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Hey everyone, just want to take a few minutes today, discuss with you about why when selling your home that you should want to offer as many financing terms as possible. Basically what I’m referring to is for a buyer there’s different financing options they can have. They can purchase a home on cash, they can be conventional, they can purchase FHA if they qualify, they can be a veteran in, which means they’ll get a better VA loan. They can also do a USDA loan depending on where your home is located. You don’t want to limit yourself by only offering cash and conventional because if you don’t have a buyer who is going to purchase the home conventional but they really like your home and you don’t have offers on the table, in reality you’re kind of hurting yourself on getting your home sold, right? Because having an offer is better than no offers at all.
And basically talk with your Realtor and maybe their lender that they advise on what the financing terms would be. Because basically a lot of times people are concerned about what the other financing terms include, what the conditions are and basically with FHA that means they’re going to have that second inspection when they have the appraisal same for VA timeframe of closing, things like that, right? You want to be aware of what you’d be getting yourself into. But at the same time just know that if your goal is to get your home sold, as long as it gets sold and your Realtor is negotiating on your behalf, you really should be less concerned about the financing terms if you are getting the right buyer.
For example, if your house is in great condition and it seems like it’s going to pass FHA, then we don’t have to be concerned about those extra repairs that may be requested because they won’t be, right? And then also if your home is priced right, you won’t be concerned about appraisal at all. The main thing is your Realtor can always double check because someone can be FHA and someone can be conventional. And an FHA buyer may have been fully through desktop underwriting to where all their contingency is really just the appraisal and title work; where you could have a conventional buyer who really all they did was pull their credit report. So your Realtor should at least be doing the due diligence for whichever offer you get, just speaking with the lender directly to make sure that this person has really been pre-approved or not just getting their pre qualification letter.
And if things check out on that and then really after understanding what the different financing terms are, you should go ahead and move forward with the best offer that’s going to give you the right terms and conditions. But again, it doesn’t help for you to only offer cash and conventional if no one’s making any offers, right? So keep that in mind. If you have any questions, leave a comment below, or you can email me at [email protected] all right, thanks. Bye.
This has been “Why Sellers Shouldn’t Only Accept Conventional Offers” by Patrice Henderson of Designed Living Real Estate. Be sure to subscribe to her YouTube channel for all your real estate tips, home tours and advice. Get your FREE listing consultation or home evaluation to find out if it makes sense to offer additional financing terms or not.