Some of the wealthiest people in New Jersey own rental property.  It is the prime way to grow your wealth but it is not with out risks.  On the surface the concept of renting out a property you own to a tenant sounds simple.  If you can get enough from rent to pay your mortgage and have a little left over you are golden.  Unfortunately that is not the case.

Many landlords in New Jersey fail to recognize what is needed in order to be a success.  From not properly screening applicants to underestimating how much it’ll cost to keep a property up to code there are many ways to go wrong that can cause your business to fail.

Landlords Don’t Get Rental Applications From Prospective Tenants

The landlord has the upper hand in the relationship only before he gives them the keys.  This is when to collect as much information as possible about the potential renter.  After the prospect has seen the apartment and has said he wants it, that is the point when the landlord has the leverage to get information from them. The prospect needs the landlord to agree to the tenancy. Therefore, the landlord can get anything he wants out of the tenant at that moment, but not later. Once you’ve given them the keys however, they are under no obligation to give you anything.

The tool to collect all this information is the rental application.  Creating your own application can be dangerous so it is adviced to do some research and find an established and successful landlord and ask to use their’s.  Applications vary, but you must get certain basic information…

• Full Legal Name
• Current Address
• Prior Address
• Social Security Number
• Date of Birth

…as well as…

• Tenant’s Occupation
• Employer’s Name
• Driver’s License Number
• Car License Plate Number
• Bank Name and Address

A rental application has two purposes. The first purpose is to find out who this prospective tenant really is and their financial history. The second purpose is to get enough information so you can find him later if he leaves town owing you rent.

The more information you get, the easier it will be to recoup any lost rent later.

Landlords Fail to Check the Information on the Application

When it comes to running a business where it comes down to trust, you can’t take people’s word for truth.  Fortunately there are ways to verify what a potential tenant says is the truth.  Make it a policy to do these things and follow through, even if you are renting to a friend or family member.  Being lazy or thinking you are being kind could cost you thousands of dollars.

Credit checking.  First things first, it is illegal to do a credit check on a tenant without their written permission. As part of your application you should have an area where they give you this permission.  Typically the credit report will help you establish a person’s financial responsibility.  You’ll be looking for…

• On time payments
• Rental Payment History (Landlords can report this to a credit bureau)
• Debt
• Open accounts and Closed accounts (Landlords look to see that the potential tenant has more accounts paid on-time than accounts that were not)
• Bankruptcies
• Foreclosures

Visit potential tenant at current address. The best way to determine what kind of applicant you will potentially rent to is to visit their current residence.  Do this without warning because you want to see how the tenant lives. Are they clean? Is the apartment damaged?

Call applicant’s employer.  This is to check to see if they still currently work for the company and to verify that they have worked there for as long as they told you.  Also do a little checking to make sure the phone number they gave you is for the employer, not a friend’s number.

Talk to Current Landlord.  First off, don’t fully trust what their current landlord has to say.  He may want them out badly and tell you they are model renters.  If the tenant has actually been great he may say the are terrible because he wants to keep them a little longer.  The purpose of this call is to just hear what they have to say, you may pick up some helpful information…you never know.

Landlords Don’t Check Tenant Income

The typical rule of thumb is that rent should be a no more then 30 percent of a potential tenant’s monthly income.   That’s a great start but there is more involved then that.   Using their income plus the credit report is even better way to get a complete financial picture.  Even if the person meets that requirement, you need to find out a little more about them.  Talk to the tenant about the affordability of the apartment.

• Is the tenant reaching a bit above their means for your apartment?
• An ex-wife collecting alimony?
• Do they need a new car soon?
• Do they have an elderly parent that requires support?
• How many dependents does the prospect have?
• Does the spouse work?
• Is there another source of income?

All of these answers can come from having a friendly conversation with the applicant.  You’d be surprised at what people will share with you if you just talk to them.

Start Up Capital

Most landlords fail before they even take on their first renter.  The costs it takes to just get your new apartment up to code can be in the 10’s of thousands of dollars. This is because many states have strict requirements for rental properties that will need to be met before you start renting.

Your state’s landlord and tenant laws require that you add safety features to the property before you advertise for tenants. some of the requirements are…

• Handrails installed along the front and back entrance
• Front and back doors replaced with secured, reinforced steel doorways
• Peep hole installed in front door
• Deadbolt entry installed on front and back doors
• Standard dividing wall replaced with a fire wall
• Completed code inspection

If you were not expecting these costs they could dry up all your reserves.  You never want to be in a spot where your rental is dependent on the next month’s rent check and nothing can do that quicker then under estimating your start-up costs.

