When you are selling your home, there are a lot of different ways that you can go about the process. For example, you could use a real estate agent, sell it yourself, or work with a cash home buyer. If you choose to work with a cash home buyer, there are a few things that you need to know about the process in Virginia. In this blog post, we will discuss the entire cash offer on a house process in detail. We will cover everything from signing the contract to transferring the title at closing. So, if you are interested in learning more about this process, keep reading!
How Long Do Cash Home Purchases Usually Take?
For several reasons getting a cash offer on your house is going to be the quickest way to sell. The number one reason is that there are no bank pre-approvals needed. This can often take 30-60 days or even longer if the buyer needs to get a loan approved underwriting, and a home appraisal completed. With a cash buyer, they will have the money available immediately, which means that you can close on your timeline.
Another reason that cash home purchases tend to close quickly is that there are often fewer inspections needed. With a traditional sale, the buyer will want to do a home inspection, a termite inspection, and sometimes even a septic inspection. This can add several weeks to the process. But with a cash buyer, they may not require any of these inspection contingencies.
So, how long does the entire cash offer on a house process usually take? It depends on a few factors, like if your home is in pre-foreclosure, but typically it can be completed in as little as two weeks. Of course, there are always exceptions, but if you are working with a reputable cash buyer, they should be able to close on your timeline.
Cash Home Buyer Laws in Virginia
The big question on everyone’s minds, is it legal for cash home buyers in Virginia to purchase a home? Yes, it is! In fact, as mentioned above, there are several benefits to working with a cash buyer. First of all, the process will be much quicker than if you were to sell your home through a traditional sale. The average time it takes to sell a home in Virginia — from listing through closing — is approximately 75 days.
Cash buyers have the money available immediately, so they can close on your timeline, whether that’s within a week or a few months. Additionally, you will not have to worry about inspections or appraisals. And finally, you will not have to pay any realtor commissions, which can cost several thousand dollars.
Besides it being legal to work with a cash home buyer here are a few other house buying laws to be aware of in Virginia.
Seller Disclosure Requirements
There are some seller disclosure requirements in Virginia that you need to be aware of. You will need to provide the buyer with a Property Condition Disclosure Statement. This document will list any known defects or problems with the property. You are also required to disclose any material facts about the property that could affect the value or desirability of the property.
It is important to note that even if you do not disclose these things, the buyer could still find out about them during their due diligence period. So, it is always best to be upfront and honest about any potential problems with the property.
The Virginia Real Estate Board provides a standard form for this.
However, there are a few specific disclosures sellers must, by law, make:
- If the property is in “any locality in which a military air installation is located.”
- If there are pending building code or zoning ordinance violations.
- If the property was once the site of a meth lab and has not been cleaned up according to state guidelines.
- The long-term maintenance and inspection requirements for any privately-owned stormwater management facility on the property or if the property has a septic system.
In addition to state-required disclosures, sellers of houses built before 1978 must comply with federal Title X disclosures regarding lead-based paint and hazards.
Unless you’re working with cash home buyers in Virginia, who will buy your house in as-is condition, you will need to make any necessary repairs or updates to the property before listing it for sale.
Real Estate Purchase Agreements in Virginia
A purchase agreement is a legal document containing the main terms and conditions of your real estate transaction. It must be in writing and signed by the parties (buyers and sellers) in order to form a contract. At a minimum, it will include an offer to sell or purchase, an acceptance of the offer, the sale price, and an adequate description of the property.
Title Issues in Virginia
Assuming you’re taking out a loan, your mortgage companies will likely require you to purchase a title insurance policy. This protects your title to the property against adverse claims by third parties or “clouds” on the title missed by the preliminary title search (done in advance of issuing the policy).
The title company searches public records and other sources for any liens, easements (such as the utility company’s right to access part of the property), or other encumbrances or title restrictions that might affect your ownership or rights to use the property. If the title search locates problems, insist that the seller correct these as a condition to closing.
Are You Required By Law to Work With a Lawyer?
