Benefits of cash offers

[Nicholas Meyer]

Hi everyone, 

I am curious as to the benefit of making a cash offer on a property, most likely a multi-family. As someone who is new to REI, should I make cash offers if I can? I have successfully squirreled away a decent amount of savings, so I would be able to enter a moderate market with several properties free and clear. Is this a strategy that I should be pursuing or are there more benefits to purchasing a property with a conventional loan? Thanks in advance...

NM

[Andrew Syrios]

The only real benefit to cash offers is sellers are more confident you will close because they don't have to worry about financing falling through. Some sellers are willing to take lower offers if one is cash and one is financed, and others will use it as a tie breaker. If you can do a cash offer, I would recommend it. But it's usually not a deal breaker if you can't.