truth about cash offers

Truth about cash offers!

Not All Cash Offers Are Created Equal

We’ve all seen the signs — “We Buy Houses for Cash!” — on street corners, online ads, and social media. But behind those offers, there’s often more than meets the eye.

If you're thinking about selling your home for cash, it’s important to understand what makes a real cash offer and how to spot the difference between a legitimate buyer and a wholesaler just tying up your property.

At KDS Homebuyers, we pride ourselves on being transparent, reliable, and fully funded — and we want to help you protect yourself during one of the most important transactions you'll ever make.


The Truth About Wholesalers

Not all wholesalers are dishonest—but many of them aren’t the ones actually buying your house. Instead, they put your home under contract and try to sell that contract to a real investor or buyer.

🚩 Red Flags to Watch Out For:

1. Assignment Clauses

Look for language in the agreement like “and/or assigns” or a clearly written assignment clause. This allows the person who signed the contract to sell it to someone else.
Real cash buyers don’t need this—they’re the ones bringing the money.

2. Low Earnest Money Deposits

A legitimate buyer should be putting down a serious deposit.
🔍 Warning Sign: Offers with $10, $100, or even $500 in earnest money.
💡 What’s Normal? Around 1% of the purchase price is standard.
🛑 A small deposit = no commitment. Don’t accept less than $1,000.

3. “Escape” Clauses or Refundable Earnest Money

Wholesalers often include inspection or contingency clauses that allow them to back out— even after tying up your property for weeks.
They use that inspection window to shop your deal to other buyers. If no one bites, they walk—and you’re left starting over.

4. Long Inspection Periods and Delayed Closings

Ask yourself: Why would a cash buyer need 30–60 days to close?
They shouldn’t. Legitimate buyers can often close in under two weeks once title is clear.
If you see:

  • More than 10 days for inspections
  • More than 30 days to close (without you requesting it)
…it’s likely they aren’t the real buyer.

 


How We’re Different: Real Buyers, Real Cash, Real Results

We’re not here to lock you into a deal just to flip it. We are direct buyers with cash on hand and a proven track record. When we make an offer, we follow through—fast and fair.

✅ What You Can Expect From Us:

  • Transparent Contracts with no hidden clauses or tricks
  • Strong Earnest Money Deposits to show we’re serious
  • No Assignment Games – we’re the actual buyer
  • Fast Closings – as little as a few days when needed
  • Flexible Timelines – if you need more time to move, we can work with that too

How to Protect Yourself When Selling for Cash

Even if you don’t work with us, here are a few simple steps to protect yourself:

  1. Ask who’s actually buying the house. If they dodge the question, they’re likely not the buyer.
  2. Request proof of funds. Real buyers can show a bank statement or letter quickly.
  3. Review the contract carefully. Look for assignment rights, extended inspection periods, or small earnest deposits.
  4. Work with a reputable title company or attorney. They can help you spot red flags and ensure a smooth close.

The Bottom Line

There’s a big difference between someone promising to buy your house and someone who’s prepared to do it. When you work with us, you get:

  • Certainty
  • Speed
  • A fair deal with no surprises

If you’re considering selling your home for cash, let’s talk. We’ll walk you through your options and give you a straightforward offer—no games, no pressure.

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about your house

 

We buy all kinds of houses and would love to buy yours, but our number one priority is to give you the information needed to decide what's best for you.

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