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It’s tough to compete in a market with so many buyers as it is, but when you’re up against other buyers who have cash, it’s even tougher. And if you have a house to sell before you can buy, or need the cash from the sale of the home to obtain the cash you need, it can seem near impossible to compete against them.

So the prospect of putting yourself in the position to be one of those cash buyers can sound super appealing…

The good news is, it’s possible. There are companies who will offer you a short-term loan to put you in the position to make all-cash offers. The not-so-good news is that it might not be the best idea for you.

As you’d expect, “there’s no such thing as a free lunch,” and these companies expect to make money. There’s nothing wrong with that. They’re offering a service, and they deserve to make a profit. But the question is: How much will it cost you? (Spoiler alert: Some of the “costs” are hard to quantify.)

The basic cost is that you’ll pay a higher rate for the short term loan. That’s not a big deal if it’s truly short-term and you pay back the loan in full quickly. You’re just paying a premium for a short-term float of money. In that sense, just make sure you know how much higher the rate is than a typical mortgage would be.

But they also may be looking to make money if you end up sticking with them for a long-term loan on your house, thus allowing them to make money on an ongoing basis in interest payments. Again, nothing wrong with that, but you need to make sure up front that the long-term rate will be competitive with other loans you could have gotten instead.

Here’s where it gets more complicated, and the buyer may overlook these costs when they are enticed and focused on the benefits and hopes an all-cash offer would afford them:

  • Non-refundable deposits and fees. These could be between 1% to 5% of the purchase price of the home you are considering. According to this realtor.com article, a company such as Better will keep your 5% deposit of the purchase price if the deal falls apart for any reason. That could be a hefty chunk of change for them to keep even if you didn’t end up buying a house. Other companies will charge a “convenience” fee between 1-3% of the purchase price if your offer is accepted. But again, that can get steep depending upon the price range you are buying in.
  • You have to use them as your agent. Some companies also require that you work with one of their agents on the sale and/or purchase of your home. This way they also get the commission for the sale of the purchase of the house, along with any interest and fees they charge. This may not sound awful, since they’re costs of buying and selling a house anyway, but not being able to choose your own representation can cost you in many subtle ways. Their agent may not be the best-skilled agent you could have hired, and potentially may not be as objective or have your entire best interest at heart.

The Takeaway:

While the ability to become an all-cash buyer may be enticing, make sure you analyze and assess the entire cost to you before signing on the dotted line.

Speak with a real estate agent you trust before agreeing to an all-cash buyer program. Listen to his or her objective advice on whether or not it’s even necessary in your situation, and if it is, whether it’s worth the risk you would be taking on.

Keep in mind that they also cite in the article that 23% of recent sales were all-cash offers. While that’s a high percentage, it’s not every single house selling with an all-cash offer. Sure, being an all-cash buyer may help, but it’s not absolutely necessary in every single situation. You’re probably better off making as strong an offer as you can — especially if you have an agent who’s good at illustrating how and why you’re the best buyer for the property, even if you aren’t an all-cash buyer.

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Sonja recently helped me purchase a condo. My experience with her was only positive. She's knowledgeable, thorough and friendly. She is the consummate professional and the standard to which I would hold any real estate agent. - Alexander R.

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Open House This Weekend! Come see this incredible property for yourself!

44 Wagon Wheel Drive
Sunday, October 2
4 PM - 6:30 PM

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Time isn’t always on your side, especially if you’re trying to time the real estate market.

Some homeowners postponed selling while they waited for prices to hit their peak. Here’s why you shouldn’t wait any longer:

💲The market is unpredictable — even experts can’t guarantee what it will do next!
☑️ You could pay more to buy your next home the longer you delay.
🤝 It’s still a great time to sell, but rising mortgage rates are beginning to slow down demand.

You can’t control the real estate market — but you can control when you put your home up for sale 🏡

Contact us to start a conversation about the right time to make your move.

#realestatetips #realestate #houseforsale #greatvalue #newlisting #mammothrealestate #mammothcondos #mammothcabins #sonjasellsmammoth #mammothmarkettrends #timingthemarket #destinationmammoth
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BIG bright windows are the main attraction in this spacious 2 bed/2 bath condo in St. Anton. This complex is next door to Canyon Lodge – one of the shortest walks of any Mammoth location! Come see this condo today and get ready for the best winter season of your life!

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If you're renting but plan on buying a house in the near, don't renew your lease without going month-to-month or making sure you can cancel it by giving your landlord a month or two notice.

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Thursday, September 29
9 AM - 11 AM

Stop by and tour 3 amazing Mammoth Lakes Properties tomorrow!!!

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Beautiful sunset tonight.

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Sonja was very knowledgeable and competent in selling our house in Mammoth. She is very personable and answered all of our numerous questions with courtesy, humor, and patience. Despite a greatly slowed real estate market, she sold our house in a reasonable time frame. - Stuart F.

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#nofilter Sunday evening neighborhood stroll. ❤️reflections, water, blue skies and fluffy clouds ☁️ #lovewherewelive ...

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If you have a light fixture you want to keep and take with you to your next home, take it down and replace it before you put your house on the market. You can also leave it up and "exclude" it from the sale within your listing, but it can cause issues if a buyer sees it and wants it. Avoid problems by removing it ahead of time.

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Beautiful day at the village. I love the clouds and like to look for shapes or object -- what do you see?

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Amazing two-bedroom condo next door to Canyon Lodge! Ski all season long in this cozy mountain home!

Properties Link Below:
https://www.destinationmammoth.com/properties/

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Hope everyone is having an amazing time at the Mammoth Trail Fest! If you haven't already make sure to check out this awesome event the rest of the weekend!

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Beautifully updated two-bedroom slope side condo just listed for sale. Check it out!

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What does “Months of Supply” tell us about the market?

To break it down simply:

📊Balanced Market = 6 to 7 months of supply
There are a relatively even number of buyers and sellers.

📈Seller’s Market = Fewer than 6 months of supply
There are more buyers than homes for sale, thus sellers hold the upper hand.

📉 Buyer’s Market = More than 7 months of supply
There are more homes for sale than willing and able buyers, thus buyers have more negotiating power.

Have a question about current market trends? Reach out at any time! We’re here to help you decode the lingo and make the most of today’s market 👨‍💻

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SNEAK PEAK! This two-bedroom condo next door to Canyon Lodge will be listed for sale in the next 24 hours!

Check out an early video tour now on our YouTube!

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I love working with awesome realtors like Heidi Vetter! How thoughtful is this?!” @vetter_heidi ...

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If your agent isn't available, don't call a random agent to show you a house you're interested in seeing if you plan on having your agent write an offer if you like the house. Agents don't get paid for simply showing houses, so it's inconsiderate to ask an agent to show you a house they have no chance of selling to you.

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