The All Cash Offer Cash Paradox | Trail Talks

The All Cash Offer Cash Paradox | Trail Talks

If you’re a seller in any market and you got some offers that come across the table. One of them is cash and the other one is financing with a really low down payment. What would you do?⁣

Cash is always King, right? You got a cash offer sitting next to a finance offer. Let’s say it’s all cash and the finance offer is like almost no money down. Sometimes it’s no money down like VA or government-backed FHA, first time home buyer program with down payment assistance or conventional. There’s your X-Y axis, you’ve got cash on one side, you’ve got the heavily leveraged offer on the other side. Let’s make this even more entertaining and say that they’re the same price, which is usually not the case but let’s suppose.

The cash guy or Gal is going to try to get some traction for the fact that they’re cash. They’re going to try to come in a little bit lower as they should, it’s an open market, right? That’s the game. So, they’re trying to convey to the seller that I’m giving you the confidence quotient that every seller desires, which is that I’m going to be there at the finish line when it’s all said and done to close this deal because I got no lender, I got no appraisal. ⁣

Whereas if I’m heavily leveraged, that lender is going to be all up over every little detail, creating a probability even much so higher with the less amount of money down that we’re never going to hit the finish line. So, that’s gonna get the traction that’s why the cash is King. A lot of sellers even asked that what do I care if it’s cash at the end of the day? It’s just a check into my bank account, right? That’s why you’re buying the content confidence quotient that it’s going to see its way all the way there in the first place. That’s obvious but what’s the other part of it? What’s the little insidious thing that goes down once you slap the table with a cash offer?⁣

If you’ve any questions or want to know more about the process, you can DM us.⁣
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