As a real estate professional, I am often asked about We Buy Houses companies and whether or not they are scams. While I cannot speak for all companies, I can share that the process of how a We Buy Houses company works in Alabama is relatively straightforward.
First, an interested home seller contacts the cash buyer company directly. From there, the company assesses the property, considering factors such as necessary repairs and potential resale value. Based on the amount of time and money it will take to invest in the property, the company makes an “as-is” cash offer.
If the homeowner accepts the offer, the deal closes quickly with no need for negotiation, waiting for financing approval, or inspection and appraisal of the property. After closing, the cash buyer repairs the home and keeps it or resells it.
It’s important to note that while the process varies slightly between companies, the general model remains the same. This quick process is particularly beneficial to homeowners who don’t have the resources or time for a traditional sale.
To put things into perspective, according to realtor.com, homes in Alabama typically spend 45 days on the market before the seller accepts an offer. Then, the closing process takes between 30 to 45 days if the buyer is applying for a mortgage.
In comparison, some We Buy Houses for Cash companies in Alabama can complete the entire process in as few as seven to ten days. While this is not the case for every transaction, it is possible under certain circumstances.
Overall, as with any major financial decision, it is important to do your research and carefully consider all options before deciding whether to work with a We Buy Houses company.