Those who have enough cash to buy a house outright are at a definite advantage in today’s economy. Cash purchases streamline the home buying process. Moreover, home sellers are likely to favor buyers who can pay in cash. Cash buyers pay much less for their homes in the long run, & the price for the house may even be reduced at the outset for those who pay in full up front. Cash purchases eliminate the risk of loan denial, either because of buyer disqualification or low home appraisal. Those who pay with all cash never have to worry approximately losing their homes because they can’t afford to repay their mortgage loans. Financially & emotionally, paying with cash benefits the home buyer.
Sellers prefer cash buyers
Home sellers generally prefer quick & smooth sales. They know that even buyers who have been pre-approved for mortgages might be denied by the lender after on in the sale process. A buyer who is an independent contractor might have difficulty proving two years of regular employment & a buyer whose family member promised to take out a personal loan, could after opt out. Therefore, sellers prefer to steer clear of buyers who have to apply for a mortgage.If you are buying with all cash, you have greater negotiating power. Sellers, recognizing the increased ease of sale, are often willing to reduce the house’s price for cash buyers.
Cash purchases avoid the risk of low appraisals
Home appraisals are notoriously fickle. They are based on sales of comparable houses in the neighborhood, which could have sold for low prices for various unknown reasons. Lenders determine a house’s worth by weighing it against comparable sales. A low appraisal could lead the lender to reduce the amount of the loan offer, even after seller & buyer have agreed on a price. If the loan amount comes up short, the buyer often cannot afford to buy the home. All cash buyers sidestep mortgage applications, avoiding the need for a potentially deal-breaking home appraisal.
Cash purchases save money & time
Indisputably, cash purchases carry lower costs. Over the years, paying mortgage interest on a 30-year loan can double or triple the amount of a purchase price. Additionally, closing costs are significantly lowered when purchases are made with cash. Cash purchases moreover save buyers valuable time. They eliminate the need to gather elusive documents & search for the optimal lender.
Peace of mind is priceless
Most importantly, all cash purchases bring an inviolable sense of security. Owning your home outright means never having to worry approximately covering your mortgage.In the face of disaster, such as job loss or injury, full ownership eliminates the risk of losing your home to foreclosure. Moreover, if you have paid with all cash, you will have superior equity in the house. In case of financial emergency, you can draw on that equity for quick cash.
Figure out how to pay in cash
Buying your house with all cash might seem like an impossible dream. Here are some tips to assist you achieve it:Set aside unexpected windfalls, such as work bonuses or inheritances, for a home purchase. To assist safeguard money & earn interest on it, lock it into a long-term CD at the bank. Once you have accrued cash, look for a house you can afford without borrowing extra money. Consider moving to a less populated area, further from a huge city, where home prices are likely to be lower. Avoid the temptation to waste your money on frivolous items by telling all your friends & family approximately your goal to purchase a home. They will assist keep your spending on track.
Details Of Home For Sale In South Lakeland / Mulberry
The Home For Sale in South Lakeland / Mulberry is a 1994 Manufactured home that has 4 bedrooms & 2 bathrooms, is 2100 square feet in living space & has a yard that is just under 14,000 square feet (1/3 acre). This home is in a quaint neighborhood right of of State Road 60 & is approximately 20 minutes from downtown Lakeland & Brandon. The location combines the perfect combination of quiet country living & the hustle & bustle of huge city life.
The home has undergone some renovation yet still needs some additional work. For that reason, the seller is seeking a buyer willing to pay cash. Repairs needed include the following:
- Central Heat & Air unit needs to be replaced
- There are approximately 10 holes in walls throughout the home that need repair.
- The shower in the master bathroom needs to be repaired. However, the large garden tub in that bathroom is a tremendous alternative to taking a shower.
Renovations already completed:
Kitchen & laundry room floor linoleum has been replaced with tile
Carpeting in Living Room, Dining Room, & one of the bedrooms has been replaced with attractive laminate flooring.
The entire roof (including the plywood) was replaced in 2006.
The entire backyard has had privacy fence installed.
Homes for sale in South Lakeland & Mulberry sell for really satisfactory prices historically & you will not go wrong by investing in this home in south Lakeland / Mulberry. This property is ideal for property investors that are looking to rehab & rent out to others OR someone that wants to rehab the home to turnkey condition, obtain the appraisal (once repairs are made, this property will appraise at more than $100,000), & sell to someone at top market price.
How Much Will This Home For Sale In South Lakeland / Mulberry Cost?
The owner is looking to sell this home, in as-is condition, for $71,000. Prospective repair cost is approximately $10,000 for a total investment of $81,000.
How Much Profit Can I Make For This Home For Sale in South Lakeland / Mulberry?
Once you pay cash for the home, make the needed repairs, your total investment is $81,000. You should be able to sell this home on the current market, for approximately $54 per square foot times 2,100 square feet, this donate you a total sales price of approximately $113,000 & that will donate you a profit of $32,000.
If, on the other hand, you opt to rent this home for sale in South Lakeland / Mulberry, you can expect to charge approximately $850 per month based on the size of the home & the lot. You will make $10,200 per month on this property, minus approximately $2,200 per month for taxes & insurance, you will net approximately $8,000 per year. At this rate it will take you a little over 10 years to recoup your investment & from that point forward you will be making all profit.
If you are interested in this home for sale in the Lakeland / Mulberry area, please contact the owner directly via email at firstname.lastname@example.org or call (863) 709-5814.