Cash Offer vs. Realtor: Which Gets You More Money?

The headline on every cash buyer website says "sell fast, skip the fees." The headline on every realtor's site says "get more money by listing on MLS." Both are sometimes true. Here's how to figure out which applies to your specific home.

The Hidden Costs of a Traditional Sale

When sellers calculate what they'll net from a traditional sale, they usually start with the list price and subtract commission. But the full cost picture includes more:

• Agent commission: 5–6% of sale price (split between buyer's and seller's agents)
• Closing costs: 1–3% (title insurance, escrow, recording fees, prorated taxes)
• Repairs before listing: Varies widely — $5,000 to $50,000+ depending on condition
• Staging and photography: $1,000–$5,000
• Holding costs while listed: Mortgage, insurance, utilities, HOA — typically $1,500–$3,000/month
• Buyer negotiated repairs: After inspection, buyers often ask for $3,000–$15,000 in concessions
• Price reduction if home sits: If it doesn't sell in 30 days, you typically reduce 2–5%

What a Cash Offer Actually Costs You

With a reputable cash buyer like Threshold Property Group:

• Agent commission: $0
• Closing costs: $0 (we cover these)
• Repairs: $0 (you sell as-is)
• Staging: $0
• Holding costs: Near $0 (close in 7–14 days)
• Price reductions: $0 (the offer is fixed once signed)

The trade-off: the gross offer is lower — typically 65–75% of after-repair value. But the net amount you keep is often much closer to a traditional sale than sellers expect.

Side-by-Side: $350,000 Home Needing $25,000 in Repairs

In this example the cash sale nets $66,750 less. But the cash sale closes in 2 weeks, requires no upfront repair spend of $25,000, no months of uncertainty, and no risk of the deal falling through due to buyer financing. For many sellers, that difference is worth it — for others it isn't. The answer depends on you.

When a Realtor Gets You More

• Your home is in excellent condition and needs no repairs
• You're in a hot Texas or Florida seller's market with low inventory
• You have 60–90 days to wait for the right buyer
• You can carry the holding costs comfortably
• The home is your primary residence and you've built significant equity

When a Cash Buyer Gets You More (Net)

• Your home needs $20,000+ in repairs you'd have to complete before listing
• You're in pre-foreclosure and need to close before a specific date
• You're relocating and can't manage showings from another state
• The market is slow and you'd likely face months of price reductions
• You've inherited the home and splitting equity quickly matters more than maximizing it
• The property has a tenant, title issues, or complications that scare off financed buyers