Understanding the Cash Home Buyers Market in St. Petersburg
- Published on
- 10 min read
-
Kelsey Morrison Former HomeLight EditorClose
Kelsey Morrison Former HomeLight EditorKelsey Morrison worked as an editor for HomeLight's Resource Centers. She has seven years of editorial experience in the real estate and lifestyle spaces. She previously worked as a commerce editor for World of Good Brands (eHow.com and Cuteness.com) and as an associate editor for Livabl.com. Kelsey holds a bachelor’s degree in Journalism from Concordia University in Montreal, Quebec, and lives in a small mountain town in Southern California.
With its white-sand beaches and thriving downtown, St. Petersburg is attracting both local and out-of-state investors eager to snatch up properties in cash. In March 2024, nearly 38% of all single-family home sales in Pinellas County were cash transactions, according to a report by Greater Tampa Realtors. This trend was even more pronounced for townhouses and condos, where a whopping 60% of sales involved all-cash offers.
The current housing market overwhelmingly favors sellers, and seeking out cash home buyers in St. Petersburg could be your ticket to a fast and straightforward sale. In this guide, we’ll explain how to locate and sell to cash home buyers in St. Petersburg, providing the insights you need to make an informed decision.
Sell Your House Fast in St. Petersburg With a Cash Offer
Get an all-cash, no-obligation offer on your St. Petersburg home through HomeLight’s Simple Sale platform whenever you’re ready. Receive your offer in 24 hours and close in as few as 10 days. No showings, no repairs, no open houses. Available to sellers throughout St. Petersburg, Florida.
Disclaimer: As a friendly reminder, this blog post is meant to be used for educational purposes, not legal or tax advice. HomeLight always encourages you to reach out to your own advisor.
How to find cash home buyers in St. Petersburg
When time is of the essence, and you need reassurance that the sale will go through, partnering with a cash buyer can be a practical solution. Here are some effective ways to find reliable cash home buyers in St. Petersburg who might be willing to purchase your property.
Work with a reputable local real estate agent
Even when selling for cash, working with a local real estate agent can be hugely beneficial. Agents often have established networks, including cash buyers who are ready and able to purchase properties. When you enlist the help of a St. Petersburg agent, you can access their connections and avoid the time-consuming task of researching and vetting potential buyers yourself.
Additionally, agents can provide valuable insights and guidance throughout the sale process. If you don’t already have a trusted agent, HomeLight can connect you with top agents in St. Petersburg. While you may need to budget for real estate commissions, the expertise and convenience an agent provides can make the process much smoother.
Focus on investors rather than owner-occupiers
Thanks to its growing population and home values, St. Petersburg attracts a lot of real estate investment activity. To connect with these cash investors, consider listing your home on real estate investment websites or attending local real estate investment meet-ups.
You can also request no-obligation cash offers from “We Buy Houses” companies in St. Petersburg. These companies are typically operated by flippers who adhere to the 70% rule, meaning they aim to pay 70% of the home’s after-repair value minus the cost of repairs. Targeting investors rather than individual buyers can increase your chances of a quick, cash-based home sale.
Do your due diligence
It’s important to thoroughly research and vet cash-for-homes companies before agreeing to sell. Using resources like the Better Business Bureau (BBB) can help you verify the legitimacy of these companies. You can also reach out to St. Pete’s local chapter, BBB of West Florida.
Additionally, reading online reviews on platforms like Google, Yelp, Facebook, and Trustpilot can provide insight into the experiences of other sellers. Make sure the company has a solid track record, proper licenses, and positive customer referrals to confirm you’re dealing with a reputable cash buyer.
Before signing an offer, ask for proof of funds
Verifying a cash buyer’s financial resources is an important step to help ensure a smooth and efficient sale. This process typically involves requesting proof of funds, a document from the buyer’s bank that confirms their ability to complete the purchase with cash. If a potential buyer hesitates or is unwilling to provide this documentation, consider it a red flag and explore alternative options.
Inside the St. Petersburg cash home buyers market
St. Petersburg’s cash home-buying market includes a variety of buyers, from cash-flush investors to affluent new residents. Let’s explore the different types of cash buyers and their motivations.
New residents
Pinellas County saw a population boom of over 15,000 residents from 2020 to 2023, with St. Petersburg attracting roughly half of the new residents. Newcomers relocating from more expensive cities may have cash from previous home sales that they’re willing to invest into properties in St. Pete. The city is a popular destination among those with out-of-state jobs who work remotely, as well as retirees seeking beautiful beaches and warm weather. They tend to favor paying cash for long-term financial stability (no monthly mortgage payments to worry about!) and to gain an advantage over other potential buyers in a hot housing market.
Baby Boomers
According to an analysis by SmartAsset, a financial technology company, Baby Boomers accounted for 25.75% of St. Petersburg’s population in 2022. That year, 6,903 Baby Boomers moved into the city, making up 2.67% of the population. This generational cohort is more likely to pay for their homes outright as they settle into retirement or look to downsize.
In fact, more than half of Older Boomers (born 1946–1954) nationwide paid all cash for home purchases they made in 2023, as did 32% of Younger Boomers (born 1955–1964). These Boomers prefer properties that suit aging-in-place, such as single-level homes, low-maintenance yards, and accessible features like wide doorways and curbless showers. If your house has any of these characteristics, highlighting them in your listing description can help attract cash offers from this demographic.