Unlike some states, Virginia does not require that buyers involve a lawyer in the house-buying transaction. Even if it’s not required, you might decide to work with a lawyer at some point in the process. Or, you might want a lawyer’s help if problems show up during escrow or the house closing.
The Cash Offer On House Process in Virginia
Now that we have covered the cash home buyer laws in Virginia let’s discuss the selling process in more detail.
Signing the Contract
Once you have found a cash home buyer in Virginia, the next step is to sign a contract. If you have any questions or confusion about the terms in your contract, seeking legal advice would be helpful. Also, asking the home buyer for proof of funds would be wise in a cash purchase.
The contract will outline the terms and conditions of the cash sale, including the sale price, the closing date, and any special conditions that must be met in order for the home sale to go through.
Both buyers and sellers are legally bound to the terms of the contract once it is signed, so it is important that you understand everything that is in the contract before you sign it.
The Home Inspection
After the contract is signed, the next step in the process is to have a home inspection. The purpose of the home inspection is to identify any potential problems with the property that could cause problems down the road.
Some common problems that are found during home inspections include:
–Structural problems with the foundation or framing of the house
-Problems with the electrical system
-Problems with the roof
If any of these problems are found, it is up to the buyer and seller to negotiate who will pay for the repairs. In some cases, the seller may agree to make the repairs before the sale is finalized. But if you were to sell to a local “We buy houses Norfolk” company, you wouldn’t have to worry about this inspection because they purchase the home as-is.
Escrow and Other Payment Processes
Once the home inspection is complete, the next step in the process is to open an escrow account. The escrow company acts as a neutral third party in the transaction and holds onto any money that is being exchanged between the buyer and seller.
The buyer will usually deposit a down payment, also called earnest money, into the escrow account, and the seller will deposit any money that they are owed from the sale. Once all of the money, like closing costs, and property taxes, have been deposited into the escrow account, the transaction can move forward.
Closing Documentation and Transfers
Once the escrow account has been funded, the next step is to sign all of the closing documents. These documents will transfer ownership of the property from the seller to the buyer.
After all of the documents have been signed, the keys to the property will be given to the buyer, and they will officially become the new owner. You will either get a wire transfer or a cashier’s check for the entire amount of the final sale price.
Documents You’ll Need to Sell the House
In order to sell a house in Virginia, you will need to provide a number of documents to the buyer. These documents include:
-The signed contract
-Proof of ownership, such as a deed or title statement
-A disclosure statement that lists any problems with the property that the seller is aware of
-A survey of the property, if one is available
-A home inspection report, if one was done
-HOA documents, if available
-The keys to the property
Once you have gathered all of these documents, you will be ready to sell your house in Virginia.
Is Selling a House For Cash A Good Idea?
There are several benefits of accepting a cash offer for your home. One of the biggest advantages is that it allows you to avoid the hassle and expense of going through a traditional sale. The true cost of selling a house includes things like real estate commissions, home staging, and repairs. When you sell your house for cash, you can avoid all of these costs and simply hand over the keys to the new owner.
Another benefit of selling for cash is that it can help you close on the sale faster. If you are looking for someone to “buy my house in Virginia Beach,” then accepting a cash offer may be the best option for you.
Selling your house for cash is a big decision, but it can be a good option if you are looking to sell quickly and without any hassle.
If you’re still on the fence about whether or not selling your home for cash is the right decision for you, then be sure to consult with a real estate professional. They will be able to help you weigh the pros and cons of selling for cash and help you make the best decision for your situation.
If you’re interested in selling your house for cash, we’d be happy to make you a fair, all-cash offer. We’re one of the leading home buyers in Virginia, and we have a team of experienced real estate professionals who can help you through the entire home buying process. Give us a call today or fill out our online form to get started.
We hope this guide has helped you better understand the cash offer on a house process in Virginia. If you have any questions, feel free to reach out to us, and we’ll be happy to help.
DISCLAIMER: This article is meant for educational purposes only and is not intended to be construed as financial, tax, or legal advice. Avante Home Buyers always encourages you to reach out to an advisor regarding your own situation.