make it much easier if you seek traditional financing from a lender or bank. It is also much easier to not have to worry about owning two properties at the same time and potentially making two mortgage payments.
The way this can be done is by working with an investor to purchase your house, and then doing a rent back while you get ready to move to another home. In the previous example I mentioned where the seller wanted to sell his house as is, and then move out of state to have a fresh start; that seller did a free rent back for a month while he prepared to move to his new home.
This gave him the freedom and flexibility to have cash in his pocket from the sale and to be able to take his time with the process and not be rushed.
Finding a good investor to work with when you sell your house for cash can be the best way to maintain privacy and not let your business be made public. Check out Home Sale Solutions to learn more or reach out to us with any questions. Best of luck and God bless!