“I’m a cash buyer, I’d like to make a low ball offer”
We hear this quite often in the Miami real estate market. Cash buyers are great, don’t get me wrong, but there is a misconception that because they are cash, they can make extremely low offers. They often believe they are one of the only buyers with cash and that puts them in a superior position. It does, to some extent, but here are the facts:
- 2/3 of ALL current buyers in Miami Dade are CASH
- 1/3 of ALL current single family home buyers in Coral Gables are CASH
- In Coral Gables, Cash buyers received a 2% better price (in relation to list price) than conventional buyers
Closed Home Sales In Coral Gables 2011 to date:
- 202 Total Sales
- 69 Cash Sales with an average sales price of $904,991
- 119 Conventional Sales with an average sales price of $855,405
- 10 FHA Sales with an average sales price of $471,000
- 4 “Other” Terms Sales with an average sales price of $1,121,000
Buying cash does give you some advantages, often a buyer will pick your offer over an equal or possibly slightly higher offer, if you are cash (especially if you waive an appraisal). And, due to LOW appraisals and tough lending, cash might be the only way to go. YES, we love our cash buyers, but the mystical giant discounts for cash buyers just don’t exist. As you can see above, FHA buyers in Coral Gables actually ended up with a lower Sale to List Price Ratio.
If you would like to read more about Cash Buyers in Coral Gables and Miami-Dade, here are a few more blog posts:
- What does “Cash Buyers Only” mean?
- How are People buying Homes in Coral Gables? Cash, Conventional or FHA?