Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I would love to get the perspective of professional real estate agents on my question.
We are moving from So. California to Kentucky and are wondering if paying cash for a home might give us greater barganing power when we go to purchase. Thank you for your answers.
Yes, a cash offer gives one great bargaining power. The two biggest contingencies usually in an offer are the buyer's home sale and their obtaining of financing.
An offer with neither of these contingencies is what every seller wants.
I would love to get the perspective of professional real estate agents on my question.
We are moving from So. California to Kentucky and are wondering if paying cash for a home might give us greater barganing power when we go to purchase. Thank you for your answers.
Absolutely. I have seen two offers, one for all cash, one for financing go on the table at the very same time, and the cash offer, even though it was less, was accepted. The harder the times are to sell, the more barganing power cash has.
True. Use an all cash offer to get the house and then apply to have a mortgage - never have all your money tied up in a property.
Hi Cattknap! I see your posts on the KY board sometimes. Don't mean to hijack your thread, I was just wondering what 2bindenver means by "then apply to have a mortgage."
2bindenver: Are you saying to buy the house lock, stock, and barrel all the way past closing, and then apply for a mortgage? I don't understand the process of applying for a mortgage when the house is all paid for. How does a person finance something they already own? I don't understand. Can you please elaborate? Thanks.
2bindenver: Are you saying to buy the house lock, stock, and barrel all the way past closing, and then apply for a mortgage? I don't understand the process of applying for a mortgage when the house is all paid for. How does a person finance something they already own? I don't understand. Can you please elaborate? Thanks.
Yup. It's not fair to the seller to give him an all cash offer and then change lanes and get financed. But once you own it you can mortgage it. Think of it as a refi - without the *re* part.
Last edited by 2bindenver; 03-04-2008 at 08:45 AM..
Reason: I am a *
The whole point is we don't want a house payment, or an equity line of credit payment or any other kind of payment - we will be retired and don't want any debt of any kind.
I appreciate everyone's answers and it is very good to know that paying cash is a good thing right now.
The whole point is we don't want a house payment, or an equity line of credit payment or any other kind of payment - we will be retired and don't want any debt of any kind.
I appreciate everyone's answers and it is very good to know that paying cash is a good thing right now.
Looks like you'll be in a good bargaining position when you're ready to make the move!! Good for you!
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
How does a person finance something they already own? I don't understand. Can you please elaborate? Thanks. 