Making Repairs

Simply put landlord and tenant laws require that you make all repairs in a timely manner. If you don’t, you could be held liable for additional damages.   If your tenant calls at 2:o0 am to tell you the water heater broke and is flooding the house, you have to immediately get a repairmen on site to shut off the water and dry out the carpet.

What do you do when you pull off the sheet rock to fix a small water leak and discover you have black mold? It is impossible to prepare for every expense related to owning rental property, so there are bound to be some unexpected ones. Things such as boilers, plumbing and fixtures often need to be replaced and are not prohibitively expensive. However, faulty wiring, cracks in the foundation, leaky roof and the like can be very expensive to repair. If you can’t find a way to pay for repairs, you will be left without a tenant and with the little hope of selling the property at fair market value. Also, as building codes evolve over time, lead paint, asbestos, cedar roofing tiles and other materials that passed inspection in the past may be reevaluated to your disadvantage.

If a tenant is injured on a property that you own, there is a good chance you’ll be sued. Sure, you have homeowners insurance, but you always have the duty to keep your property properly maintained and in good working order so as to avoid contributing to potential mishaps. By keeping your units safe, no matter what it takes, you greatly decrease your chance of trouble in this area.

• Know the building and safety codes in your area
• Attending to regular maintenance
• Check on your properties periodically

Collecting Rent

In the ideal scenario your tenants will pay you on time…every time.  However that is not always the case and you will have to deal with collecting your rent money.  Some people just don’t have it in them to act like a collection agency.  If you want to be a successful landlord you must be able to knock on the door and ask for the rent check.  You can’t be afraid.

Not only that but when the time comes you have to be able to make the decision to start the eviction process.  This is a business and if you are losing money you have to be able to kick them out regardless of their situation.

Dealing with Problem Tenants

If you’re going to be a landlord, you’re going to have to handle tenants fighting with other tenants, tenants doing damage to your investment, and tenants who don’t pay. You’ll need to know the eviction laws in your state well, and be prepared to use them.

Unfortunately, almost every landlord has a story that involves police cars escorting his or her tenant out of the property – erasing all hopes of getting the five months’ worth of overdue rent. Bad tenants can also increase your unexpected expenses and even hit you with a lawsuit.

Your ability to handle these situations in a timely manner can be a key to your success.

Surviving Evictions

Your state’s landlord and tenant laws make evictions seem pretty simple. To start one, you go to the local court, file a notice, schedule a court date, and show up on that date. The judge then tells the tenant to leave. The tenant heads straight back to your property, quickly packs up, and walks out the door. No harm, no foul, right?

evictions are often extremely costly and time consuming.

Here’s an example scenario of how an eviction can work out:

1. Your tenant doesn’t pay his rent.
2. The five day waiting period passes and still no rent.  So you give them 5 more days.
3. Still no check after 10 days so you go to the court and schedule your hearing.  Unfortunately the next open court date is 30 days from now.
4. You win your case and the tenants must leave.  The first day the sheriff can come out is in 5 days.
5. Now if the tenants left behind anything you must rent a storage locker and place all their items there.

So you are out roughly 2 months of rent plus the costs of the court fees, sheriff fee and the storage fee.

Financial Planning

Having cash saved up for all the unexpected repairs, vacancies and anything else that might come up is ideal.  While it’s impossible to know exactly how much money you will need from month to month, it is crucial that you have a cash reserve setup for each property that you own.   If you have no experience with rentals, then ask other successful landlords how much they set aside for repairs and vacancies.  Then over time you can adjust for your needs.   

There is no worse position to be in then having to compromise on your applicant standards because you MUST fill one of your vacancies.  Or even worse that you can not make a repair that leads to an injury and thus being sued.

One of the jobs of being a landlord is collecting rent.  This may sound easy, but for a lot of people it is hard to ask someone for money.  For some reason we feel as though we are a bad person if we directly ask someone for money.  Unfortunately, as a business owner,  you can not afford to just depend on the good graces of your tenants to pay up every month on time and in full.

There are many ways to help your tenant pay on time however.  The idea with all of these methods is to be straightforward and consistent about how to pay the rent, when the rent is due and the late fees that will incur if they ever pay late.  Below you will find 5 ways to collect rent from tenants that will make it easy for them to pay.

