The business of real estate has many different options that are out of view to the common eye. For those that are involved in the real estate industry, these options may be understood wholly or in part. One of the best options to choose when starting your career as a real estate investor or agent, is the area of single-family real estate. For that reason, we will be discussing the topic of fair, all cash offers on homes, with examples from groups like LCK Properties LLC.
An all-cash offer on a property is exactly what it sounds like. Now, most people would have the misconception that an all-cash offer and sale is literally done with “cash”. When I was first starting my career in real estate, I thought the same thing and it wasn’t until I met a mentor who was doing deals, that I learned cash is simply the term used when there is not financing involved and the home is purchased outright with a wire transfer or a check.
Before an offer is given on any house there are a few steps that need to occur to know whether the home is a good investment. We should also mention that even when a property is being bought not as an investment, but to raise a family, there still must be a fair offer given to the seller, as https://www.lckpropertiesllc.com notes. So how does one determine what a “fair offer” is?
You will have to consult with a real estate agent to give you comparable sales of the area. These are houses like the one you’re giving the offer to, that have sold in a one-mile radius from your target property, within the last year. For example, if you are looking to purchase a home that is a three-bedroom two bath, you will only look at properties that have the same number of bedrooms and bathrooms. Once you have found a home that looks promise-able and that you feel would make a good deal, it’s time to write up the offer.
Most people start an offer by “low-balling” and though this might work, it will depend on your market, and you may even want to put up some we buy houses signs to get off-market deals. So, to give a fair, all cash offer, you will have to understand why the seller wants to sell, and why you want to purchase. Gauge the offer based on market value, and subtract your costs to repair, to hold, and add in the 15% profit you would want to make if you sold the property in the future.
In conclusion, we discussed the topic of giving fair cash offers to purchase homes. One of the best ways to attract sellers is by putting ads in the paper, classifieds, or as roadside signs. To give a fair offer that won’t offend a seller, do your homework to determine market value for similar properties, and then subtract the profits and costs included in the deal as you envision it.
Company Name: LCK Properties LLC
Contact Person: Mary C. Clark
Email: Send Email
Phone: (360) 295-6801
Address:3150 Orleans St Suite #30722
Country: United States