If you’re considering a cash offer on your home, you need to understand the difference between wholesalers and real cash buyers to avoid getting burned. When a buyer says they have cash, it doesn’t automatically mean they actually have the funds. If you’re not careful, you could end up:
Locking yourself into a contract
Taking your house off the market
Getting completely stuck when the buyer ghosts, flakes, or tries to renegotiate at the very last minute
This happens all the time to sellers who don’t know the difference. Here is how to spot a wholesaler and how to recognize a real cash buyer.
What is a Wholesaler?
A wholesaler is a middleman who doesn’t actually intend to buy your home. Instead, their process works like this:
They get your house under contract.
The contract usually includes a long closing window, often 30 to 60 days.
They then take that contract and shop it around to their list of investors.
The goal is to assign that contract for a profit, which means they are “flipping the contract,” not the house.
If the wholesaler can’t find a buyer in time, they will either walk away from the deal or try to beat you up on the price at the very last minute.
What is a Real Cash Buyer?
A real cash buyer is fundamentally different because they have the funds available right now. When dealing with a real cash buyer, you can expect the following:
They don’t need to assign your contract.
They don’t need a long inspection period.
They won’t backpedal three days before the closing.
The typical process is that they walk through the home, make an offer, and close in under 14 days.
They provide proof of funds in hand at the time of signing the contract.
Why This Distinction Matters
If you’re looking to sell your house fast—perhaps it’s inherited, you’re dealing with a divorce, or the home needs work—the last thing you need is someone stringing you along. You need clarity, speed, and confidence that the deal will actually close.
Working with a real buyer provides a real solution, not a gimmick, and saves you from getting played by someone who is just looking to make a quick buck. Don’t let someone promise you the moon, drag out the contract for 45 days, and then disappear or drop their offer by thousands right before closing.