5 Effective Ways to Collect Rent

Automated Clearing House.  Automatic clearing houses, also know as ACH, is used to directly withdraw funds from the tenant’s bank account.  This is an ideal situation because it requires no action from either you or the tenant outside of the tenant signing an authorization form for this to happen.  

ACH is a service that your bank may have, but if not you can sign up with ClearNow or Buildium.  This method does have a few problems in that if the tenant does not have enough money in their account, the withdrawal will fail and you won’t get paid. There is also a small fee per transaction and the process takes up to a week to transfer the money into your account.

Allow Payment by Credit or Debit Cards.  Unlike in the past, allowing your tenants to pay by credit card is as easy as signing up for an account with Paypal.  You can setup paypal to send out reoccurring bills to your tenants by email.  They can simply click on the link, enter their credit card information and press send.  If you want more management with regards to this process, such services like ERentPayment, RentMatic, RentMerchant are geared towards collecting rent.  However they do have monthly fees.

There are a few downfalls to collecting money this way.  If your tenants are depending on their credit cards to pay the rent, it’s possible they could over extend themselves and reach their credit card limits or even fall into bankruptcy.   Also, just like ACH, there are fees that go along with using these services.   You have to way the time savings versus the money cost to determine if this is the right method for you.

By Mail.  You can choose to allow your tenants to send their rents by mail. Not quite automatic, but if you have good tenants then it’s nice to get those rent checks every month in your mailbox.   You should only accept checks or money orders by mail, as you’ll need to make sure that you’ll have some record of the payments.

There are some problems that can and will arise from this method.  It takes longer to get your money, plus the tenants can play some games to buy them selves a few extra days.  I’ve heard of some tenants writing a check for half the rent and mailing it to you.  Also your tenants will inevitably claim a check got lost in the mail, but you can prevent this by having them send the check by certified mail.

Drop Off Location. If you have an office near your rentals, you can request for your tenants to drop off the checks their.  It’s never safe to have them come directly to your house so if you don’t have an office this method will not work.  There are many other problems with this method because it depends on the tenant driving all the way to your office each month.  Your subject to many excuses about cars breaking down or weather issues.  The only advantage to this is that you don’t have to go to them to get the rent check.

In Person. I don’t recommend this method for anyone who values their time.  If you have one rental and it’s on your way home from work, then it’s a quick way to get your money.  Just be ready for your tenants avoiding you if they do not have the money.

One Giant Don’t

Accept Cash. Accepting cash as a rent payment is never a good idea.  It seems like a great way to avoid bounced checks or rejected credit card payments.  Cash is too easily lost, leaves no paper trail in the event that your tenant disappears, and may sometimes it could mean that your tenant is involved in illegal activities.  Most people don’t regularly have 100’s of dollars on them.

You can eliminate these risks by establishing a policy in which you do not accept cash as a payment for rent. Get a legal notice from your lawyer that you can give your tenants to inform them of your “no cash” policy.  You’ll then want to give your tenants the acceptable ways they can make their monthly payments, such as check, money order or direct debit. Remember to communicate this policy in your lease or rental agreement.

Final Say…Enforce Your Rent Collection Policy By….

Clear Communication.  Communication is important for all aspects of being a landlord.  Supplying simple and clear information about rent, due dates, late fees, and possible consequences for late rent is a must.  It will help prevent any confusion in the mind of the tenant about any of these topics.  Also, if a dispute ever comes surfaces, you’ll be placed in a far better position if you can demonstrate that you clearly relayed to the tenant when rent was due and the consequences of not paying on time.

Late Fees. Charging an additional fee for late rent can help ensure that tenants are financially motivated to pay on time, especially for frugally-minded folks. Exact rules about how much you can charge vary from place to place, so you’ll want to check local statutes.  Charge a steep enough late fee that it will discourage multiple late payments.  Read your state’s rules and regulations regarding late fees and follow them accordingly.

Be consistent. Keeping your policies consistent will discourage tenants from thinking they can get special treatment and therefore reduce the likelihood of them pulling on your kind heart with a sob story. The last thing you want is for a small pardon you gave to your tenant once to become a normality for that tenant and other tenants.

The simplest and safest type of real estate transaction involves cash.  It reduces headaches, third parties, time and costs.  An all-cash offer means that there is no need for bank financing.  The buyer has all the money in their bank account.

A report recently published by Goldman Sachs has estimated that 57% of all houses bought, in 2013, where all-cash purchases.  As recently as 2005, all-cash deals only accounted for roughly 19% of purchases.  The decline in bank financing is directly related to the banks being more careful about lending money to home buyers.  The risks are higher these days.

