I live in the bay area and I am going to be starting a house hunt soon and I’ve heard that one of the reasons it is so competitive is because people put cash offers. I’ve been trying to dig into how much of an advantage this gives you but it is hard information to unearth.
Is it the case that that a high percentage of home buys in the bay area are cash offers and you’re at a huge disadvantage if you don’t have one? Do you get to offer less on the house? I assume if there are multiple equal bids on a home and one of them is a cash offer, the cash offer will just win out? Do people often take lower offers because they are cash offers?
Depending on what I can find, I can prepare and put a cash offer on a house as well if I really had to and then just do a cash out refinancing right away.