Property investors
Property investors play a major role in St. Petersburg’s cash home-buying market. Types of investors include institutional buyers, house flippers, buy-and-hold investors, wholesale investors, and iBuyers.
Corporate investors, in particular, have acquired a significant number of single-family homes in Pinellas County to turn into rental properties. These buyers — who often pay in cash — are attracted to St. Peter’s strong rental demand and property appreciation. Selling to investors can result in a shorter closing timeline and a simplified sales process.
Pros of working with a St. Petersburg cash home buyer
Cash offers can be an appealing option for St. Petersburg homeowners looking for a faster, more straightforward sales process. Let’s examine the key benefits of working with a cash home buyer:
- Quick closings: Cash transactions often close faster than traditional sales since there’s no need to wait for mortgage approvals. This can significantly speed up the process, allowing you to complete the sale in just a few days or weeks.
- No contingencies: Cash buyers usually make offers without contingencies related to financing or the sale of another property, which can often delay or complicate the process.
- As-is purchase: When selling to a cash buyer, there’s often no need to make repairs or improvements to the property. Selling your home as-is can save you both time and money, especially if your home needs significant work.
- Simplified process: A cash sale typically involves less paperwork and fewer steps, making it easier and less stressful.
- Reduced stress: Knowing that you have a committed cash buyer can alleviate many of the headaches associated with selling a home. The certainty and speed of a cash sale can provide much-needed peace of mind.
How to request a cash offer in St. Petersburg
If you’re looking for a convenient way to get a cash offer for your home, HomeLight’s Simple Sale platform can help. Simple Sale connects you with the largest network of vetted and pre-approved investors in the U.S., ensuring you receive competitive offers. By answering a few basic questions about your property, you can receive a no-obligation, all-cash offer within 24 hours. If you accept the offer, you can close the sale in as little as 10 days, without the hassle of repairs, prep work, or showings. You can also select a move-out date that fits your schedule, up to 30 days after closing.
It’s important to note that cash buyers typically pay less than what you might receive on the open market with a real estate agent. However, selling traditionally comes with fees and commissions that can reduce your net proceeds. Depending on your situation, a cash offer could provide you with both time and cost savings.
How much are St. Petersburg cash home buyers willing to pay?
In exchange for speed and convenience, cash home buyers typically pay less than what your home might be worth on the open market. Cash offers are often below market value, especially when following the 70% rule commonly used in house flipping. The 70% rule means investors aim to pay no more than 70% of the home’s after-repair value minus the cost of repairs.
Currently, St. Petersburg’s housing market is quite competitive. In a hot market, cash offers might be closer to market value due to high demand. However, when the market slows down, cash offers will generally be lower as buyers look for better deals. Understanding these dynamics can help you make an informed decision about selling your home for cash.
What’s the process of selling to a St. Petersburg cash home buyer?
Want to skip the traditional home sale process and get cash in hand quickly? Here’s how the process typically works:
Complete the Florida Seller’s Property Disclosure form
In Florida, you are required to disclose any known defects or issues with your property when selling your home by filling out the Seller’s Property Disclosure form. This includes information about the condition of the roof, electrical systems, plumbing, and any other significant issues. This form helps establish transparency between the buyer and seller, protecting both parties in the transaction.
If you’re working with a St. Petersburg “We Buy Houses” company, they will likely prepare all the necessary documents for you, including this one. However, you can speed up the paperwork process by filling it out ahead of time. These companies conduct their own inspections and purchase homes in any condition, so filing the disclosure statement is more of a legal obligation from their perspective.
The buyer runs a title search on the property
The cash buyer will conduct a title search to verify the property’s ownership and check for any outstanding liens or claims. This ensures that the seller has legal ownership and that there are no issues that could delay the sale. Common title issues include boundary disputes, undisclosed heirs, and errors in public records. Resolving these issues is essential to avoid delays in the transaction.
The seller pays any associated fees
While a cash sale often involves fewer closing costs than a traditional sale, sellers may still need to cover certain expenses. These can include transfer taxes, title insurance, escrow fees, and attorney fees. In Florida, the transfer tax, also known as the Documentary Stamp Tax, costs $0.70 per $100 of the home sale price. If you are selling a home in a community with an HOA, you might also have to pay an estoppel certificate fee, which tends to cost a few hundred dollars. If you prefer to avoid closing costs entirely, many “We Buy Houses” companies cover them in exchange for an offer that’s below market value.
Deciding to sell to St. Petersburg cash home buyers
Homeowners in St. Petersburg have a strong chance of selling for cash, given the city’s popularity among real estate investors. Whether you choose to compare cash buyers on your own, work with a local real estate agent, or request an offer through Simple Sale, HomeLight can connect you with top professionals and valuable resources. Our goal is to help you streamline your selling experience, leveraging St. Petersburg’s competitive market to find a fast and efficient solution for your home sale needs.
Header Image Source: Source: (Ela108 Garwacka-Goralik/ Unsplash)
At HomeLight, our vision is a world where every real estate transaction is simple, certain, and satisfying. Therefore, we promote strict editorial integrity in each of our posts.