The Rise of the All Cash Buyers

Did you know that nearly 25% of home purchases in Chicago are now made with all cash? Nationwide, cities like Albuquerque, NM, are seeing as many as 70% of homes bought outright.

So, what’s driving this trend?

• High Mortgage Rates: Buyers are avoiding rising interest costs by paying in cash.

• Competitive Market: Cash offers are appealing to sellers because they close faster and often have fewer contingencies.

• Investor Activity: Both individuals and institutions are leveraging cash purchases to expand their portfolios.

  
  

How Is This Impacting the Chicagoland Market?

While all-cash offers make up about 24.6% of transactions in Chicago, they’re reshaping the way buyers and sellers approach the market:

• For Buyers: Competing with cash offers can be challenging for those relying on financing. Buyers may need to get creative, such as offering above asking price, waiving certain contingencies, or showing proof of strong pre-approval to stand out.

• For Sellers: Sellers benefit from the simplicity and speed of cash transactions. These offers often come with fewer hurdles, making the selling process smoother and more predictable.

  
  

If you’d like to learn how to navigate these changes or discuss your real estate goals, we’re here to help!

Reach out to Schedule a Consultation!