Selling a house for cash is simpler than a traditional sale, but it shouldn’t be mysterious. Here’s how cash home buyers work when the buyer is Penguin Capital: who does what, what you’ll sign, and where your money comes from. Nothing here commits you to anything. You can stop at any step.
How cash home buyers work: the short version
A cash buyer pays for the house with money it already has, instead of borrowing it from a mortgage lender. That’s the whole difference. No loan means no lender approval, no appraisal the lender requires, and no chance of the buyer’s financing falling apart a week before closing. It also means we can buy houses that a bank wouldn’t lend on.
The rest of the process looks a lot like any other home sale. There’s a written purchase agreement, a title company, a closing, and a deed that gets recorded with the county.
Step 1: A first conversation
It usually starts with a phone call, a text, or the offer form. We’ll ask a few plain questions:
- Where is the house, and who’s on the title?
- What shape is it in? What do you know needs work?
- Is anyone living there now?
- Is there a mortgage, back taxes, or anything else owed on it?
- When would you ideally like to be done?
There are no wrong answers. If the house is full of a parent’s belongings, has a tenant who won’t pay, or got a letter from the city, say so. It won’t scare us off, and it helps us give you a real number instead of a guess.
Step 2: Seeing the house
Next, we need to see the property. Most of the time that’s a single walkthrough with you or someone you trust. If you live out of state or can’t get there, photos and a short video walking room to room work too. So does a family member or neighbor with a key.
We’re looking at the things that cost real money: roof, foundation, furnace, water heater, plumbing, electrical, windows, and any water damage. You don’t need to clean, fix or explain anything. We’d rather see the house as it really is.
Step 3: How we come up with our offer
We’ll be straight with you about how the number gets made, because a cash offer is below full retail by design.
We start with what similar homes nearby have actually sold for recently, adjusted for size, condition and street. Then we subtract what it will take to bring the house up to that level: the repairs we saw on the walkthrough, plus room for the surprises that old houses always have.
Then we account for our own costs. Those include property taxes, insurance and utilities while we own it, our closing costs, and the cost of eventually selling it. What’s left after that is our offer.
That math is why a cash buyer can’t pay what a fully updated house brings on the open market. In return, you skip the repairs, the showings, the commissions and the waiting. If your house is already in great shape, compare our number with what an agent thinks you’d net. Our page on cash buyer vs. agent walks through how.
Step 4: Your written offer
You’ll get the offer in writing, not just a number over the phone. It spells out:
- the purchase price
- who pays which closing costs
- the closing date or date range you asked for
- anything that stays with the house or that you plan to take
- any conditions, like the title company being able to deliver clear title
Take your time with it. Show it to family, a lawyer, or anyone you trust. Get other offers if you want. There’s no deadline pressure from us. If something doesn’t work for you, tell us and we’ll see if it can change.
Step 5: Title work and what a title company does
Once you sign, we open the file with a local title company. The title company is a neutral third party. It doesn’t work for you or for us; it makes sure the sale is done correctly. Its job is to:
- search the public records for anything tied to the property: mortgages, liens, judgments, unpaid taxes, or ownership questions like a missing heir
- request payoff amounts from your lender and anyone else who’s owed money
- prepare the deed and the closing statement that shows every dollar in and out
- hold the purchase money and pay everyone correctly at closing
- record the new deed with the Lake County Recorder
Title work is usually what sets the pace. A clean title can move quickly. An inherited house that hasn’t gone through probate yet, or one with old liens, can take longer. We’ll keep you posted on what the title company finds and what, if anything, you need to do.
Step 6: Choosing your closing date
You pick the day. Because there’s no lender involved, we aren’t waiting on loan approval or an appraisal. Once the title is clear, we can close when you’re ready. If you need to move quickly, we’ll push to close as soon as the title work allows. If you need two or three months to find a new place or finish clearing out, that works too.
From signed agreement to closing, it’s often weeks, not months. But the honest answer depends on your title, and we won’t promise a specific number of days. Our guide to selling your house fast in Northwest Indiana covers what can speed up or slow down a cash closing.
What to leave behind and what to take
Take whatever you want, whether it’s furniture, photos, tools or the good lawnmower. Leave whatever you don’t. You don’t need to rent a dumpster or schedule a cleanout. We’ll handle what’s left after closing. Just let us know in advance about anything you plan to leave, like appliances, so it’s written into the agreement.
Before closing, plan to hand over all keys, garage door openers and any alarm codes. Call your utility companies to set a final reading for the closing date.
Closing day and how you get paid
Closing takes place at the title company’s office. If you live out of town, title companies can often arrange for you to sign with a notary where you are. You’ll sign the deed and the closing documents, and show a photo ID.
The title company pays off your mortgage and any liens out of the sale money. It also pays the closing costs each side agreed to. Then it pays you the rest by check or wire transfer. The money comes from the title company, not from us directly, which is one way you know the sale is real.
What we’ll never do
Some cash buyers give everyone a bad name. Here’s what you’ll never see from us:
- No upfront fees. We’ll never ask you for money to make an offer, inspect the house, or “hold” a sale.
- No pressure. No “this offer expires in an hour,” no showing up uninvited, no badgering after you say no.
- No blank or half-filled contracts. Every number and date is filled in before you sign.
- No signing over your deed outside a closing. Your deed is signed at the title company, at closing, when you get paid.
- No discouraging second opinions. Talk to a lawyer, family, an agent, or another buyer. We’d rather you feel sure.
Still have questions? The FAQ page covers money, timing and specific situations, or you can contact us directly.