Cash For CastlesOctober 24, 2011
Buying a home with cash is becoming more popular than ever, especially in the luxury home market. This year, according to the National Association of Realtors, 32% of home purchases were paid for in cash, up from 26% last year.
One of the advantages of paying with cash is bypassing the loan approval process, which can be long and complicated. When you don’t have to submit all your financial records to a lender, you can maintain your privacy and have more bargaining power with the seller. Sellers are often willing to accept lower offers from cash buyers, because the deal is more dependable when it’s not contingent upon appraisals and outside funding.
If you do have the cash to cover a home purchase, the transaction will go more smoothly. You will also have instant equity in your new home and save on the interest you would have paid over a 30 year loan. All these advantages make paying cash for your new castle a smart option in today’s market.