January 17, 2012
Is Cash King?
Found myself thinking again this morning about the old sentiment that “Cash Is King,” and how that is only sometimes true in real estate. One place it can be: Foreclosure Flipping. Basically: Person purchases with cash at foreclosure auction, but already has a buyer for the property they don’t yet own. Once they take title, they accept the offer. Obviously, there is some risk to this (unknown issues with the property, agreement with new buyer falls through, etc.). But…it is interesting to think about. But, if short-term (“hard money”) is available to foreclosure auction buyers…is cash still king?