How We Calculate Our Cash Offers

We are more than happy that you are considering selling with us here at Connect Home Buyers! Getting a cash offer for your property only takes a few minutes and can be completed within 4 hours or less.

First, we need some information about your property, things like the condition and age of the roof, furnace, etc. After we learn more about your property, we run a “CMA” (comparative marketing analysis). We utilize the “MLS” (multiple marketing services).

This is the same method an agent/broker would use to get an appraisal on your property. Although we are not agents, we work closely with some of the market-leading agents in each major market to ensure we aren’t leaving any money on the table.

Once we know exactly how much your property would sell for we get our “After Repair Value” the price your property will sell for on the market after all repairs and a full renovation.

We take the ARV and multiply this by a percentage based on how hot the market and area your property is located. This can vary widely from 90% in markets like Charlotte NC, Tampa FL, Phoenix AZ, Dallas TX, Denver CO, Salt Lake City UT, etc to as low as 50% in depressed areas like Detroit MI.

Then we subtract the costs of repairs and renovation.

Lastly for us to keep the business running and afford to feed our families we need to make a profit

Remodeled Kitchen House Flipper AFTER

Full Case Study Example - With Real Numbers!

Full formula = ARV X (50% – 90%) – Repairs – Profit = Final Cash Offer

Here is an example property in a desirable area and market

ARV = $370,000

Repairs = $40,000

Multiplier = 90%

Profit = $20,000

$370,000 X .90 – $40,000 – $20,000 = $273,500

Final Cash Offer = $273,500

Wait they’re making a $20,000 profit from our property!? (After paying all our team members and costs of operating the business our take-home is much less than this)


So there you have it all our cards on the table and 100% transparency on how we come up with our cash offers. But how does this stack up against listing the same example property on the market? Lets take a look

Selling to us VS listing on market

Let’s say your agent tells you that you can sell your property for $370,000 on market, great! But wait that’s not what you keep.

The price you list your property for is not going to be your take-home pay you still have to factor in agent commissions, fees, closing costs, buyers’ concessions/repairs, staging costs, etc

And of course, we cannot put an exact number on the time and stress it will require you to make repairs, list the property, and additional months of holding costs. We do know however that when selling your property on the market you can expect about 10% in all fees and commissions after closing

  • Both Agent’s Fees: 6%
  • Closing Costs: 2-3%
  • Buyer’s Concessions/Repairs: 1-5%
  • Staging Costs: <1% (to get the highest price, you’ll want to stage your home)

So let’s stick with the same example property we used above and imagine that you are willing to make the $40,000 in repairs to get it market ready.

Listing With An Agent Full Cost Break Down

ARV = $370,000

Repairs = $40,000

Total Fees = 10% X $370,000 = $37,000 (This can be as high at 14%)

$370,000 – $40,000 – $37,000 = $293,000

Final Take-Home = $293,000 – This is your total take-home for listing the same property with an agent plus all the hassle and stress included ($19,500 difference from selling to us)

What's Best For You? Comparing Selling Methods

Now you know all the behind-the-scenes numbers and equations when it comes to selling your house. So which option is better for you? Well it depends on what your priorities are and how much value you place on your time.

List With An Agent.) If you’d like to get the highest possible price no matter the effort or time involved then you should probably list your property with an agent. (We can help get your property sold on the market if that’s what you want)

  • Uncertain closing date
  • Longer time to sell
  • More paperwork and back and forth between sellers and buyers
  • Staging and buyers walking through your home
  • Repairs needed
  • Potential buyers backing out last minute

Sell With Connect Home Buyers.) If you are looking for a completely hassle-free, fast, and easy way to sell your house and you are okay with giving up a little bit of equity for time and convenience then working with us is a no-brainer!

  • As-is (no repairs needed)
  • Close fast
  • No staging, cleaning, or open houses
  • Close on your timeline

Why Sell To ConnectHomeBuyers.Com

You have multiple options for selling your home, and selling to us isn’t for everyone. We get that! Even if selling to us isn’t the best option for you, we will be able to connect you with one of the best agents in your market.

Before working with other companies, do your research! There are many not so reputable cash home buyers that don’t have your best interest in mind when making offers on your property. Or sometimes they just don’t have as much experience or even have the cash to purchase it.

We have been A+ rated with the Better Business Bureau for over 5 years and have purchased over 100 homes. We specialize in single-family purchases directly from homeowners like yourself and have seen every situation imaginable. Our proven process guarantees you a professional and straight forward home selling experience from our first conversation all the way to the closing table.

Get Your Cash Offer in 4 Hours

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