Can I trust a cash property buying company?

When selling your house the ultimate buyer is someone paying cash, who is chain free and can complete whenever you are ready to. But, what if in return you had to take 15 or even 20% under market value? To some people it sounds crazy, but to others it’s a price they are willing to pay. 

There are an increasing number of UK cash property buying companies which are offering house sellers this service. With the ever-growing number of companies it can be difficult to know which companies you should choose to sell your house to.                                            

To help house sellers The National Association of Property Buyers was set up in 2014. The not-for-profit organisation is a voluntary trade body for the cash property buying market.

Jonathan Rolande, a founder member of The NAPB, said: “If you are considering using a professional cash property buyer then it’s important you check out their credentials. They should be a member of The NAPB which means they must be signed up to The Property Ombudsman Scheme’s code of conduct.

“You should also check reviews from people who have previously sold their houses through the company and ask lots of questions.”

Mr Rolande suggests some of these questions should include:

1. Do you have to pay solicitor and other fees?

Some professional property buyers cover all of these fees while others add them on. It’s important you know whether you are going to have to cover these costs yourself so you can take them into account.

2. Can you get your own legal advice?

Many companies recommend solicitors which they regularly work with and they know can work to fast time scales. If you aren’t comfortable with using their solicitor you should ensure the company allows you to use a legal representative of your choosing

3. Are you tied into only using the professional property buyer?

Some companies insist on a ‘tie-in’ contract for a period of time. Some of these can be very lengthy. This means you can’t sell your property to anyone else during this period - even if they make a better offer.

4.How are they going to pay for the property?

Some professional property buyers buy property with their own cash while others find third party buyers. Don’t be afraid to ask for proof of funds from whoever is buying your property.

5. Is the price they offer guaranteed?

It’s important to know if the offer is conditional and if so what the circumstances could be that mean the offer is reduced.

6. Do you need to pay any fees if you accept an offer and then don’t go through with the sale?

If you decide to pull out of the sale you may be liable to pay a fee or cover the costs incurred up until that point. Some companies allow you to pull out up until the point of exchanging contracts without incurring any costs, while others won’t

Reader’s Digest has partnered with trusted professional cash property buying company House Buy Fast to create Reader’s Digest Property. House Buy Fast is a member of The NAPB and has helped many people sell their homes for cash in a timescale to suit them.

To find out how much we could offer you for your house fill out the form below or call 0800 433 7979.