Are Cash Buyers the “norm” in Vail Valley?
Because the Vail Valley is a second-homeowner market, many affluent buyers either have the cash or will leverage their investment portfolio through a line of credit. Because of this, many of our transactions here in the Vail Valley and Cordillera are cash rather than a traditional loan. It would definitely not be out of the norm if you are considering buying your next home here with cash.
Routinely buyers will look at the low-interest rates and start down the path of borrowing money for their next home. But statistics show many don’t pursue traditional lending sources. This is possibly because a good number of affluent buyers are business owners and the lending process and detailed information required by the lenders are viewed as too burdensome.
Is it Better to Buy With Cash?
There can be benefits to buying your Vail Valley home with cash. There may be more room to negotiate and you may be able to get a lower price if that’s the route you go. I would contact your real estate agent to help you in this process. They will be able to negotiate when it comes to buying with cash instead of a traditional mortgage.
So which is better, buying with cash or a mortgage? This is a hard question to answer because it is really dependent on your situation. I recommend checking with your accountant as well as your real estate agent, as there may be some tax benefits with a mortgage compared to paying for the home with cash.
Cash buyers might be quite unusual in other markets but they are actually standard practice here. Another “norm” for the Vail Valley is mail-out closings. If you are not able to physically be in Vail for the closing – you can get the documents via FedEx from the closing agent. This is great for out-of-area buyers.
How Can I Help?
I hope that you’ve found this information on cash buyers in the Vail Valley and Cordillera area useful. Please reach out to me if you ever want to know more or if you are interested in buying or selling a home. I want to provide my clients with interesting and up-to-date information so they can make informed decisions. If you think that my expertise and positive attitude might be of service to you don’t hesitate to reach out and contact me.
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Coldwell Banker Global Luxury Specialist
Coldwell Banker Distinctive Properties