From San Francisco to Los Angeles, California’s housing market is experiencing a major shift. Home buyer demand has fallen sharply, and interest rates have reached record highs.
But even in this market, 20% of homes in San Francisco were bought in all-cash. With expensive mortgages, home buyers with cash have a leg up on buyers looking to get a mortgage.
For home sellers, companies that buy houses for cash in California are much more attractive than buyers with financing. Cash buyers offer certainty of sale, often eliminating home inspections and the hassle of lender approvals.
Cash buyers in California also make instant offers, allowing you to close at your convenience with flexible closings.
🚀 The Rise of All Cash Offers
- Cash is King: 31.2% of Americans sold their homes for cash in December 2022, compared to 25.3% in all of 2020. This number is expected to rise in 2023 as financing becomes more expensive.
- iBuyers are Not a Viable Option: iBuyers have either shut down or have suffered massive losses. Our analysis suggests that iBuyers will offer much less than Fair Market Value (FMV) for your home in 2023 and 2024.
- Who Will Buy My House for Cash in California: A cash marketplace like Houzeo.com is a great option to get multiple cash offers for your property. We Buy Houses and Cal Cash Home Buyers are also good options.
Not all companies that buy houses for cash are the same. Some companies can get you 100% of your property’s fair market value, while others may offer as low as 50%.
We’ve ranked the best cash home buyers in California so you can sell your house fast for cash.
Reviews: 7 Companies That Buy Houses for Cash in California
Max Exposure to Cash Buyers
Houzeo is the best option if you’re looking for multiple cash offers. Your MLS listing will be exposed to local and national cash buyers. In an attempt to win your property, investors could make multiple cash offers for your home.
- Service Fee – $349: Houzeo does not charge a 5% service fee or any undisclosed closing fee.
- Typical Offer: Up to 100% of your property’s fair market value (FMV)
- Eligible Properties: On Houzeo Marketplace, you can market properties in any condition and sell your house as is.
- Closing Offer Terms: You can specify your preferred closing date and the closing offer terms.
👉 Our Take: For sellers looking to maximize their cash offers, we recommend Houzeo’s Gold plan. You will have access to Houzeo’s advanced features to negotiate the best terms for your cash offer.
» Houzeo Reviews: Learn why Houzeo is America’s Real Estate Super App
Houzeo is a real estate marketplace and America’s #1 Flat Fee MLS service because of 4 reasons:
- Max Exposure: Houzeo MLS packages give you access to the MLS and 100s of websites like Zillow, Trulia, Realtor.com, Redfin, etc.
- 5-Star Customer Service: Houzeo has a fully staffed customer service desk available 6 days a week. Chats and emails are open 7 days a week.
- 100% Online: Houzeo is high-tech. For you, this means easy listing, fast changes, online showings, and online offers. Houzeo Mobile App is also very powerful.
- No Listing Commission: In most states, you’ll be paying just a small flat fee to list on MLS. Houzeo covers 47 states + DC! And remember, all fees are disclosed upfront, so there are no Houzeo hidden fees. You get to bypass the listing agent commission!
There are no dealbreakers with Houzeo. Check out the blog on Houzeo pros and cons.
» Houzeo Reviews: Houzeo is rated “Excellent” with a 4.9 out of 5-star rating by 4,523 home sellers on Google and Trustpilot!
Houzeo is rated 4.9 out of 5 stars by thousands of home sellers on Google & Trustpilot.
With a typical cash buyer, you only get an offer from that specific cash house buyer. Because there is no competition, that typical cash buyer will only offer 30% to 70% of your property’s value.
Houzeo is America’s most advanced real estate marketplace. If you list on the Houzeo marketplace, your listing gets exposed to California home buyers and national cash buyers via the MLS.
This increased competition for cash offers for your house will ensure you get up to 100% of your property’s value.
» California Flat Fee MLS: List your home for a flat fee and attract CA house cash buyers!
Opendoor is the country’s biggest iBuyer. They offer fast cash for homes with flexible closing timelines.
- Service Fee: 5% of Home Sale Price.
- Typical Offer: 70% to 80% of your property’s fair market value (FMV)
- Eligible Properties: Opendoor will make cash offers only on owner-occupied properties built post-1930 with a maximum lot size of 1.5 to 2 acres. Prefabricated homes, inherited properties, or homes with tenants do not qualify for Opendoor’s cash offer.
