The real estate industry is cyclical – from the recession phase with plenty of vacancies and little new home building projects through recovery, as the market begins to bounce back until the market is saturated and prices reach an unstable peak.

Over the course of real estate cycling, some people may end up upside down on their mortgages or fall behind on payments. There's hope in these situations, however. A new animal has entered the real estate investment industry, and it's changing the way that people buy and sell their homes – the iBuyer.

What is an iBuyer?

An iBuyer is an investor or investment group that purchases your home for cash. It's a straightforward transaction – simply contact the company, fill out details about your home, and the company will make a fair market offer on the home. In today’s world full of technology, selling a house can be done entirely online if you choose.

Unlike traditional real estate transactions, iBuyer’s have their own financing, which drastically cuts down the wait time form offer to closing. They don't have to go through the extensive mortgage approval process that a traditional buyer does. They use proprietary software to estimate your home's value – and some will even make you an offer sight unseen.

What Types of Homes Do iBuyer’s Purchase?

iBuyer’s will buy any home - those that are in pre-foreclosure, those that need extensive repairs, or those that simply haven't found the right buyer. Choosing to sell your home to an iBuyer can help you avoid having a nasty foreclosure on your credit. If you've had fire or flood damage to your house, you may not have the time, desire, or financial wherewithal to make the repairs needed. In these cases, selling your house fast to a cash buyer, even if it's not the highest offer that the property can command, may make a lot of sense.

Is Selling to an iBuyer Right for My Home Sale?

Deciding whether to sell to an iBuyer is largely a factor of tie versus money. Most people choose to sell to cash buyers if they don't have the time to list their property and wait through weeks or months of showings, offer, and potentially concessions at closing.

Other people opt to sell to an iBuyer because they need to move the property fast. Maybe you've received a job offer and cannot afford two mortgages. Or, you've inherited a house that you don't want to live in, or that may have been left to one or more people that simply want their share of the proceeds from the sale.

You may also have ended up in dire financial straits and need to settle your debts quickly. In these cases, you might want to sell your house, get the equity you've put in, and clear some of your outstanding debt.

How Can I Sell My Home to an iBuyer?

Selling to an iBuyer can be as simple as filling out a form on the internet. You'll need details about your home, including the year it was built and the overall condition. The investment team will use valuation software that determines fair market value for your home based on its characteristics and location, as well as the current real estate market conditions. While you may not get the peak price for the house, you'll also be able to avoid the complicated home sales process.

When you're ready to get started, give us a call. We can make selling a home a snap.