when there’s a cash offer on a house, sellers’ eyes tend to light up. a cash offer is when a home buyer offers a seller the entire cost of the house, with no mortgage or any other type of financing involved. buyers often prefer cash offers, even if they’re lower than an offer from a buyer with mortgage pre-approval. with a cash offer, there’s no lender so no one to require the appraisal. just like a lender, you don’t want to end up with an asset that’s worth less than you paid for it. underwriting a mortgage is one of the lengthiest steps in the timeline of buying a house. and there’s always the chance that some change in the buyer’s finances since pre-approval will cause the lender to deny them the loan. a seller may choose a cash offer over mortgage offer even if the buyer with a mortgage offers more. cash buyers must show the seller some kind of proof of funds, like a bank statement or certified financial statement.

whether you’re a first-time seller or you’ve done it a million times, the real estate closing process is always complex. once you’re under contract, a cash sale can close in as few as two weeks — just enough time for the title and escrow companies to clear any liens, provide insurance, and get paperwork ready (more on that later). a title company is responsible for making sure the property lines are drawn correctly and that there are no property liens that need to be addressed; issuing title insurance; and, on closing day, ensuring that the actual property ownership changes hands. if you’ve failed to pay your taxes, child support, the settlement for a court case against you, or a contractor who has done work for you, a lien can be placed on your home until you settle the debt.