U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Real Estate
 [Register]
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.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 08-10-2013, 09:03 PM
 
9,486 posts, read 8,435,334 times
Reputation: 8119

Advertisements

We are planning to pay all cash for a retirement home. When we purchased our present home, our agent said not to tell the buyers or their agent that we were putting down a very large down payment. She felt like the sellers would try to get a higher price from us because of this knowledge. (So in the offer we listed a down payment of 20% but put down considerably more at the closing).

I've heard that sellers like all cash offers because they don't have to worry about a bank rejecting a buyer because of credit, etc. Also, the closing can happen sooner and sometimes sellers are willing to take less $'s from a cash buyer.

Is there any downside to telling our agent or the seller's agent that we plan to pay all cash?
Rate this post positively Reply With Quote Quick reply to this message

 
Old 08-10-2013, 09:08 PM
 
Location: Just south of Denver since 1989
11,579 posts, read 31,896,084 times
Reputation: 8358
Most retire,net home sellers are pretty savvy. May work in your favor to produce a letter from your bank saying the cash needed is available to purchase the home.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 08-10-2013, 09:15 PM
 
7,961 posts, read 10,333,463 times
Reputation: 14777
Quote:
Originally Posted by staywarm2 View Post
Is there any downside to telling our agent or the seller's agent that we plan to pay all cash?
You shouldn't tell the Seller's agent anything. Any information you share with them can be used against you.

Also, don't tell your Buyer's agent how much cash you have--just that you want to make an all-cash offer. The fact that you're paying cash will be conveyed to the Seller (and their agent) through your written offer.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 08-10-2013, 09:32 PM
 
Location: Florida
14 posts, read 22,927 times
Reputation: 18
I always tell the listing agents my clients are cash buyers at the very first beginning then ask the best price. My offers never denied so far.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 08-10-2013, 09:41 PM
 
9,486 posts, read 8,435,334 times
Reputation: 8119
Quote:
Originally Posted by jackmichigan View Post
You shouldn't tell the Seller's agent anything. Any information you share with them can be used against you.

Also, don't tell your Buyer's agent how much cash you have--just that you want to make an all-cash offer. The fact that you're paying cash will be conveyed to the Seller (and their agent) through your written offer.
I am also concerned that the Buyers Agent we will be using may be the Listing Agent of a house we may want to purchase. We are very interested in a subdivision where she lives and where she also sometimes lists houses for sale. She showed us a number of homes in her subdivision before the recession hit and we are only now again ready to buy.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 08-10-2013, 09:50 PM
 
Location: Florida
14 posts, read 22,927 times
Reputation: 18
Dual agent is illegal in Florida.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 08-10-2013, 11:08 PM
 
7,961 posts, read 10,333,463 times
Reputation: 14777
Quote:
Originally Posted by staywarm2 View Post
I am also concerned that the Buyers Agent we will be using may be the Listing Agent of a house we may want to purchase.
By definition, a Buyer's Agent cannot also be a Listing (Seller's) Agent, since a Buyer's Agent has a fiduciary responsibility to work in the Buyer's interest and a Selling Agent owes their duty to the Seller. Some states allow an agent to work as a Dual Agent, whereby they "represent" both the Buyer and Seller but they are unable to truly act in the interests of either party. They essentially recuse themselves into a neutral position--which really doesn't benefit either party. (In Michigan, an agent may only act as a Dual Agent with the written consent of both parties; some states simply prohibit Dual Agency.) Regardless, even if legal, it would generally not be in your interest to engage the services of an agent who was acting as a Dual Agent.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 08-11-2013, 05:28 AM
 
545 posts, read 529,741 times
Reputation: 1486
Florida allows transaction brokers which allows an agent and/or broker to handle both sides of the transaction.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 08-11-2013, 06:23 AM
 
7,961 posts, read 10,333,463 times
Reputation: 14777
Quote:
Originally Posted by thebigW View Post
Florida allows transaction brokers which allows an agent and/or broker to handle both sides of the transaction.
Yes, a number of states allow transaction coordinators (or whatever they may be called in a particular state). But a transaction coordinator does not represent either side. They're basically neutral paper pushers.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 08-11-2013, 07:01 AM
 
5,048 posts, read 8,490,650 times
Reputation: 4167
Some contracts actual have in the text that if the purchaser is an all cash buyer they show the bank statement where the money is coming from/bank verification whatever. That is because the seller will be taking their home off the market and making plans.

I know a realtor who still doesn't get the following. A while ago she presented an offer from an all cash buyer. He would be paying all cash. She was upset when the seller's realtor asked for that verification. The two realtors even had to go to the buyer's realtor's broker and even then that realtor still didn't get it but had to perform. Turns out the buyer was going to put down all cash. Was going to pay all cash for the house. WHEN he sold his house in another state. So, no, he couldn't provide such verification because he did not have the money to pay all cash. No, not listed yet. But when it is and when it sells it'll be an all cash purchase of the next one. This happened in an area where they didn't get many all cash buyers for the regular and higher end homes.
Rate this post positively Reply With Quote Quick reply to this message
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.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Real Estate
Similar Threads

All times are GMT -6.

© 2005-2021, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Contact Us - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37 - Top