House buying companies are businesses that purchase and sell houses as a business. They work with both sellers and buyers, often operating nationwide or internationally. Prospective home buyers may have some concerns about working with a house buying company when looking for a buyer or using an agent; some agents will cooperate with a buying company while others won’t. So can you trust these buying/selling firms?
Can house buying companies legally purchase your house?
Not every state has laws that limit how long a buyer can hold a property before evicting its owner, but most do. To determine if an owner can be evicted, check both state and local regulations. Some U.S. states are beginning to make it harder for home buyers to evict homeowners, making it more challenging for those from outside to profit from their purchases. Want to sell your house as-is? The Cash Offer Company can help. Click here https://www.thecashoffercompany.com/ for more information.
Problem house buyers may try to evict the seller as quickly as possible, in an effort to maximize their profit from the property. However, laws should exist which protect homeowners from being evicted without just cause.
When selling their home, those considering selling should check local and state laws for the maximum waiting period a house buying company has before it must evict a homeowner. Some states impose waiting periods of up to 180 days after closing, after which the buyer must initiate eviction proceedings.
Fraudulent activity exists in the house buying industry?
Fraud and deception can be serious issues in almost any sector of life. Unfortunately, some homeowners have been victimized by unscrupulous individuals who misrepresent themselves or attempt to overcharge for home purchases beyond what the current market value actually is. Or they may fail to follow through on promises such as getting a mortgage approved or providing training to a new homeowner.
An investigation by the U.S. Department of Justice into the home buying industry revealed that both buyers and sellers were being deceived, with some victims being duped into signing contracts they didn’t understand.
How do house buyers acquire their houses?
Homebuyers often experience shock upon learning that a company will purchase their property without them even seeing it, let alone living in it. Many home buying companies sell properties “as-is,” meaning that they purchase houses that may already be in various stages of disrepair and then charge the new homeowner for repairs.