- Closing Offer Terms: Opendoor lets you close at your pace, up to 45 days out. The final offer terms may change after the home inspection.
» Opendoor Reviews: Why Opendoor will Pay Much Less than Fair Market Value in 2023?
- Wide Coverage: Opendoor pays cash for houses in 51 markets– Boston, Albuquerque, Cincinnati, Indianapolis, Birmingham, Miami, San Francisco, San Jose, etc.
- Flexible Closing Dates: Opendoor gives you the ability to close at your convenience up to 45 days out.
- Late Checkout Upto 14 Days: Opendoor allows sellers to close on their homes, receive sale proceeds, and temporarily rent their homes.
- No Cancellation Fees: You can cancel the contract without any cancellation fee.
- No Upfront Costs: When you sell to Opendoor, you skip the traditional home selling process. No need to fix, repair or stage the property!
» Opendoor complaints: Click here to learn about the pros and cons of them.
In our research, we came across some deal breakers with Opendoor.
- Lowball Cash Offer: Opendoor’s final cash offer may be below the property’s fair market value, around 70%. They also deduct repair and closing costs.
- Hefty Service Fees: Opendoor revises the final cash offer based on the inspection report. The service fees can go from 5% to 14%. This is significantly higher compared to the 6% realtor commission.
- Opendoor May Back Out of the Deal: Some homeowners have had a bad experience with Opendoor. Opendoor backed out of the cash deal at the last minute, leaving the homeowner stranded.
- Undisclosed Repair Cost Breakdown: The difference between Opendoor’s preliminary offer vs. final offer can be humongous. In many cases, sellers were forced to pay for unnecessary “repairs.”
- Strict Eligibility Criteria: Opendoor doesn’t pay cash for inherited properties, homes with tenants, pre-fabricated or mobile homes, and properties located in a flood zone.
» Opendoor Complaints: Check out the common complaints of Opendoor.
Opendoor has a rating of 4.4 out of 5 stars on Reviews.io.
» Opendoor.com Review: Does Opendoor pay the market value of your property?
Opendoor offers a simple, convenient platform to request cash for your home. However, Opendoor’s service fees can be as high as 14% of your home’s sale price. The repair cost breakdown is not disclosed in the closing statement.
In 2023’s slow real estate market, Opendoor may not be the best option to sell your home. Their offer will be below the fair market value of your property.
» Offerpad vs. Opendoor: Compare the two iBuyers before requesting a cash offer on your house.
Known for its fast closing schedule, Offerpad is an iBuyer founded in 2017. Offerpad’s patented evaluation tool generates an initial offer price for the property based on housing market stats and insights from in-house real estate market specialists.
- Service Fee: 5% of Home Sale Price
- Typical Offer: 70% to 90% of Fair Market Value (FMV)
- Types of Properties Purchased: Offerpad offers cash for houses only in desirable neighborhoods and for properties that need zero or minimal repairs. Distressed properties may not get a cash offer from Offerpad.
- Closing Date & Offer Terms: Offerpad has the fastest closing schedule, with the earliest timeline being 7 days and up to 45 days out. Their offer terms are inflexible, and the initial cash offer terms may change after the home inspection.
- Limited Coverage: Offerpad only covers 22 markets.
🚩 You Should Know: Offerpad’s final cash offer is calculated after deducting home repair costs and seller closing costs. For the ease of an instant cash offer and fast closing, you may pay up to 13% of your home’s sale price in service fees. Also, if you want to back out of the deal with Offerpad after accepting a cash offer, you will have to pay a 1% cancellation fee.
👉 Our Take: Offerpad can be considered if you need to sell quickly, and this iBuyer offers cash for houses in your zip code. Remember—an MLS listing on Houzeo.com will automatically put you in front of Opendoor and other cash house buyers.
» Offerpad Reviews: Is the Fast Closing Schedule Worth the Tradeoff?
- In just 10 days, you can close your house sale with Offerpad
- No need to fix or prepare the house
- Long-term stay option for house sellers
- Closing costs and service fees can add up to more than 10% of the purchase price in some situations, resulting in a lower cash offer than expected
- 1% cancellation fees if you back out of the deal after acceptance
Offerpad has a 4.6 out of 5 stars rating on TrustPilot.
