Step 1: Research Their Reputation

• Search the company name on Google — look for reviews on Google, BBB, and Trustpilot
• Check how long they've been in business and how many homes they've purchased locally
• Look for a physical address and verifiable contact information
• Ask for references from past sellers

Step 2: Verify Proof of Funds

Any legitimate cash buyer should be able to provide a bank statement or proof-of-funds letter showing they have the capital to close. Request this before signing any contract. A buyer who can't or won't provide proof of funds is a red flag.

Step 3: Get Multiple Offers

Contact at least 3 cash buyers. This gives you:

• A sense of fair market value for a cash sale
• Negotiating leverage — buyers know they're competing
• Options if one buyer backs out or reduces their offer

Step 4: Compare More Than Just Price

The highest offer isn't always the best offer. Also evaluate:

• Closing timeline — Does it match your needs?
• Closing costs — Who pays them?
• Offer firmness — Is the offer subject to change after inspection?
• Contract terms — Are there unusual contingencies or clauses?
• Communication — Are they responsive and professional?

Step 5: Review the Contract Carefully

Before signing, read every line of the purchase contract. Key things to confirm:

• The offer price matches what was discussed
• The closing date is clearly stated
• Who pays closing costs is specified
• Any inspection contingencies are clearly defined
• There are no unusual clauses or assignment rights that could complicate the sale

Consider having a real estate attorney review the contract for a flat fee before signing.

Red Flags to Avoid

• Upfront fees before closing
• Pressure to sign immediately
• Refusal to provide proof of funds
• No verifiable business presence or reviews
• Offers that seem unrealistically high (bait-and-switch)