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Working with a real estate agent is the most common way to sell a home. But finding the right agent, preparing your home for sale, hosting showings and waiting for offers to roll in can be both stressful and time-consuming.
By comparison, selling your house to a “we buy houses” company is a much faster and easier alternative. These companies make all-cash offers on homes, often in as little as 24 hours. Cash homebuying companies usually handle all closing paperwork and can finalize the deal within a few weeks, too, simplifying the selling process. And they typically buy homes no matter what condition they’re in, which can be a lifesaver if the home is in need of major repair.
However, all this speed and convenience comes at a price: You won’t make as much on the sale as you likely would on the open market. Read on to learn the pros and cons of selling your Dallas home to a “we buy houses” company.
Types of companies that buy houses for cash in Dallas
If you’re interested in selling your Dallas home to a homebuying company, you’ll have a number of options, including both national chains and local entities.
One well-known national chain, which actually goes by the brand name We Buy Houses, buys homes throughout the Dallas area. Another big-name option is HomeVestors, also known as the “we buy ugly houses” company. These operations make cash offers regardless of a home’s condition and promise speedy closes. The local Dallas branches are likely franchises of the overall companies.
You might also consider an iBuyer, an online-only operation that also pays cash for homes and operates quickly. Two of the biggest, Offerpad and Opendoor, both buy homes throughout the Dallas market. Keep in mind that iBuyers might charge steep fees, though, and they don’t usually purchase homes that are in poor condition.
There are local cash-homebuying options in Dallas as well, including:
- Jamie Buys Houses: This company, also known as Cash for TX Houses Now, buys homes as-is, takes care of closing costs and can close on a date of your choosing.
- Southern Hills Homebuyers: This family-owned outfit buys most any kind of home, including condos, duplexes and mobile homes, as-is and says it can get you your cash in under seven days.
We Buy Houses Fast in Dallas: If their cash offer isn’t right for you, this company can also list your home on the local MLS. They also buy in as-is condition with no closing costs and close within one to two weeks.
How do ‘we buy houses’ companies work?
Most homebuying companies follow a similar process. You’ll get started by reaching out via phone, email or web submission form. Next, a company representative will call to schedule a walk-through to assess your home’s value; they might instead ask you to submit photos of the home online. Once the assessment is complete, you’ll receive an offer quickly, usually within 48 hours and sometimes even on-the-spot.
You’re not required to accept these offers, however, so it may be smart to shop around and obtain multiple offers. (They will likely have a fairly quick expiration date, though, so you won’t have much time to mull it over.) While you won’t have to do any work or repairs on the home, or even clean it, remember that the worse shape your home is in, the lower the offers are likely to be. Most of these companies make their money by fixing up the home and either reselling it or keeping it as a rental, so the more the work there is to do, the more it will cost them to bring the property up to speed.
Once you decide who you’d like to work with, you can usually complete the closing process in a couple weeks or less. However, before you sign on the dotted line, make sure you understand all the terms of the contract, including the timeline and fees charged. Read all the fine print. And do some online research first to make sure other clients have been satisfied.
Selling your home to a “we buy houses” company can get it out of your hands quickly, but they’re not the only options out there:
- Use a local agent: Working with a local real estate agent takes longer than selling to a “we buy houses” company, but you’ll probably pocket a higher profit if you go this route. Redfin data shows that Dallas homes spent a median of 29 days on the market before selling in August 2023, but an experienced agent who knows the market well can probably help you shorten that timeframe. And since the median sale price in the city is $400,000, why not try to keep as much of that in your pocket as possible?
- Sell by owner (FSBO): Selling your home without the help of a professional will save you a chunk of cash, since you don’t have to pay a seller’s agent commission. However, the for-sale-by-owner approach is labor-intensive, and it can be daunting if you have no prior experience selling a home.
Rent it out: Monthly rental income can be lucrative if you don’t need the profits from a home sale right away. That said, it’s also a lot of work, and being a landlord isn’t for everyone.
Working with a “we buy houses” company may be a good choice if you need to sell your home quickly, want to unload a home in poor condition, or just need cash fast. Dallas has plenty of options to choose from, and you’re under no obligation to accept their offers, so you could even get a few to see who will pay the most. While the process is efficient, remember that you’ll likely end up pocketing far less than if you worked with a Realtor. If you have the time, work with a local real estate agent to secure a more lucrative deal.
Yes, for the most part these are legit fix-and-flip operations. Just like you see on TV, they buy houses cheap, fix them up fast and sell them for a profit. But it’s always smart to do your due diligence and research a company before you sign a contract with them. In the case of a big national brand, remember that the branch in Dallas is probably an individual franchisee, so research your local branch specifically, not the company as a whole. And never sign a contract without reading and understanding it fully.
“We buy houses” companies, in Dallas and everywhere, will typically pay at least 10 to 20 percent below market rate for your home. That’s because they need to make a profit — they have to fix up the property and sell it as fast as possible, or keep it and get rental money coming in as fast as possible.
Selling to a “we buy houses” company typically costs nothing. Most companies cover closing costs and do not charge fees, though they may offer less to make up for that. Selling through a real estate agent means you’ll have to pay to fix up the home so it’s ready to list, and you’ll also be on the hook for agents’ commissions, which run 5 to 6 percent of the home’s sale price. However, in the end you’ll pocket more selling with an agent than you will selling to a homebuying company.