» Offerpad Review: Check out exclusive customer reviews of Offerpad
👎 Limited Coverage: Offerpad buys houses for cash only in 16 states.
👍 Rankings of Local Cash Buyers: In case Offerpad doesn’t cover your zip code, you can consider local companies offering cash for houses –
- We Buy Houses for Cash in Alabama
- We Buy Houses for Cash in Arizona
- We Buy Houses for Cash in California
- We Buy Houses for Cash in Colorado
- We Buy Houses for Cash in Florida
- We Buy Houses for Cash in Georgia
- We Buy Houses for Cash in Illinois
- We Buy Houses for Cash in Idaho
- We Buy Houses for Cash in Kansas
- We Buy Houses for Cash in Montana
- We Buy Houses for Cash in Nevada
- We Buy Houses for Cash in North Carolina
- We Buy Houses for Cash in Ohio
- We Buy Houses for Cash in South Carolina
- We Buy Houses for Cash in Tennessee
- We Buy Houses for Cash in Texas
Offerpad’s closing process is faster than other “cash for houses” companies. So, you should request a cash offer from Offerpad if you want to sell your house quickly.
However, the difference between Offerpad’s initial and final cash offers is quite high. Once, a home seller was offered $189,000 but received a lowball offer of $149,000 after Offerpad’s home inspection.
» What Does a Home Inspector Do: Here’s what a home inspector looks at in a property inspection.
4. Sundae Real Estate
PRE-VETTED INVESTOR NETWORK
Sundae Real Estate
Sundae Real Estate isn’t a typical “we buy houses for cash” company. It is a ‘cash investor marketplace’ where pre-qualified real estate investors can place bids for homes.
After your house has been assessed by Sundae’s home inspectors, they will create a listing on Sundae.com. This listing is broadcasted to Sundae’s subscribers.
- Service Fee: None
- Typical Offer: 30% to 70% of Fair Market Value (FMV)
- Eligible Properties: Rundown homes that need too many repairs or expensive upgrades, homes with bad tenants, inherited properties, etc.
- Closing Offer Terms: Sundae provides a flexible closing date, up to 60 days out. Offer terms are inflexible, but there is a possibility for negotiation.
👉 Our Take: No matter how distressed your property is, Sundae’s investors will make a cash offer. If you want to quickly unload a severely distressed property, listing on Sundae.com may help.
» Sundae Real Estate Reviews: Is it a cash investor marketplace in 2023?
- Marketplace With Pre-Vetted Investors: Sundae Real Estate is a unique cash buyer marketplace. It has over 3,000 pre-vetted real estate investors. Sundae acts as the communication platform between the home seller and the home buyer till the property closes.
- Multiple Cash Offers: Interested Sundae investors will make bids on your distressed house. If your home is appealing, it may attract multiple cash offers.
- Cash Advance of Up To $10,000: Eligible home sellers can receive up to $10,000 through Sundae’s Cash Advance Program. Any funds you may receive through the Cash Advance are part of, and not in addition to, your sale proceeds. This is not available for tenant-occupied properties.
- Zero Service Fees: Sundae Marketplace doesn’t charge any service fee.
- No Upfront Costs: When selling with Sundae, you don’t have to invest in home staging companies to renovate or fix broken door frames. You can sell your house as-is.
» How does Sundae work? Check this out to learn more about them.
In our research, we came across some deal breakers with Sundae Marketplace.
- Lowball Cash Offer: Sundae investors pay less than what sellers can get on the open market. The cash offer is around 50% to 70% of the property’s fair market value.
- Sundae Marketplace is Available in 11 Markets ONLY: Sundae homebuyers make cash offers in limited locations- Atlanta, Dallas, Fort Worth, Houston, Inland Empire, Las Vegas, Oakland, Orange County, Los Angeles, Orange County, San Diego, and Seattle.
- Non-Negotiable Cash Offers: Sundae.com homebuyers will not offer more than 70% of your property’s fair market value. You can try to negotiate if they overlooked something important, but Sundae investors will rarely budge on the price.