How a cash home purchase differs from one with bank financing?  Below are a few of the major differences between the two offer types..

No banks or Under Writers

An all cash offer means that the buyer is not dependent on the bank to approve a loan.  In the current market, many banks are declining loans for a variety of reasons such as lower then expected appraisals.  This will NEVER happen with a cash offer.  There is no bank involved, the seller already has the money to pay for your house in full.

Cash purchases pretty much eliminate most of the headaches involved with a real estate transaction.  Banks love to wait to a few days before closing to give the final approval on a loan.  Even if the buyer was pre-approved it doesn’t guarantee they will get the money.

Faster Transactions

Typically with bank financing, you’ll need between 30 to 60 days for the bank to approve the loan.  The bank needs to perform an appraisal and then have their underwriter review the loan before it will be approved.  Banks are swamped and this process takes a long time.

With an all cash purchase,  the buyer will not require an appraisal and he is the decision maker.  Typically the closing can take place in as little as 7 days after the offer is accepted.

Fewer Contingencies

Financing Contingency:  The offer is contingent on the buyer being able to procure financing for the property. It will often be specific about the type of financing (FHA, Conventional Loan, etc), the terms (interest rate, down payment, etc), and the time period.

With an all cash offer…There is no Financing Contingency

Appraisal Contingency: If the property does not appraise for at least as high as the purchase price, the buyer can back out of the deal.  The appraisal contingency often is required by the bank in order to meet the financing contingency. The lender will not fund a loan above the appraised price.

With an all cash offer…There is no Appraisal Contingency

Inspection Contingency:  This contingency gives the buyer a certain amount of time (from 3-14 days), where he can do whatever he needs to to ensure that he wants to buy the property. This might include inspections, appraisals, contractor walk-throughs, etc. If at any time within that inspection period the buyer chooses to back out of the deal for any reason, he can.

With an all cash offer…There may be an inspection contingency depending on the property.

Selling A Current Property:  This contingency is not generally used by investors, but is very common among homeowners going from one house to another.  It states that the buyer has a set amount of time to sell their current home before closing on their new home (your house).  If that time period passes the agreement you had with the buyer can now be cancelled.

With an all cash offer…There is never a contigency to sell another property

Fewer Fees

Even though loan fees do not directly affect a property seller, they do affect how much the buyer will be able to offer.  In many cases the buyer will attempt to negotiate some of these costs into the deal…costing you money.

Below are a list of the possible loan fees…

• Processing Fee.  Lender’s cost to process the loan. Cost can range from $50 – $100
• Credit Report. The cost charged to the bank by the service providing credit report services. $50-$100.
• Appraisal. The cost charged to the lender by a certified appraisal company providing the appraisal of your home. $200 – $300
• Flood Certification or Flood Tracking. The cost charged to the bank by the service which notifies the lender whether or not your home is located in a flood zone. $15-$30
• Origination. Origination fees are normally charged by mortgage brokers, bankers or companies.  1% of the amount borrowed.
• Warehouse. Warehouse fees are normally charge by mortgage brokers, bankers, or companies which carry a line of credit with a larger bank or finance company.
• Commitment Fee. Fee paid to the lender at the time of commitment. Charged in place of the attorney review or title review fee. $100 to $300
• Tax Service Fee. A service which informs the mortgage holder of any liens which apply to the home where the mortgage holder would take second position. $80 to $100
• Doc Prep Fee. Fee to prepare the mortgage documentation. $50-$100
• Attorney or Title Review Fee. bank’s attorney fee for work performed in connection with the mortgage. $150-$300
• Rate Lock Fee. Cost to lock the rate. Usually refundable except when an extension is required.
• Pre-Paid PMI. If PMI is required on your loan, buyer is required to pre-pay some of this PMI at closing. The amount required may range from 2 to 14 months of your monthly premium, depending on the type of coverage the lender offers.

With an all cash offer, none of these loan fees will apply.  This allows for the buyer to offer more money.  Additionally, a tactic of many people who use bank financing is to ask for up to a 6% concession (money back at closing) in order to help offset the loan fees.

Closing fees

• Attorney Costs. $600-$1,000
• Survey. $350-$400
• Title Search. $150 – $250.
• Title Insurance. $500 to $2,000
• Home Inspection. $300-$400
• Termite Inspection. $75.
• Well and Septic. $250.
• Underground Oil Tank. $400.
• Recording Fees. $100-$200
• Overnight Mail. $75.
• Other Costs. Lead Paint , Asbestos and/or Radon Tests.

