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What Is the Difference Between a Cash Sale and a Traditional Sale?

You might be asking what makes cash sale offers different from the conventional method of selling your home. When you sell your house for cash, you and Columbia MO we buy houses for cash agree on a price for your house exactly as-is. You don’t need to be concerned about any upkeep or repairs.

Read on as we discuss a few further distinctions. Your choice of approach is ultimately up to you. Everything is dependent on your circumstances and the goals you have for your sell. After reading the distinctions, you’ll have a clearer idea of which choice would be the best for you.

Paying Commissions

Closing charges, title transfer fees, and realtor fees are typically included in a house transaction. Depending on whether you opt for a conventional sale or a cash sale, these fees will vary as shown below.

Traditional sale: Every time a home is sold, a title company transfers the title to the new owner. Traditional sales require a bank loan, which makes them more difficult. Title insurance, transfer taxes, and a closing fee are required. The title company will also be paid by you.

Cash sale: The transaction is less complicated because you are paying with cash even if you still have to pay transfer taxes and title insurance. When you sell your home for cash to a real estate investment company, the only costs you have to cover are title insurance and transfer taxes.


Traditional sale: Any loan-financed bid must pass inspection in a traditional sale. Given that the person purchasing your home will have a bank loan, this makes sense. Both the bank and the buyer must be confident in their investment.

If it turns out that your house needs repairs, you can be asked to pay for them or the price might be reduced so the new owners can afford them.

Cash purchasers buy the house “as is.” We Buy Houses Columbia MO doesn’t need an inspection because it is a cash buyer. You save more money because you don’t need to do any repairs.

Evaluation Issues

In a typical home sale, an appraisal is needed by the buyer’s lender to verify the property’s value. Most of the time, this doesn’t pose a problem, but occasionally, the appraisal could raise a concern.

Traditional sale: The buyers will request a concession or price reduction if the lender’s evaluation is lower than their offer. Without a price reduction, they won’t be able to finance your house and may decide not to proceed with the sale.

Cash sales: Sales made in cash exclude banks. Bank financing is not required for us to purchase your house. There is no need for red tape or an appraisal.


Cash transactions save costs for time, fees, and repairs. Along with the aforementioned advantages, you may often finalize the deal considerably quicker than with a regular sale. If you’re still unsure about your best course of action, go here to speak with a member of our team who can help. We would be delighted to discuss your choices with you. We want you to choose what’s right for you in the end.

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