- Home Selling Experience Depends on the Investor: When you sell to home buyers like Sundae, you sell your house to a local investor. Although Sundae is the communication platform throughout the offers stage to closing, the home selling experience may differ based on the investor you have chosen.
Sundae has an average rating of 3.53 out of 5 stars on the Better Business Bureau, with 42 reviews, and 4.3 out of 5 on Google, with 22 reviews.
Sundae Marketplace is a pre-vetted network of investors. It is ideal for distressed home sellers looking to offload a property as-is.
No matter the condition of the property, you will get an offer when you list it on Sundae.com. The cash offer will likely be 50% to 70% of the home’s market value though.
5. John Medina Buys Houses
No Hidden Fees
John Medina Buys Houses
John Medina Buys Houses is a home-buying company that buys houses for cash in California. The process starts with a simple online form, a home inspection, and finally, you will receive a cash offer.
- Service Fee: None
- Typical Offer: 50% to 70% of Fair Market Value (FMV)
- Eligible Properties: Distressed properties with structural issues, condemned properties, couples going through a divorce, a death in the family, bad mortgage financing, inherited houses, high-crime neighborhoods, etc.
- Closing Offer Terms: They close the deal anytime between 7 to 30 days as per your convenience.
👉 Our Take: John Medina Buys Houses is best for home sellers looking for instant offers. But, if you want better offers, you should list your home on the MLS.
- Fast Cash Offers: You will get an offer in approximately 24 hours.
- Quick Closing: John Medina Buys Houses offers flexible closing from three weeks to any time of your choice.
- Sell As-Is: You need not prep your home before the home inspection, they will make all the repairs and do renovations.
Here are some drawbacks we came across during our research of John Medina Buys Houses:
- “John Medina Buys Houses” May Back Out of the Deal: Some homeowners have had a bad experience with John Medina Buys Houses. They backed out at the last minute, leaving the homeowner stranded.
- Lowball Cash Offer: The final cash offer may be below the property’s fair market value, around 70%. They may also deduct repair and closing costs.
John Medina Buys Houses has 4.5 out of 5 stars from 31 reviews on Google Reviews.
John and Yvette Medina found Los Angeles, CA based “John Medina Buys Houses” in 2013. In the last two years, they have expanded their business to the entire state of California.
They offer quick closing and instant cash deals. However, previous customers have complained that the deal did not go through and they received no explanation.
6. We Buy Houses
We Buy Houses
Dealing with a cash buyer company like We Buy Houses (WeBuyHouses.com) is like selling your home to a local real estate investor. We Buy Houses “thoroughly” vets their investors before authorizing them to operate independent offices in their respective jurisdictions. This cash home buyer caters to distressed home sellers and is known to buy properties as-is.
- Service Fee: None
- Typical Offer: 50% to 70% of Fair Market Value (FMV)
- Types of Properties Purchased: All kinds of ugly houses, i.e., distressed properties with structural issues, couples going through a divorce, a death in the family, flawed mortgage financing, inherited homes, high-crime neighborhoods, etc.
- Closing Date & Offer Terms: We Buy Houses provides a flexible closing date, up to 60 days out. Offer terms are inflexible, but you can try negotiating for a better cash offer and terms.
- Near-Nationwide Coverage: WeBuyHouses.com pays cash for houses in 2,700 cities nationwide.
🚩 You Should Know: We Buy Houses is a pre-vetted real estate investor network and operates on a franchise model. Some franchisee offices may use controversial tactics to close the cash transaction.
👉 Our Take: We Buy Houses operates franchises with independent, pre-vetted, local real estate investors. The quality of service depends on your location, so it’s best to check the customer reviews of the local We Buy Houses franchise before requesting a cash offer.
» We Buy Houses Reviews: Everything you need to know about WeBuyHouses.com
- Get an offer within two days & close in just seven days
- Private network of pre-vetted real estate investors
- Once an offer has been made, there is little to no space for negotiation.
- Most homes get paid less cash than the fair market value.
- Only interested investors will evaluate your home full cash offer will be made for your house.
- We Buy Houses’ final cash offer is usually in line with the preliminary cash offer unless the appraiser deducts anything during the home inspection.
👎 Zero Customer Reviews: We Buy Houses has no customer reviews on popular review sites like Google or Trustpilot.