These fees will typically still apply as even with a cash closing, state laws require many of these items.  However the results of them can be negotiated when dealing with a cash offer.

Conclusion

There is no question that cash offers are stronger and safer.  Not only are they better offers then offers with financing involved, but they allow the seller to get their money quicker.

Is time running out and you need to sell your house and fast?  Retail is no longer an option because it could take 6 months or longer to get the money you need.  What are your options? You’ve gotten a few letters in the mail from we buy houses companies and have done some looking around on the internet.    It is tough to determine who is an honest home buyer and who is not.

When weeding through the list of home buyers (investors) it’s important to chose the right one.  Having to sell a home quickly becomes very stressful usually because the circumstances surrounding your situation is stressful.  What ever the reason, whether it be because of a divorce,  loss of job or inherited that ugly house, the simple fact is that you need to get rid of the property quickly and easily.

Choosing to go with the right home buyer is key.  You select the wrong company and you’ll never feel comfortable and always feel like you are getting taken advantage of.  That’s exactly what an honest home buyer does not do. What they will do is guide you through the a straight forward process, step by step, in order to purchase your home in a no hassle way.

Honest Home Buyers Have These Traits

Easily Reachable

Nothing is more frustrating when dealing with someone who is hard to get a hold of.  From the initial contact to a question right before closing, it’s important for anyone you work with to be there for you when you need them.  When selling a house to an investor it’s quite normal to have questions.  Your expectation should be that you’ll be able to reach out to the home buyer, at any time, and get answers to your questions.

Do you want to know where everything stands?  Did you change your mind about cleaning out the house and just want to know if it is okay to leave all the junk in the house?  You should be able to reach out to the investor and get answers…quickly.  If you leave them a message they should call you back in a timely manner.

Upfront

Selling a house can be overwhelming for sure.  The last thing you want to find out the day before closing is that you are responsible for all the closing costs or a repair on the house.  An honest home buyer will be upfront with you at all time.   I like to call this being transparent.

All terms of the purchase agreement will be laid out in an easy to understand contract.   You’ll know how long it will take to close and how much you may have to bring to the table (sometimes there are unknown liens on the property that are flushed out by a title search).

Follow Through

This has to be the most important quality of a home buyer.  When someone actually does what they say, it goes a long way towards telling you about their professionalism.  Simple things like telling you he will call you back the next day with the answer to a question…and actually calling you back the next day.

People who do not follow through on the small things tend not to follow through on the most important things…Like buying your house for the agreed upon price.

It is all about trust. If a home buyer is easily reachable, upfront and follows through on their promises it goes a long way towards establishing that trust.

Before meeting with your cash home buyer, put yourself in the right frame-of-mind….think business.  Remove your emotional attachment to the house.  The reason behind all of this is because you have to make sure you ask the right questions.  Be brief when pointing out all the improvements you’ve made.  Let the buyer walk around the house by themselves so they can be free to converse without you overhearing.  This makes sure everyone is relaxed when you sit down with them afterwords.

Great!  The cash buyer makes you an offer…Now what?  Here are 5 must ask questions to make sure you have a legitimate buyer on your hands…

1. Ask if they have Proof of funds

If the buyer is using cash, you or your listing agent should insist on receiving a recent proof of funds, like a bank account statement.  If the buyer cannot prove to you they have the cash, then most likely the cash is dependent on something else coming through.  This question is all about getting assurances and the buyer should have no problems providing the proof of funds.

2.  Is the purchase of this property dependent on the sale of their home?

Cash offers are only stronger then bank financed offers if they come with out the contingencies.  If the buyer must sell their current house in order to raise the money for the purchase the offer becomes much weaker.  The advantages of getting a cash offer is the ability to close quickly.  Having to raise the funds by selling their house could delay the closing for months!  In essence, you ARE dealing with bank financing in an indirect way.  The buyer of your buyer’s house will most likely be getting bank financing.  So in the end your sale will depend on a banks underwriter.

3. When does the buyer want to have possession of your house?

Many cash buyers have the ability to close in as little as 7 days.  However, if that does not work for you discuss this up front and negotiate a closing date that suits both of you.   The quicker the buyer can close the more legit his cash offer is.  If they are requesting more then 30 days to close it can be a big red flag.  The long closing period will give them a chance to raise the money all while having your house locked up in a contract.  If they can’t raise the money, the deal is dead.

