One of the biggest questions sellers have about cash buyers is: how much will I actually get? Here’s a transparent breakdown of how cash buyer offers are calculated — and why the trade-off often makes sense.
The Honest Math
Cash buyers don’t pay retail. Here’s why — and what the numbers typically look like:
- After-Repair Value (ARV): What your home would sell for in fully renovated condition. Let’s say $380,000.
- Minus repair costs: What it costs us to fix it up. Let’s say $40,000.
- Minus holding/transaction costs: Property taxes, insurance, utilities, title, closing costs during our renovation period. Typically 5–8% of ARV. ~$23,000.
- Minus our profit margin: We’re a business. Typically 8–12% of ARV. ~$35,000.
- Our cash offer: $380,000 – $40,000 – $23,000 – $35,000 = ~$282,000
Compare That to a Traditional Sale
A traditional sale at $380,000 with a realtor involves: 6% commission ($22,800), closing costs (1–2%, ~$6,500), repair costs to list ($20,000+), and 60–90 days of carrying costs. Net proceeds: often $320,000–$340,000 — but that assumes the $40,000 in repairs were done first and no sale fell through.
The Trade You’re Making
You’re trading some money for certainty, speed, and zero effort. Whether that trade makes sense depends on your situation. Call us and we’ll give you an honest offer so you can make your own decision. (877) 800-3187
What Moves a Cash Offer Up or Down
How After-Repair Value Is Estimated
After-repair value is based on recent sales of comparable homes nearby that are already in updated condition. Square footage, lot size, pool or no pool, garage spaces and the age of the home all factor in. A house in a neighborhood with few recent sales is harder to price, so the estimate may lean more conservative.
Repairs That Change the Numbers Most
In Las Vegas, the big-ticket items are usually roofs, air conditioning systems, plumbing, electrical panels, foundation movement and pool equipment. Some homes from the 1980s and 1990s still have older plumbing materials that buyers want replaced. Cosmetic updates like paint and flooring matter, but major systems drive the repair budget.
Occupied and Tenant-Filled Homes
When a home has tenants, or the owner needs extra time to move, the buyer has to plan around that. It can affect the timeline and the holding costs, which feeds back into the offer. Being upfront about occupancy helps us give you an accurate number the first time instead of revising later.
Comparing More Than One Cash Offer
It is reasonable to get offers from more than one buyer. Compare more than the headline figure: check who pays closing costs, whether there are inspection contingencies, and how firm the closing date is. Our guide to judging whether a cash offer is fair lists questions to ask.
When a Traditional Listing Might Net More
If your home is in good shape, you have time and you can handle showings, listing with an agent may put more money in your pocket. We would rather you choose the path that fits. Read our guide to selling without a realtor in Las Vegas, along with tips on getting the most from a fast sale.