👍 Houzeo Reviews: Houzeo has a stellar rating of 5.0 stars on Google and 4.9 stars on Trustpilot.
We Buy Houses makes cash offers on houses in 49 states with 2,700 offices nationwide.
WeBuyHouses.com is a private, pre-vetted network of real estate investors. We Buy Houses’ investors will buy properties as-is for cash.
If your property is inhabitable and only needs some cosmetic repairs, you should consider making repairs. Nationwide investors scour the MLS for fix-and-flip homes, so you might get a competitive cash offer.
» Flat Fee MLS California Listing Services: Find the best local CA flat fee service to list your home on the MLS.
7. We Buy Ugly Houses
We Buy Ugly Houses
We Buy Ugly Houses is a 20-year-old cash home buyer franchise. Independent real estate investors own and run each franchisee office. The parent company trains the franchisee but doesn’t micromanage their cash home-buying preferences. The brand, We Buy Ugly Houses is owned by HomeVestors.
- Service Fee: None
- Typical Offer: 50% to 70% of Fair Market Value (FMV)
- Eligible Properties: Ugly homes with structural issues, couples going through a divorce, a death in the family, bad mortgage financing, inherited houses, high-crime neighborhoods, etc.
- Closing Offer Terms: WeBuyUglyHouses provides a flexible closing date, up to 30 days out. Offer terms are subject to change based on the local franchisee office.
👉 Our Take: We Buy Ugly Houses is best for sellers who want to unload their distressed houses quickly. You shouldn’t expect more than 70% of your property’s market value.
» We Buy Ugly Houses Reviews: Everything you need to know about these home cash buyers.
- Fast Cash Offers for Homes: WeBuyUglyHouses.com will share a preliminary cash offer for your property in 24 to 48 business hours.
- Zero Service Fees: WeBuy Ugly Houses doesn’t charge any service fee in exchange for the convenience of selling your home for cash.
- Fast Closing: We Buy Ugly Houses.com will close in just seven days after you accept their cash offer.
- Firm Cash Offer: We Buy Ugly House’s cash offer is usually in line with the preliminary cash offer unless the inspector identifies major flaws during the home inspection.
- Wide Coverage: We Buy Ugly Houses offers cash for homes in 1,100 locations across 45 states.
- No Upfront Costs: When selling to WeBuyUglyHouses Com, you don’t have to fix your leaking roof or the mold residing in your walls.
» We Buy Ugly Houses Review: How does WeBuyUglyHouses.com calculate your cash offer?
In our research, we found some issues associated with We Buy Ugly Houses.
- Lowball Cash Offer: We Buy Ugly Houses pays less than what sellers could get on the open market. The cash offer is around 50% to 70% of the property’s fair market value.
- WeBuyUgly Houses.com is Not 100% Online: We Buy Ugly has a limited tech stack. This means a lot of processes, like requesting a counteroffer or managing inspections, will be offline and manual. They don’t even have a mobile app.
- Non-Negotiable Cash Offers: We Buy Ugly Houses will not offer more than 70% of your property’s fair market value. They rarely increase the price quoted in the initial cash offer.
- Inconsistent Quality of Service: When you work with house buyers like WeBuy UglyHouses, you sell your house to a local real estate investor. The service quality will differ based on the independent investor you are dealing with.
» Reviews of We Buy Ugly Houses: Check WeBuyUglyHouses reviews before requesting a cash offer for your condo.
We Buy Ugly Houses has 2 out of 5 stars with 6 reviews on Yelp.
» We Buy Ugly Houses Complaints: Check what customers say about WeBuyUglyHouses.com.
We Buy Ugly Houses, a trademark of “HomeVestors”, operates on a franchisee model. Local investors or those flipping houses in California are the owners of these franchises. They buy California houses for cash as-is.
Each WeBuyUglyHouses franchisee has its own rules, so the cash offer terms and service quality may not be consistent.
» Selling a Home As Is in California: Check out our guide for selling your California house as-is.
iBuyers That No Longer Offer Cash for California Homes
- Zillow Offers: Zillow, the biggest real estate marketplace, started its iBuying arm in 2018. After losing $881M while over-paying cash for properties, in November 2021, Zillow stopped buying houses. Check out the story of the fall of Zillow Offers.
