The pros and cons of cash for my home in Alaska type sales versus a traditional home sale
The reality of the real estate market is that many homeowners may spend months or even years trying to sell their homes. Thanks to the “cash for my home in Alaska” programs, homeowners have the opportunity to sell their homes quickly for cash and get needed money quickly.
If you’re not sure whether a cash sale is the best option for your Alaska home, weigh the pros and cons of traditional sale and cash sales.
Find out what your home is worth here.
Pros and cons of a traditional sale
In most traditional sales, you would use a real estate agent to sell their homes. The agent provides advice about marketing your home and recommends needed repairs. The have the tools and network to attract buyers, including investors who buy with cash. These advantages should help you get the best price for your home, but you will need to pay commission and the sale could take months. Additionally, a buyer using financing will need a home inspection and ask you to make repairs based on the inspection.
These disadvantages of a traditional sale make a “cash for my home in Alaska” type sale more alluring if you don’t have the time to market your home or the money to make repairs. You may be relocating or facing foreclosure. Either way, you may be the perfect candidate for a cash sale.
Research the buyers
There are hundreds of companies who advertise “cash for my home” sales. Some are local companies while others are national mortgage companies who also buy and sell homes. These companies will offer much less than the market value of your home in exchange for a quick, cash sale.
The first step to a “cash for my home in Alaska” type sale is researching the companies. A printed or online advertisement will have the company’s name and details, but if you’re calling a phone number from a street sign, you’ll need to ask for the company’s basic information.
Check your local secretary of state office for the company’s registration to do business in Alaska. You can also check the Better Business Bureau for any filed complaints. An online search may also produce complaints or kudos from other homeowners who used that company.
Assess your home’s value
If the company is legitimate, a representative will typically set an appointment to see your home. Before the visit, assess your home’s market value. You can pay for a house appraisal or get estimated values for free from popular sites like Zillow.com, Trulia.com, Realtor.com and Homegain.com. These sites provide estimated home values and prices of houses recently sold in your neighborhood. Additionally, check your most recent county tax assessment, which will typically be 10-20 percent below market value.
Compare the cash offer to your home value
Your estimated home value will be less than the “cash for my home in Alaska” company’s offer. If the offer doesn’t cover your mortgage, you will have to pay the difference. This may be the factor that determines if a cash sale will work for your situation.
If neither the cash sale or the traditional sale offer a solution that works for you, maybe because you are facing foreclosure, then talk to your lender about pre-foreclosure sale options.
Talk to your lender about pre-foreclosure sales
A pre-foreclosure sale will help you avoid foreclosure and preserve your credit. It can also allow you to sell the property at a loss and oftentimes not be responsible for the difference. You can learn more about pre-foreclosure sales here. Your individual lender will have many programs to help you.
Whether you sell through a Alaska real estate cash for my home listing, a real estate agent or a lender’s recommended pre-foreclosure sale, Reply! can help you research your home value to get you started.