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There are many different ways to sell a home. The most common approach is to work with a real estate agent and list your home for sale, host showings and wait for the offers to (hopefully) roll in. But if time is of the essence and you need to fast-track the selling process, another option is to work with a company that proclaims, “We buy houses!”
The operations can make the selling process extremely quick and easy. They make all-cash offers for homes, often within 24 hours of viewing the property. Many also handle all closing paperwork and can finalize the deal in a matter of weeks, or less. While all of this might sound like music to your ears, there is a downside: Cash homebuying companies rarely pay market value for your home. Read on to learn more about “we buy houses” companies in the Miami area, and how they work.
Cash homebuyers in Miami
If you’re looking to sell your Miami home, a variety of “we buy houses” companies operate in the area. Some are affiliated with national chains, while others are regional or hyper-local companies.
On the national front, a company that actually goes by the brand name We Buy Houses is among the most well-known and buys homes throughout Miami. HomeVestors, also known as We Buy Ugly Houses, is another nationwide cash homebuyer with a presence in Miami. Both companies make cash offers on homes in any condition and promise quick closes.
There are also several local homebuying companies that serve the Miami area. These include:
- The Buy Guys: In business since 2006, this outfit buys homes in as-is condition and says their entire sale process — from signing a contract to cash-in-hand — typically takes just five days.
- South Florida Cash Home Buyers: This family-run business specializes in distressed properties and working with individuals who are seeking to sell poorly maintained or unwanted houses. Some closings take place in less than a week.
- Florida Cash Home Buyers: Operating throughout Florida since 2011, Florida Cash Home Buyers also buys homes as-is. In addition to expediting the home sale process, it offers the option of a cash advance before closing.
Another take on the expedited home buying process can be found with iBuyers. These online-only operations also pay cash for homes and can finalize the process more quickly than a traditional sale. However, they sometimes charge steep fees and generally do not purchase homes that are in very poor condition. The primary iBuyer operating in Miami is Opendoor.
How do ‘we buy houses’ companies work?
Selling to a homebuying company follows a fairly similar process, no matter which operation you choose to work with. The first step is reaching out to them, either via phone, email or web submission form. After that, a company representative will typically call to arrange a walk-through in order to assess your home’s value. Alternatively, the company may request that you submit photos of the home online. After the assessment has been completed, you’ll receive an offer, sometimes on the spot or 24 to 48 hours later.
There’s no obligation to accept an offer. In fact, it may be best to shop around and obtain offers from more than one company. Once you identify the company you’d like to proceed with, the closing process can be completed quickly, often in a couple weeks or even less. But before signing on the dotted line, read the contract very carefully and make sure you understand everything, including the timeline and any additional fees that might be charged.
Working with a homebuying company can put the sale process on the fast track, but it won’t earn you top dollar. When selling your Miami home, it may be more financially beneficial to consider some of the other options:
- Sell with a Realtor: Taking the traditional route and working with a local real estate agent will take longer, but you’re likely to pocket much more money from the sale. An agent with a deep knowledge of the Miami housing market can help you negotiate the best deal possible for your home, based on its exact location and the local market.
- Sell it yourself: Selling a home on your own, without the help of a professional, is another potential option. You’ll avoid the cost of a listing agent’s commission, but you’ll also have to do all the work yourself. The for-sale-by-owner approach isn’t for everyone, though — it can be daunting, especially if you have no prior experience selling a home.
- Rent it out instead: If you don’t need the proceeds from a home sale right away, becoming a landlord can be lucrative. Though you’ll also need to be prepared for the responsibilities associated with renting your home, including maintaining the property and screening potential renters.
If you’re pressed for time and need to sell your Miami home quickly, or have an urgent need for cash, then reaching out to a cash homebuyer may be the right first step. But remember, this approach has pros and cons: In exchange for the convenience of a quick and easy sale, you will likely end up pocketing less money. If you have a more flexible timeline, it can be more financially beneficial to find a local real estate agent who can guide your path and help to negotiate the most lucrative deal possible.
The median sale price in Miami as of May 2023 was $560,000 according to Redfin data, which means half of homes sold for more and half sold for less. But, when working with a “we buy houses” company, don’t expect to receive full market value for your home. They are for-profit operations that need to make money on a resale, so they typically pay less than you might make on the open market. And if the home is in poor condition, meaning they will have a lot of repairs to do before they can resell, you can expect even less.
They are rising, but only slightly. As of May 2023, home prices in Miami are up 1.8 percent year-over-year, per Redfin data.