- RedfinNow: Redfin, the biggest discount real estate broker in the U.S., entered the home-flipping business with RedfinNow in 2017. In November 2022, RedfinNow shut down due to increasing operating costs.
Are Companies That Buy Houses for Cash in California Legit?
Yes, companies that buy houses for cash in California or cash house buyers are legitimate and operate legally nationwide.
🚨 Cash for Houses Scams: Remember to inspect how the cash company operates before you sign any real estate contract. A legitimate home buyer will never ask you to pay cash!
Types of Cash Home Buyers
Companies that buy homes for cash in California help home sellers skip the hassle of listing on the MLS, marketing, home staging, etc. The four types of cash home buyers are:
- “We Buy Houses for Cash” Companies: The “fix-and-flip” house cash buyers that buy distressed properties, make repairs, and sell on the open market. California home buyers pay 30% to 70% of the home’s fair market value and don’t have any service fees or closing costs.
- iBuyers: Home-buying companies that use proprietary algorithms and determine a cash offer for your house. In 2023, iBuyers in California will offer ~70% to 80% of the fair market value.
- Buy-and-Hold Cash Buyers: A buy-and-hold cash buyer in California will convert a distressed house into a rental property. They do not sell the upgraded property for a one-time profit and will enjoy a steady source of income.
- Home Trade-In Services: A home trade-in company will offer cash on your house to help you buy another property. They fund your next house while you sell the one you’re living in.
- 🏚️ Selling a Home in Poor Condition in California: We recommend “We Buy Houses for Cash” companies if your property is in bad shape. If the property only needs cosmetic repairs, you should list your home on California MLS. You can get up to 100% of the fair market value on the open market!
Companies That Buy Houses for Cash Near Me
|1. San Diego||We Buy Houses for Cash in San Diego, CA|
|2. San Francisco||We Buy Houses for Cash in San Francisco, CA|
|3. Sacramento||We Buy Houses for Cash in Sacramento, CA|
|4. Los Angeles||We Buy Houses for Cash in Los Angeles, CA|
|5. Fresno||We Buy Houses for Cash in Fresno, CA|
|6. Orange County||We Buy Houses for Cash in Orange County, CA|
|7. Montclair||We Buy Houses for Cash in Montclair, CA|
|8. Oxnard||We Buy Houses for Cash in Oxnard, CA|
|9. Santa Maria||We Buy Houses for Cash in Santa Maria, CA|
|10. Ventura||We Buy Houses for Cash in Ventura, CA|
|11. Bakersfield||We Buy Houses for Cash in Bakersfield, CA|
|12. Brentwood||We Buy Houses for Cash in Brentwood, CA|
|13. Casitas Springs||We Buy Houses for Cash in Casitas Springs, CA|
|14. Coachella Valley||We Buy Houses for Cash in Coachella Valley, CA|
|15. Stockton||We Buy Houses for Cash in Stockton, CA|
|16. Modesto||We Buy Houses for Cash in Modesto, CA|
|17. Lemon Grove||We Buy Houses for Cash in Lemon Grove, CA|
How Do Companies That Buy Houses for Cash Work?
“We buy houses for cash” companies buy California houses “as-is” at much lower than the market value. They mostly work offline. Let’s look at the steps involved when you sell your house to a “We Buy Houses for Cash” company:
- Share Your Property Details: Cash buyer companies in CA will collect basic information like the location and condition of your property. You can share this via phone or their website.
- Review the Preliminary Cash Offer: The “cash for homes” California company will make an offer after comparing similar properties in the area. Typically it is 30% to 70% of the home’s fair market value.
- Complete a Home Inspection: California Home Inspectors will perform an inspection if you accept the initial offer. After adjusting repair expenses and holding costs, the cash house-buying company will send a final offer.
- Accept the Final Cash Offer & Close: If the California home cash buyer’s final cash offer matches your expectations, then you can finalize the closing timeline.
» Sell My California House Fast: Check out 5 ways to sell your California house fast in 2023.
How Much Do California “We Buy Houses Cash” Companies Pay?
Companies that pay cash for houses in California use the 70% ARV rule.
