Cash home buying businesses are a growing trend, but most people are not familiar with them or how they operate. These days, with so many scams on the internet and social media, it’s wise to be cautious. Before dealing with a cash home buying business, you should check them out.
Look for Reviews
Most home buying companies have websites, and that’s a good place to start your investigation. A legitimate company will list its name, affiliation (if it’s a franchise), contact information, and process. You may also find reviews and testimonials there.
But you should also look for reviews from other sites. Naturally, every company is going to put its best foot forward. Look for people’s reviews on independent websites.
Check the BBB
The Better Business Bureau, also known as the BBB, is well known for providing information and evaluations of companies. The website gives a rating, similar to grades in school like A or B, based on reviews, complaints, and other objective factors.
If you cannot find the cash home buying business listed on the BBB, that’s a big red flag. If it’s there, you can see who the owners are, how long it’s been in business, and whether there have been any complaints.
Ask for Proof of Funds
It’s also a good idea to “follow the money.” A legitimate cash home buying business will gladly show you proof of funds. This is a letter from their financial institution stating that they have sufficient funds in their account to pay you the amount they offered for your home.
If the company is reluctant to show you proof of funds, walk away. They might be trying to hide something. And, if the company asks you for payment of any kind, run away. A legitimate cash home buying company will never ask you to pay for anything.
The majority of cash home buying companies are legitimate, and they will be more than happy to demonstrate their business model, proof of funds, and other evidence. They’ll also answer any questions you have in a straightforward manner, without hedging or hesitating. If you’re wanting to sell a house, selling for cash is a legitimate way, but do your research first.
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