Buying a home is stressful enough. If you’re also looking to sell your current place at the same time, you’ll also need to prepare for prospective buyers by tackling home improvement projects, staging your furniture, and accommodating showings.
The result? One tough juggling act.
But a cash offer might be your secret weapon in overcoming the logistical hurdles of buying and selling at the same time. You may not even need to have the cash to make the offer. Some lenders will purchase homes in cash for buyers, and then the buyers will get a mortgage on the property.
“Cash is the strongest way to place an offer on a house,” said Ryan Shultz, a New American Funding area manager based in Glendora, Calif.
In a competitive market, cash offers can help you stand out from the crowd, helping get you out of your old home quickly—and into your new one sooner. You may even be able to secure a lower price for the property since you’re paying in cash.
“It can usually set [buyers] apart from the other people that are placing offers on the home,” Shultz said.
A cash offer can help you leave your existing home while it’s on the market (or upgrade your new place)
Sellers often favor cash offers because they believe they are less likely to fall apart. There’s no waiting on the mortgage approval process or surprises arising from inspections, appraisals, and other financing requirements.
For homeowners buying and selling at the same time, having a cash offer accepted quickly can help you move into your new home while your other home is on the market.
“It’s super convenient,” Shultz said. “The clients will have two homes overlapping there for a month or two.”
That means you can move into your new place and avoid the hassle of staging and showing your former home while it’s occupied. That’s a particular plus for those dealing with kids, pets, or other potential disruptions.
Staging your former home when it’s vacant may even help you secure a better sale price, Shultz said. A clean, empty space may create a better blank canvas for buyers to envision themselves in.
Or, you can go the opposite route: Homeowners can use the overlap period to stay in their existing place while it’s on the market and carry out home improvement projects. These can include redoing floors or painting their new place while it’s empty and easier to renovate, Shultz said.
Cash offers give you the money you need for your next home
Cash offers are not only convenient, but increasingly popular.
About 26% of recent buyers paid cash for their home—an all-time high, according to a 2024 survey from the National Association of Realtors (NAR).
If you don’t have cash on-hand, you may still be able to work with your lender to make a cash offer. In that case, the lender purchases the home with cash. Once your financing is secure, the lender sells the home back to you, typically charging a convenience fee for the service.
That option works particularly well for homeowners relying on the sale of their existing home to finance their next purchase, otherwise known as contingent buyers, Shultz said.
Cash offers can help you relocate immediately
If work or family obligations mean you need to relocate immediately, the competitive power of a cash offer can help you secure your new home quickly.
“[Cash offers] don’t have to have the contingency periods that you would have with a loan,” Shultz said. “That’s one of the big benefits.”
Although opting out of lender requirements like a home appraisal can come with risks for cash buyers, doing so can be an upside for those who need to move quickly.
And cash offers can be particularly attractive to sellers who know their homes have deferred maintenance or other challenges that might otherwise tie up the mortgage approval process for buyers.
Skipping the contingencies doesn’t just mean a faster closing than you’d get with traditional financing. Thanks to the certainty of cash, you may also be able to bypass the bidding wars and get your offer accepted below the asking price, too.
“Cash can also sometimes get the buyer the house at a lower price,” Shultz said. “They can offer less.”
Ryan Shultz NMLS #255668
