If you’ve been driving around in Phoenix, chances are you’ve seen some billboards advertising companies that buy houses.
Often times they say things like “We Buy Houses in Phoenix!” or “Cash for Your House”.
Evaluating the Credibility of ‘We Buy Houses Companies in Phoenix.
How do you know if the local house-buying companies out there are honest and credible? Well, sometimes they all look the same at the start, but below we’ll walk you through some things to look for in a local house-buying company before you decide to work with them.
Buying and selling houses is a valid and respectable profession that can help communities and house sellers in many ways. But just like any other line of work, a minority of house buyers in any market are the ones who make the rest of us look bad.
There are people who are really great, ethical folks who improve their neighborhoods one property at a time. And then there are shady, dishonest people who put money ahead of the well-being of their clients and who would sign the contract to sell their own grandmother with one hand while stabbing you in the back with the other—as long as they were making enough money. Yes, they are out there.
We’ll help you avoid these “shady house buyers” so you can work with honest, ethical, and reputable local companies who can buy your house for a fair all-cash offer and close on your schedule. But let’s not focus on the negative—at least not yet.
First, let’s cover exactly what the best house-flippers are doing.
What Reputable Phoenix House Buyers Are Doing
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Helping folks improve their lives by accessing the money they need right away. People often need the cash in their house to cover unexpected medical expenses or to relocate to be close to a relative. We can make that happen in just a few days, and we deliver peace of mind.
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Helping sellers get rid of a burdensome property without the hassle of having to list it with a broker and wait months and months for a sale.
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Creating local jobs. We hire plumbers, contractors, electricians, brokers, title reps, loan officers, administrators, and many other folks along the way. The average real estate transaction involves 86 people from start to finish. Our investments help create real jobs for people around Phoenix, Arizona.
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Buying US products. We spend tons of money on materials that are made right here in the USA—that creates jobs in our timber mills, factories, supply shops, distribution centers, and more. The US economy depends on steady improvement, and that requires investment from folks like us.
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Increasing the value of Phoenix neighborhoods. When we improve a house, we’re helping to increase the value of the entire community. We often repair abandoned and neglected houses, turning them into beautiful homes for families. That activity strengthens Phoenix.
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Increasing the tax base. When a new buyer takes over one of our properties, they’ll pay a higher tax rate based on the new and improved value. Those taxes go to pay for our schools, fire, police, libraries, streets, and other valuable pieces of infrastructure. Again, improving our neighborhoods.
Pretty cool stuff, right?
Lots of people think of house-flipping as a get-rich-quick scheme. That’s fueled by silly “reality” shows that amp up the drama because the reality of what we do on a daily basis is actually pretty boring. Most of our work is coordinating with lots of people to make sure things are happening on time. We have to keep track of lots of moving parts.
How To Ensure You’re Working with a Reputable Local House Buyer
So, let’s get back to how you can use this information to find out if someone is a credible investor and not just pulling a house-buying scam. When you talk with a local house buyer to potentially buy your house, ask them some of the questions below to ensure they’re reputable, knowledgeable, and honest.
Ask open-ended questions like:
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How do you help your clients?
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What do you do for people?
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Can you tell me more about your services?
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What aspect of your business makes you the proudest?
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How would you describe your investment philosophy?
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How can I know that you’ll close on my house when you say you will?
Second, look for telltale signs of tactics that those few shady operators tend to use.
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“Kitchen table closings” – If a property buyer tries to get you to sign the deed (ownership) of your house over to them at your house, rather than a professional place like a closing attorney or title company, be leery. Most reputable house-buying services will perform the actual closing of the sale at a neutral third-party place, like a title company. This ensures everything is done right and on the up and up.
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Pressuring you into a fast closing – If a house buyer tries to pressure you into selling your house and says that you have to make the decision today, be leery. Most reputable house-buying services will make you an offer, and that offer will be on the table for at least 2-7 days (minimum) for you to make a decision. The reason reputable house-buying services like ours at Oak Street Properties do place deadlines on our offers is because the market changes and values can change week to week depending on other sales in the area. Also, we buy multiple houses a month, and when we make you an offer, we’re assuring you that the cash to purchase your house is ready, and we’ll reserve that cash for several days so if you do want to sell your house, we can close on your schedule. If you feel the offer isn’t a fit for you, then we’ll assign those funds to help another seller with their home sale.
Most scammers are looking for a quick score, not an in-depth interview. Chances are good that they’ll find excuses to get off the phone and move on to someone who doesn’t ask too many questions. True investors who run honest and ethical Phoenix house-buying services, however, are building long-term businesses based on relationships and community development.
So, when you’re looking at one of the “we buy houses in Phoenix” companies, never be afraid to ask questions!
The Bigger Picture: Why Ethical House Buying Matters
Ethical house buying is not just about making a profit; it’s about contributing positively to the community. When reputable companies buy houses, they often invest in renovations that improve the overall aesthetic and value of neighborhoods. This can lead to a ripple effect where other homeowners are inspired to make improvements, further enhancing the community.
Moreover, ethical house buyers often work with local governments and organizations to address housing issues, such as providing affordable housing options or revitalizing blighted areas. This collaboration can lead to significant improvements in the quality of life for residents and can help to stabilize and grow local economies.
The Role of Transparency in Building Trust
Transparency is a cornerstone of trust in any business transaction, and house buying is no exception. Reputable house buyers will be upfront about their processes, fees, and timelines. They will provide clear and honest answers to your questions and will not pressure you into making hasty decisions.
One way to gauge a company’s transparency is to look at their online reviews and testimonials. Satisfied customers will often share their positive experiences, which can give you insight into how the company operates. Additionally, reputable companies will have no problem providing references from past clients.
Conclusion: Making Informed Decisions
In conclusion, selling your house is a significant decision, and it’s essential to work with a company that you can trust. By asking the right questions and looking for signs of credibility and transparency, you can ensure that you’re working with a reputable house buyer. Remember, ethical house buyers are not just interested in making a quick profit; they are committed to improving communities and building long-term relationships.
So, the next time you see a “We Buy Houses” sign, you’ll know exactly what to look for to ensure you’re making the best decision for your situation. Happy house selling!