Thinking about selling your Las Vegas home for cash?
Cash sales offer a wide range of benefits, including competitive cash offers, quick closing times and the freedom to work outside of bank financing. It’s no wonder why these sales are often preferred by sellers and buyers!
What you may be wondering, however, is who’s going to pick up the closing costs. Closing costs are fees paid at the time of a real estate closing. The buyer or the seller may be responsible for them, and they typically run between 2-5% of the loan amount. On a $300,000 home purchase, this would come out to $6,000-$15,000.
Let’s learn more about closing cost fees and who is responsible for them in a cash sale.
Closing Cost Breakdown in a Cash Sale
In a cash sale, the only person you work with is the cash buyer. Since they have the money to buy your home, they don’t need bank financing. This allows you to skip over common lender fees like origination and processing fees, credit check costs and mortgage points.
That said, there are still closing costs associated with a cash sale. These may include:
- Earnest money deposit. Earnest money is held in escrow and lets you know the buyer is serious. While earnest money varies, it’s usually between 1-3% of the purchase price.
- Appraisal. Appraisals are not necessary for a cash sale. Usually, the only time a cash buyer will request one is if they’re worried about overpaying. Appraisals generally cost around $300-$400 and are covered by the buyer.
- Inspection. Like appraisals, inspections are not required in a cash sale. However, buyers may want one anyway so they know what they’re getting into. Inspections are between $200-$800, depending on the size of the property.
- Title search fee. Most states require a title search before transferring a property. This establishes the line of ownership and ensures the property can actually be sold. Title search fees cost between $100-$250.
- Escrow fees. Escrow companies act as a neutral third party when transferring money during the home buying process. Buyers and sellers usually split this fee, which varies between companies.
- Notary fees. In order to close on the home, you’ll need a notary to witness the document signing. This fee is often waived depending on where you close. If you do end up paying, it’s usually around $100.
Cash Home Sales: Who Pays Closing Costs?
With a cash home sale in Las Vegas, there is no lender to refuse financing at the last minute. This is invaluable for people who need to sell quickly. There is also room for negotiations in a cash sale.
We Buy Any Vegas House typically picks up all closing costs. We also have good working relationships with several reputable title companies in the area. This allows us to anticipate closing costs more accurately. To get your free, no obligation cash offer, contact our team today.