I am in the process of buying my first home. I am approved for a certain amount of money but the house I'm looking at purchasing is owned by the bank and they want a "cash deal". I don't have enough "cash" to purchase so I was wondering if there was any other options out there for me to take advantage of.
2007-12-08 12:29:20 · 7 answers · asked by Steve 1 in Business & Finance ➔ Renting & Real Estate
The fact that the bank wants all cash and will not let you get a mortgage makes me suspicious. The only reason that I can see for that is if the bank knows that there is something wrong with the property that will prevent the property from qualifying as security for a mortgage.
I thiink that I would pass on this house and this bank. There is a huge glut of houses out there right now.
The seller needs your money more than you need the seller's house.
2007-12-08 12:42:20 · answer #1 · answered by Anonymous · 0⤊ 0⤋
The reason the bank wants a CASH OFFER is...they want and NEED cash so you do NOT have cash hence no house. AND this is NOT unusual. Bank REQUIRE cash offers on foreclosures ALL THE TIME. Reason? Simple; because the house either has no flooring, read carpet; OR an empty swimming pool. IF a house has an empty pool or torn up floors then NOBODY can get an appraisel on the property; if you can't get an appresal then you can use finanicing. Which means the banks are REQUIRED to sell the property "as is, where is" for an all CASH offer. Since you don't have "cash" then you can't get the house.
2007-12-08 21:18:04 · answer #2 · answered by Jerrold J 3 · 0⤊ 1⤋
first time for me never heard of a demand for a cash deal, oh well guess there is a first time for every thing, taking a mortgage gets the bank cash at closing, they are going to have a closing one way or the other doesnt make much sense. not many folks have cash to buy a house, sure u understood what they r talking about. if it is strictly cash and carry, find another house, no one is going to give you cash without having the loan secured by something.
2007-12-08 20:35:57 · answer #3 · answered by donald e 4 · 0⤊ 0⤋
There is something wrong with this picture. If you got your own financing then it is a cash deal as far as the bank should be concerned. At close of escrow they will get paid in full so there should not be a problem. If what you are saying is true, it makes no sense at all.
2007-12-08 20:49:00 · answer #4 · answered by Anonymous · 0⤊ 0⤋
All banks that have a home on the market are asking for a all cash deal. It means they are not going to offer you the financing on the home. Have the home inspected. You can get your own financing thru your own means. Good luck with your first purchase.
2007-12-08 21:12:44 · answer #5 · answered by Big Deal Maker 7 · 0⤊ 0⤋
Walk away today.
when u buy a house even with amortgage the buyer recieves 'cash' at closing in the form of check from the mortgage writer (bank).
if they want Real Cash- walk away far.
there are plent of houses on market now.
just walk to the next one.
2007-12-08 21:30:21 · answer #6 · answered by Anonymous · 0⤊ 0⤋
Sorry, Steve. It looks like you'll need to find a new house. Just make sure you have at least 20% for a down payment (to avoid mortgage insurance).
2007-12-08 20:35:47 · answer #7 · answered by Debt Slayer 4 · 0⤊ 0⤋