Buying a house cash is no easy feat for the majority of us. In fact, some may argue that is virtually impossible for the low or middle class. Although it might be quite challenging it isn’t entirely impossible. Frugal living, a second job, creativity, and of course a little creativity can put most people in the position to save enough money to at least buy a modest home with cash only. Paying cash for a house is a great accomplishment for people with the funds to do. Here are the top reasons why you should pay cash for your home.

No Credit, Bad Credit Really is No Problem

Contrary to all of the home financing offers that claim that no credit or bad credit is no problem, buying a house with cash eliminates the need for a credit check. Anyone who has tried to get a buy a house or a car with no credit score will tell you that sometimes not having credit is just as bad as having bad credit when it comes to securing bank loans. This is great news for people who don’t have credit due to having never established credit or people who have given up the use of credit cards, loans and borrowing money. Similarly, people with bad credit don’t have to worry about higher interest rates because of their poor credit scores.

Cash is Always King

Not to get too campy but money talks and cash is king. Those are two old clichés but both still ring very true. Cash offers are typically very appealing to “by owner” home sales for many reasons.  100% down offers guarantee that a seller will get his or her money in full no matter what happens “down the road.” Another reason  cash offers appeal to owners is because they can completely wash their hands of any obligations that they may have in relationship to the house once cash and ownership is transferred. Cash offers also increase a buyers negotiating leverage. Most sellers realize that a cash sale shortens the amount of time needed to close. This means that cash offers for homes that have been on the market for several months will have a great deal of negotiating power and may be able to get a lower price for the home.

Cut out the Middle Man

The less people involved with your home buying transaction, the more money  you get to keep in your wallet. When you intend on purchasing a house whether it be with cash or through financing terms you eliminate the need for a realtor if you target home sales by owners. Buying a house with cash also allows you to eliminate banks or other money lenders. Cash sales also remove the need for escrow, and other money sucking aspects of buying a home the traditional route that includes mortgages, realtor fees, and earnest money.

Peace of Mind

Above everything else nothing beats the feeling of owning a home outright. For many people the feeling of true home ownership isn’t felt until 15 to 30 years down after a closing date when the final mortgage payment is made. When you pay for home in full up front you get the satisfaction of knowing that you own your home 100% and will not be affected by increased mortgage rates due to fluctuations in adjustable rate mortgages,  changes in personal finances such as losing a job, or other unforeseen or poorly planned for events.

Home ownership is a great accomplishment. Traditional mortgages may be the most discussed method for buying a home but paying cash might be the more beneficial choice for your situation. If you ever plan on purchasing a house weigh all of your options and read articles about home ownership to decide if paying cash for a house is right for you.