In this episode of the “Ask the Expert” series, Elliot Castle, the founder and CEO of Castle Property Group, answers the question:
What Costs Do Cash Buyers Save Sellers?
Cash buyers offer a streamlined and reliable way to sell your property quickly. While the offer price is usually lower than what could be achieved on the open market, sellers can save costs in other areas.
Firstly, you’ll typically avoid estate agent fees. These can range from 1% to 3% (plus VAT) of the final selling price. Some agents have additional costs, such as fees for registration, professional photography, marketing upgrades, etc.
Secondly, cash buyers help you save on the ongoing expenses of owning a property. These include utilities like electricity, gas, water, and council tax. Some estimates suggest these costs can be around £20,000 annually for an average 3-bedroom home. With the average UK property taking around six months to sell on the open market, these costs can quickly add up.
Finally, you can potentially save money lost through price negotiations.
On the open market, many buyers submit offers below the asking price. And there’s the risk of gazundering (when a buyer lowers their offer at last minute).
Of course, sellers don’t have to accept either of these. But many may feel pressure to because of the time and costs they have already invested in completing a sale.
If you’d like to learn more about We Buy Any Home, please click the link below:
