Hudson Valley Musing


Five things to do even if you are buying a house with cash.

So many times I see home buyers who are paying cash for a house Buying a house with cashforego doing some of the processes that would be normal in a transaction that is being financed. The truth is, if you neglect certain processes it could cost you big.

Here are my picks of things you should do even when only cash is involved in the purchase of a house.

Do a home inspection

  • If you don't do the inspection you might not be aware of some structural issues that could cost you big time in the long run.
  • The condition of the septic system is something you want to know about, as it too could be an expensive fix.
  • How about buried oil tanks? This also could be a really expensive environmental cleanup if there is a leak and once the title passes you own the problem.
  • Check the radon level, if high, you could have the seller mitigate.

Do an Appraisal

In the present market climate why would you want to buy a home without having it appraised? The market is constantly changing so you need the opinion of someone whose hands are on the pulse of the market.

Get a Survey

I once looked at a house and with research discovered that a good portion of the house was on the neighbor's property. Then there was the time when my seller's neighbor had put up a garage on her property. Depending on where you are, encroachment can be an issue.

Do a complete Title Search

Until you do a complete title search you have no idea what issues might be hanging out there.

Get Insurance

Make sure to get the right amount of insurance including flood insurance, if needed. Think of your cash purchase as an investment.

By addressing these issues you will avoid many headaches,then you can feel good about the home you purchased.

So, don't take short cuts when buying a house with cash; doing so could certainly empty your pocket in the future.

Copyright © by Jennifer Fivelsdal, all rights reserved-Five things to do even if you are buying a house with cash.



  162 Deer Run Road, Red Hook NY 12571| 845-758-6842| Cell 845-594-9947

  Jennifer Fivelsdal  |   Real Estate Broker  |  or

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Comment balloon 22 commentsJennifer Fivelsdal • July 25 2011 08:48PM


Jennifer, great advise for our fast moving times that we live. 

Posted by Frank Rubi, (Frank Rubi Real Estate, LLC) about 6 years ago

Yes, I definitely agree. Many cash buyers are experiencing problems because they failed to do these 5 things.

Posted by Michelle Carr-Crowe-Top 1% Diamond Certified Real Estate Team Sells Cupertino San Jose Homes-Just Call 408-252-8900, Family Helping Families Buy & Sell Homes 40+ Years (Get Results Team...Just Call (408) 252-8900!) about 6 years ago

Jennifer,  thanks for sharing the great tips for all the cash buyers, I came across a seller without title policy was unable to close on a transaction by any title companies except some law firms willing to handle the closing.  

Posted by Kwee Huset, Venice Florida Homes For Sale (Kwee Huset Realty) about 6 years ago

Great tips, Jennifer! Buyers shouldn't assume their pile of cash buys them any special protection. Be smart & follow the regular path to closing.

Posted by Brenda Mayette, Getting results w/ knowledge & know-how! (Miranda Real Estate Group, Inc.) about 6 years ago

Frank even if you are paying cash for your home purchase,it is important to protect the investment.

Michele so true.

Kwee a proper title search is a must.

Brenda it won't, it is up to the  buyer to act wisely.

Posted by Jennifer Fivelsdal, Mid Hudson Valley real estate connection ( JFIVE Home Realty LLC | 845-758-6842|162 Deer Run Rd Red Hook NY 12571) about 6 years ago

Jennifer, the appraisal and survey are so important, and not just because the bank wants you to get one.

Posted by Patricia Kennedy, For Your Home in the Capital (Evers & Company Real Estate, Inc.) about 6 years ago

Pat so many think because the transaction is cash these can be overlooked, big mistake.

Posted by Jennifer Fivelsdal, Mid Hudson Valley real estate connection ( JFIVE Home Realty LLC | 845-758-6842|162 Deer Run Rd Red Hook NY 12571) about 6 years ago

Jennifer - Excellent information and tips on five things to do if buying a house with cash. Thank you for the detailed quality blog.

Posted by John Pusa, Your All Time Realtor With Exceptional Service (Berkshire Hathaway Home Services Crest) about 6 years ago

Jennifer, it always surprises me when people choose not to have at least a home inspection. 

Posted by Silvia Dukes PA, Broker Associate, CRS, CIPS, SRES, Florida Waterfront and Country Club Living (Tropic Shores Realty - Ich spreche Deutsch!) about 6 years ago

There is a reason that lenders require these things to be done before funding their loans. 

We also encourage the buyer negotiate for the seller to buy them a 1 yr home warranty - especially if the home is more than 12 years old or a cash buyer decides to skip the inspection (which one might do when buying an "as-is" home).

Posted by Daniel H. Fisher, MCRP - Charlotte Real Estate, NC or SC ( (704) 617-3544) about 6 years ago

Jennifer, I have had only a handful of people get surveys since I have been in business.  Its like 5 out of 600. Shows you how differrent areas can be.

Posted by Eric Bouler, Listening to your Needs ( Gardner Realtors, Licensed in La.) about 6 years ago

Featured @ Club Chaos

Posted by C Tann-Starr (Tann Starr & Associates, Inc.) about 6 years ago

Good info Jennifer, I would add that a cash buyer should always start out with a statement with proof of funds. So often people are offended to be asked to prove to a seller that they are good for the money.  

Posted by Carol Culkin, Overland Park (Reece & Nichols) about 6 years ago

I seriously can't understand why the appraisal and the insurance part is often skipped with cash buyers.  They do usually get a home inspection.  Why not go a little further to protect your investment?

Posted by Renée Burrows, Las Vegas Real Estate Broker - (Savvy Home Strategies Realty, LLC-REALTOR®-Estate-Probate) about 6 years ago

Jennifer - Cash buyers are coming out in droves it seems lately. Scooping up bargains as it were. Good reminder post for all those that arent' hip to the appraisal end of things.

Posted by Robert and Lisa Hammerstein -201-315-8618, Bergen County NJ Real Estate (Keller Williams Valley Realty) about 6 years ago

Hey, Jennifer!  I included this post in Last Week's Favorites.


Posted by Patricia Kennedy, For Your Home in the Capital (Evers & Company Real Estate, Inc.) about 6 years ago

Jennifer, this is excellent advice. So many times buyers want to cut corners when paying cash, but all these suggestions are in place to protect the buyer and their investment.


Posted by Kristal Kraft, Selling Metro Denver Real Estate - 303-589-2022 (The Berkshire Group Realtors) about 6 years ago

Hi Jennifer,  Great advice, as usual !  I ran across a situation where the buyer had a title search done and found out that a title search in some areas only insures against issues on the day of the search !!!  Sure enough, an issue arose which was in the process and showed up after the title search ! 

Posted by Bill Gillhespy, Fort Myers Beach Realtor, Fort Myers Beach Agent - Homes & Condos (16 Sunview Blvd) about 6 years ago


Great info!  I have an all cash buyer closing on Tuesday.  He did follow my advice and get all these items covered.  Life is good.

All the best, Michelle

Posted by Michelle Francis, Realtor, Buckhead Atlanta Homes for Sale & Lease (Tim Francis Realty LLC) about 6 years ago

Hi Jennifer - Wonderful advice.  I have been told by cash buyers that they don't need a pest inspection or a home inspection or whatever because they can take care of everything themselves.  I try to convince them to do it anyway because if there is too much dry rot, the bargain is no longer a bargain.  If they won't do it, then I have them sign a waiver, which goes in their file.  Some people are too "smart" for their own good.

Posted by Susan Neal, Fair Oaks CA & Sacramento Area Real Estate Broker (RE/MAX Gold, Fair Oaks) about 6 years ago

This is a great blog. I am going to reblog this one because it is such important information.

Posted by Dr. Stacey-Ann Baugh, A doctor who makes house calls. (Century 21 New Millennium) about 6 years ago

Jennifer, I will bookmark this post and share with cash buyers. I have suggested it.

Posted by Gita Bantwal, REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel (RE/MAX Centre Realtors) about 6 years ago

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