 4. Will You Be Using a Real Estate Agent?

Find out whether the buyer plans to use a Realtor to complete the purchase. Real estate agents charge a commission when involved in the sale of the home. If the sale has already been completed and the agent has to only do the paperwork, she might choose to charge 3 percent instead of the market standard of 6 percent.  Many cash buyers will come to you (or your listing agent) directly, so this is a simple question but should be asked.

 5. Have You Made an Offer on Another House?

In an ideal world you want your house to be the only house that the cash buyer has made an offer on.  With home prices as high as they are in New Jersey, it is unlikely that your buyer will be able to put up cash for multiple homes.  Having offers on multiple homes means there is a chance he goes through with the other house not yours.  To safe guard yourself a little bit, when a buyer makes an offer to purchase a home ask them to put down “earnest money”. Earnest money can be anywhere from a few hundred dollars to a few thousand and is typically not refundable. This money is meant to show that the buyer is committed to the purchase of your home, but the purchaser can pull out of the deal and lose only the money put down. If the buyer has already made another offer on another house, he might not be fully committed to either purchase.

After asking your cash buyer these 5 core questions you should now have the confidence that this buyer and offer is legitimate.

When the real estate market was at it’s peak in 2004 houses were flying off the market.  You could list your house and get 5 offers in a week. Your house would sell and the money would be in the bank in no more then 30 days.  Today’s market is very different, the average days on the market is 93 days.  Just remember that if your house needs work or just doesn’t show well, your house will most definitely be on the market 6 months or even a year.  Have you ever watched the DYI Network or HGTV?  Everyone is looking for a move in ready home.

There are obvious reason why you would want to sell your house as quick as possible.  Below you can find the 3 main reasons why you might want to sell now, instead of holding out for top dollar.  Whether you currently live in the house you are trying to sell or not, selling a house fast has some great advantages.

Saving Money on Mortgage Payments, Taxes and Maintenance.

Every month that you continue to own the house you will have mortgage payments to make. Some of that money will go towards your equity, but some will be lost to interest payments. Not only that but property taxes, insurance and general maintenance will be money lost.  These costs never go away and add up to 10’s of thousands of dollars over time.  Sometimes it makes a lot of sense to sell a house for below your asking price in order to sell quickly and avoid these costs.  However it is important to take everything into consideration to determine if selling now or later is best.

Getting Rid of The Many Homeowner Headaches

Inheriting a home, job transfer or even a divorce can leave you with a house you can no longer afford or a house that is unlivable. These properties can lead to one headache after another. What if the house is in another state? A vacant house deteriorates very quickly. Meaning you’ll have to travel back and forth many times a year or pay someone to maintain it.  An unkept house is a huge liability and you are at risk of being sued in the event someone is hurt on your property. Being greedy and hoping to get top dollar is only going to cause lots of stress….Selling the house and fast is the best option in most cases.

Get Your Money Quicker

We all bills to pay.  Sometimes those bills need to be paid right now!  Selling that unwanted house quickly is not a choice in these situations, but a necessity.  It is important to know all your options for selling a house fast so you can get your money when you need it most.  Many times an investor is your best option because they will be able to make a qualified cash offer.  The idea is simple, sell your house fast and get your money fast.

Bonus Reason #1: Flexibility

Having money in your pocket gives you options.  These choices offers you flexibility on what the future brings and allows you to making smarter decisions.  The reason is that by removing the headache of having to sell a house, it will put you in a better frame of mind because of your improved financial position.  It is a proven fact that people are most happy when they have options and can choose the a path.

Bonus Reason #2: Current Market Conditions Could Get Worse

Something most home owners don’t think about when selling their house is how quickly the housing market changes.  My wife and I bought our first home in the winter of 2007.  It was a pre-construction home so we could not move in for 6 months.  From the time we had our offer accepted to the time we moved in the housing market had crashed.  The value of the home dropped over 100 thousand dollars!  The point is that you never know when the next down turn will be.  The longer your house is on the market the higher the chances are that your house could lose value…A lot of Value!

It is possible to sell your house fast by going the traditional route and selling your house with a real estate agent.  I’ve seen it happen many times.  However there are circumstances that arise that sometimes doesn’t make that possible.  Many cash home buyers, investors, can make you a fair offer and get you your money in as little as 7 days.  Just make sure you do your due diligence and ask the right questions when speaking with any potential home buyer.