Cash Home Buyers, Explained by One
Reviewed by Eric Roebuck & Carson Whaley · Updated August 25, 2026
Most pages about cash home buyers are written by referral sites that have never bought a house. We buy them for a living, here's how the industry really works, what offers really look like, and how to get the best outcome.
You'll work directly with Eric and Carson, the owners, not a call center.
Cash home buyers are companies and investors that purchase property outright, with no lender involved, and professional buyers typically pay 70-85% of a home's after-repair value minus repair costs. A legitimate cash buyer makes a written offer (ours takes about 24 hours), charges no fees or commissions, and closes through a licensed title company in as little as 2-3 weeks.
The Four Kinds of Cash Buyers
"Cash buyer" covers four very different businesses, and knowing which one you're talking to changes everything:
- Local investors and flippers: individuals or small companies renovating and reselling. Quality varies enormously.
- National direct buyers (like us), companies that buy in many markets, either directly or with local partners.
- iBuyers (Opendoor, Offerpad), algorithm-driven buyers of mostly move-in-ready homes in select metros, charging ~5% service fees.
- Lead sellers: websites that look like buyers but exist to sell your contact information to investors. They never buy anything. If a site won't say who is actually purchasing, this is usually why.
The Offer Formula Nobody Publishes
Nearly every professional cash buyer uses a version of the same math:
Offer = ARV × (70–85%) − Repair Costs
What the Numbers Mean
ARV (after-repair value) is what the renovated house would sell for. The percentage covers the buyer's holding costs, resale costs, risk, and profit, traditionally 70% ("the 70% rule"), though in competitive markets and lighter-rehab houses it often runs 80–85%. For worked examples at three price points, see our deep-dive on what cash buyers actually pay. A buyer who won't discuss how they reached their number is telling you something.
We walk every seller through our version of this calculation, line by line, with the comparable sales we used. Try our cash offer calculator to see the formula applied to your own numbers, including the side-by-side net versus listing with an agent. The numbers also shift by market; our state guides cover the local rules and conditions where we buy.
When a Cash Sale Nets More Than You'd Think
A listing's gross price looks bigger until the deductions start. Consider a house needing $60,000 of work: a listed as-is sale attracts the same investors, except now you're also paying a 5–6% commission on the sale, covering seller closing costs, and carrying the mortgage, taxes, and insurance for the months it takes, while hosting showings the whole way. The honest comparison is net to you, after everything, weighted by certainty, and that's the comparison our options guide walks through. And when a house is worth more than any as-is cash offer can pay, our Retail Buyer Program captures more of that value without the commission or the months of management.
Getting the Best Outcome
- Get more than one offer. Seriously, including ours. Competing offers keep everyone honest.
- Ask every buyer for their math. ARV, repair estimate, margin. Silence is an answer.
- Verify the closing agent. A licensed title company or attorney should hold every deposit and document.
- Don't sign an exclusive contract to "see a number." Offers should come before commitments, not after.
- Watch for post-contract price drops. A common bad-actor tactic is renegotiating downward right before closing. Ask any buyer directly: under what circumstances would your offer change?
Frequently Asked Questions
How much do cash home buyers typically pay?
Professional buyers typically offer 70–85% of the after-repair value minus repair costs, depending on the market, the scale of the renovation, and their cost of capital. On a house needing little work that can approach the as-is market price; on a heavy rehab it will be far below the eventual resale price, because the buyer is funding that gap in repairs, carrying costs, and risk.
Are cash home buyers legit, or is it a scam?
The model is legitimate; specific operators aren't always. Red flags: pressure to sign the day of the walkthrough, unwillingness to name their title company, requests for any kind of upfront fee, offers that drop sharply right before closing, and contracts with long exclusivity periods. A legitimate buyer survives scrutiny, encourage it.
Who pays closing costs in a cash sale?
With us, we cover typical seller closing costs, title fees, escrow fees, standard transfer charges. You'd still be responsible for paying off your own mortgage or liens from the proceeds and any prorated property taxes you owe through closing day. Your settlement statement itemizes every dollar before you sign.
Should I get a cash offer even if I might list with an agent?
Yes, it costs nothing and gives you a real number instead of a guess, before you commit to months of showings and a commission. And because one conversation with us also covers the Retail Buyer Program, you'll see the higher, no-commission number we can reach with more time at the same time. Most sellers find that having both numbers in writing makes the listing question answer itself.
Do cash buyers pay more for houses in good condition?
Yes, the offer formula rewards condition directly. A smaller repair line and a lighter renovation mean a higher percentage of ARV, so a well-kept house can see offers in the 80–85% range while a full-gut project sits nearer 70%. If your house is genuinely market-ready, that's also exactly where our Retail Buyer Program shines: a higher number than any as-is cash offer, our team doing the work, and no commission taken out of your proceeds.
The EZ Time Standard
Six promises we make on every transaction, in every market. Not marketing lines, operating policy.
Every offer in writing, math included
The after-repair value, repair estimate, and our margin, line by line. If a number moves, you see why.
Both options in one conversation
The fast cash offer and the Retail Buyer Program number, side by side, so the trade-off is concrete before you decide anything.
No fees or commissions, either path
Your number is your number. Typical seller closing costs are on us, and nothing is deducted later.
Licensed title company closings, always
Funds and documents go through a neutral title company or closing attorney on every transaction. No exceptions.
No pressure, by policy
Our offers don't expire in 24 hours, and "let me think about it" is a perfectly good answer. Take the offer to your attorney.
Straight answers about our role
If a vetted local partner will be the closing buyer on your property rather than us directly, you'll know before you sign anything.
These promises have names attached. Meet Eric and Carson, the people who answer when you call.
Related Guides
Ready to see both of your numbers?
Tell us about your property once and get a written cash offer, plus what our Retail Buyer Program could net you instead. No repairs, no fees, no pressure to accept.