As it was answered already, when a typical buyer buys a home, he/she "rents" money from a bank and the bank charges them a fee (Interest rate). At closing you do pay the seller with cash, either coming from your own account (cash) or your banks' account (mortgage).
It all depends in your situation, and every person has a unique set of circumstances, it advantageous to borrow some money instead of using your own cash. Your financial consultant is the best person to answer this question for you.
When banks "rent" you their money they want to make sure the house will appraise for the price you negotiate it or they will not give you their money, and you want to make sure it is in good condition (inspections). So you pay for an appraiser and you should pay for an inspector.
If you use your own money, you don't have to appraise it or inspect it but it is prudent to do the same due diligence and the bank wants you to do.
I live and focus in the Scarborough area and would be more than happy to work with you to find you your best home in your unique situation. I also can recommend a team of experts for you to assist you in the transaction.
Please don't hesitate to call me or email me at your convenience.
Google Voice: (413) MaineRE (624-6373)
All great advice! I work in the Scarborough area and would be delighted to represent you when you decide to move to Maine. We can weigh the pros and cons once you find the right home for you.
Feel free to contact me at: CJ Dubois-Cote, Prudential Prime Properties, 207-615-1663 or email@example.com
In real estate jargon, cash is King! Certainly an offer with no finance contingencies has some merit over one with financing. Many deals fall at the last minute due to buyer's financing not being solid enough. Having said that howeverâ€¦.many sellers do not seem to see this as a strong advantage because in their mind, they are getting cash anyway, whether it comes from your pocket or the banks.
Ultimately, it depends on the viewpoint of the seller (and their agent who is presenting the offer) as to much stronger a cash offer would be and if it was worth an additional â€œdiscountâ€ off the price.
Town & Country, REALTORS
If you are planning a move in the near future I'd be happy to send you some listings that would match your criteria. That would let you get a good idea of what's available in the area and the price range where you want to be.