Suppose your home is worth $300,000, and you have a defective roof that will cost $25,000 in repairs. So, you can expect a cash offer of about $185,000.
The 70% ARV Rule: California house buyers will never pay more than 70% of the property’s fair market value. They have to repair and renovate the acquired homes. The overhead expenses are deducted from your home sale proceeds.
» How Much are Closing Costs for Seller in California: Find home sale proceeds from selling your house in California.
“We Buy Houses for Cash” California: Pros and Cons
The biggest benefit of California cash buyers is their speed and convenience. Selling a house for cash will almost always net you 10% to 30% less than a financed offer though. Let’s look at the pros and cons of selling a home to a cash home buyer:
- Fast Cash Sale: In the traditional model, you have to list on the MLS and wait for potential buyers. However, with “We Buy Houses for Cash” companies, you get a cash offer within 24-48 hours of submitting details on their website.
- Flexible Closing: “We Buy Houses Cash California” companies move faster than traditional buyers. Home sellers can close on their timeline and need not wait for listing paperwork or mortgage pre-approvals!
- No Service Fees: “Cash for homes” companies don’t charge any service fees. The net profit after fixing and selling your home is enough for them to sustain their fix-and-flip model.
- No Upfront Costs: To earn maximum cash, home sellers invest in real estate photography and staging before listing on the MLS. CA cash home buyers purchase homes as-is, so you can skip marketing or repair costs.
- Lowball Cash Offers: Companies that buy homes in California generally pay 50% to 70% of the home’s fair market value, deducting all repair, utility, and re-selling expenses. Although there may be room for negotiations, you can’t expect more than 70% of the market value of your home.
- Non-Negotiable Deals: When dealing with “cash for houses” companies, the deal is usually take-it-or-leave-it. You can try to negotiate if the company overlooked something important, but most cash companies will not budge on price.
- Some Cash Buyers Will Make You Pay Closing Costs: Homeowners are forced to pay the seller’s closing costs, and it’s not disclosed on the cash buyer’s site. You should always read the terms and conditions document carefully.
» Estimate Seller Closing Costs California: Breakdown of closing costs you incur as an CA home seller.
Alternatives to Companies That Buy Houses for Cash in California
- List Your Home With a Flat Fee MLS Service: With a Flat Fee MLS service, you can get up to 100% of the fair market value on the open market. High-tech For Sale By Owner websites like Houzeo will list your home on the local MLS within 24-48 hours and help you sell fast! 22% of homes listed on MLS sold above their final list price in February 2023.
- Hire a Top Realtor: California Realtors have the expertise to help you sell your property fast within a set timeline. However, the best realtors will charge a 6% commission. That amounts to thousands of dollars in realtor commission! It’s the worst option if you want to earn maximum cash.
- Sell “For Sale By Owner”: Selling your home purely For Sale By Owner implies no access to the MLS. You market your property, conduct market research, manage offers and showings, etc., all by yourself.
» For Sale By Owner Websites in California: Check out the best FSBO sites in the Golden State.
Frequently Asked Questions about Cash Buyers California
1. What is the best company that buys houses for cash in California?
Houzeo is the most popular platform for sellers looking for companies offering cash for homes in California. Not a cash buyer themselves, Houzeo.com lets you access the power of the MLS for a small flat fee, giving you exposure to cash home buyers. iBuyers, including Opendoor, have also made offers on properties listed on Houzeo.com.
» How Much Does it Cost to List on MLS: Read to Know Why MLS Listings are Worth the Cost.
2. Do We Buy Houses companies in California make fair offers?
Yes! iBuyers will offer up to 100% of the fair market value of your property. Local “we buy houses in California" companies will typically offer less - 50% to 70% of the fair market value. Listing your home on a marketplace, like Houzeo.com, will get you exposure to iBuyers and local investors. This significantly increases your chances of maximizing your cash offer.
3. How can I sell my house fast for cash in California?
Opt for a cash buyer marketplace. “We buy houses for cash” companies in California are best for distressed homes. They will offer 50% to 70% of the fair market value. An iBuyer will have strict purchase criteria and may not offer more than 70% to 80% of FMV. Marketplaces like Houzeo let you expose your property to nationwide cash buyers and iBuyers simultaneously. This exposure increases the chances of selling your home fast for cash.