"We Buy Houses" Companies in the Twin Cities. Are They Legit?

If you've been driving around the Twin Cities, chances are you've seen the signs. "We Buy Houses!" "Cash For Your House!" Maybe you've gotten a few postcards or letters in the mail too.

So are these "we buy houses" companies legit?

Well... sometimes they all look the same at first. Yes, we're one of them. So we'll walk you through some things to look for before you work with any house buying company, including us.

Buying houses is a real business

Buying and selling houses is a valid and respectable business that can help homeowners and communities in a lot of ways.

Good house buyers help people get out from under a house they can't or don't want to deal with, without months on the market. They fix up neglected and run-down houses and turn them into nice homes again. They hire local plumbers, electricians, roofers and contractors. And a fixed-up house helps the whole block.

Lots of people think of house flipping as a get-rich-quick thing. That's mostly from the TV shows. The reality is actually pretty boring. Most of the work is coordinating a lot of people to make sure things happen on time.

But just like any other line of work, there are a few bad apples who make the rest of us look bad.

Warning signs of a shady house buyer

They want you to sign the deed at your kitchen table

Most reputable house buyers close at a neutral third party, like a title company or a closing attorney's office. That makes sure everything is done right, the money goes where it's supposed to, and nobody pulls anything funny. If a buyer wants you to sign the deed over at your house instead, ask why. That's a red flag.

They pressure you to decide today

A good buyer will make you an offer and give you time to think about it, talk it over with your family, and even compare it with other offers. Offers aren't good forever (the market changes and buyers set aside money for each one), but you should have at least a few days. If someone says you have to sign right now, be careful.

The contract changes

This one is sneaky. You agree on a price and terms in person, and then the contract they hand you is "just the formal version"... except it isn't. A few lines are different, the price got lower, or new fees showed up. Read every word of anything you sign.

They ask you to sign over the deed but leave the mortgage in your name

Here's how this one works. Someone takes over the deed to your house, promises to take care of the mortgage, and then doesn't pay it. Sometimes they even rent the house out and pocket the rent. Meanwhile the loan is still in your name, so when it goes unpaid, it's YOUR credit that gets wrecked. Never hand over your deed unless the house is actually being sold and the mortgage paid off at a real closing.

They don't actually have the money

Some "buyers" make a lot of offers hoping something sticks, and then back out of the ones they can't pay for. Ask how they're paying for the house and whether they can show proof of funds.

Questions to ask any house buyer

Before you sell your house to anyone, ask them some questions:

• How long have you been buying houses here?
• How do you come up with your offer?
• Where will we close?
• How are you paying for the house?
• Can I talk to some people you've bought from?
• What happens if something comes up before closing?
• How can I know you'll close when you say you will?

Shady operators are looking for a quick score, not an interview. If someone gets annoyed by your questions, that tells you something.

And do your own homework. Check their Google reviews, Facebook and the Better Business Bureau. Look them up with the Minnesota Secretary of State to see if they're a real registered business. You can also check with the Minnesota Attorney General's office.

The honest pros and cons

We'll be upfront with you. Selling to a house buyer isn't right for every homeowner.

The pros: You can sell your house as-is, without making any repairs. You can close fast, often in a couple of weeks. There are no showings, no commissions, and no buyer loan to fall through.

The cons: You probably won't get "top dollar." Since we're the ones paying for the repairs and taking on the risk, our offer will be less than what the house might sell for after it's all fixed up and listed. If your house is in great shape and you have time to wait, listing it might be the better choice. A good buyer will tell you that.

How we do things at Trademark Properties

We're a local, family-owned company, and our reputation is built on how we treat people. Here's what you can expect from us:

• Honesty. We'll tell you the truth about what we can pay and why.
• No pressure. You get the offer, take as long as you need, pass it by people you trust, even shop it around to other buyers if you want.
• A real closing. We always close at a reputable local title company.
• We follow through. We only make offers on houses we know we can close on.

Never be afraid to ask questions... of us or anyone else. Give us a call at Call us or fill out the form, and ask us anything you want.