A few comments on Jeff's response:
He says: "Ask them: If they can assign your contract to another party without your aggreement? (Agree to buy your house at x then they sell to someone else for x plus$..that's their profit)"
Virtually all will have in their contracts an assignability clause. Such as, in my case, "Solutions 3D LLC and/or assigns." Nothing wrong with that. Some of the "We Buy Houses" people are wholesalers. They'll get a property under contract at 60% of ARV (after repair value) and assign it to a wholesaler for more. Jeff's right: That's their profit. Could be as little as a few thousand dollars. One successful wholesaler I work with in Washington, D.C., averages about $24,000 per transaction. I'm sure Jeff isn't arguing against profits. He's just more familiar with profits coming from a Realtor's fee, and that's OK, too. Other "We Buy Houses" people include that if they need it, though they do intend on purchasing and rehabbing. So, yes, a "We Buy Houses" person will have an assignability clause in the contract.
Jeff said: "Ask if they have the right to market the property for sale prior to closing with you? (Basically, they're trying to flip your house before they close on it)." Again, that's pretty standard in most "We Buy Houses" contracts. Nothing wrong with that, either. The "We Buy Houses" people may be using "hard money" to finance the purchase. One of my hard money lenders charges 5 points and 12% interest for the first 3 months, then 14% interest the next 3 months. You can bet I want to sell that home as quickly as possible. And if that means marketing it before I close, that's right.
The point, though, is that--as I said below--"We Buy Houses" people offer a quick solution to people needing a quick sale. If a seller needs to sell quickly--in a matter of days--what concern is it to him or her if an investor will make a profit on the transaction?
And I agree with Jeff 100% when he says: "The best way to get top dollar is to offer it to the most buyers...so try putting it on the market first with a full service, full time real estate professional. If that doesn't work out...then give them a try. It's always an option."
Hope that helps.