Investing in real estate with cash is a smart way to buy but it’s not easy to know how to make an offer. If you’re wondering how to formulate an offer for a house when buying cash in Omaha and Council Bluffs keep reading to learn more and to see how we do it.
You’ve Got A Property In Mind Now What?
If you are looking for a real estate deal to acquire for cash and now you’re wondering how to formulate the offer, you’ll love these strategies that many direct cash home buyers in Omaha and Council Bluffs use daily to acquire deals in Omaha and Council Bluffs. Be aware that they may take some practice and they won’t work for every seller who wants to sell their house fast in Omaha and Council Bluffs you meet so test them out a few times to perfect your ability to use them. Once you perfect them, you can use this as a system over and over to quickly and easily make offers.
Market Price Less A Percentage
The first way to formulate an offer for a house when buying with cash in Omaha and Council Bluffs is to find out what the market price is for the property and then subtract a percentage. You can get the market price by “pulling comps” (finding out what similar properties have sold recently in the area). You can sometimes get this information yourself but if you partner with a real estate agent they can do it for you. Comps will tell you how much other similar properties have sold for recently and then you can subtract a percentage to formulate your offer.
For example, you can offer a market price of less than 20%. So a $100,000 comp would mean that you’d offer $80,000 for the property.
The second way to formulate an offer for a house when paying cash in Omaha and Council Bluffs is to work the other way (and to factor in what you can sell the house fast in Council Bluffs and Omaha for). Figure out how much you want to make and then add your costs. That way, you build profit into the deal. However, this way can be challenging if you don’t know how to accurately estimate your costs, so make sure you build a good relationship with a contractor who can help you.
For example, if you want to make $15,000 on the property and you know that the property will cost $25,000 to repair then you might offer $30,000 to the seller but plan to sell it for $45,000. Using this strategy helps you think ahead to consider what you can get for the property and whether you’ll be able to make a profit.
No discussion about how to formulate an offer for a house when buying cash in Omaha and Council Bluffs would be complete without talking about seller financing. The first two strategies have highlighted a single sum that you would pay the seller but when you factor seller financing into the mix, it changes everything: with seller financing, you might pay some cash and then have the seller carry the note for the remainder. This can adjust your profit point and how much you can pay for each deal.
Alternatively, you can bypass all the work and effort of formulating offers and making deals with sellers and instead buy a property from a professional home buyer in Omaha and Council Bluffs. We buy houses in Omaha and Council Bluffs and we sell attractively-priced investments and have done all the hard work for you! To see our inventory of available real estate investments, call our experienced direct cash home buyers in Council Bluffs and Omaha from Harter Investments at 402-939-6556 or send us a message today or visit us at www.harterinvestments.com!