There’s no single right answer to the cash buyer vs. realtor question. It depends on your house, your timeline and what matters most to you. We’re a cash buyer, so take our view with that in mind. But we’d rather you pick the option that actually leaves you better off, even when that’s listing with an agent.
Cash buyer vs. realtor at a glance
| Compared | Listing with an agent | Selling to a cash buyer |
|---|---|---|
| Sale price | Usually higher, especially for a house in good shape | Below full retail; the buyer prices in repairs, costs and risk |
| Commissions and fees | A commission you negotiate with your agent, plus any buyer-agent pay you agree to | No commissions; Penguin Capital charges no fees |
| Repairs and prep | Often needed to attract buyers and satisfy a buyer’s inspection and lender | None; the house is sold as-is |
| Showings | Showings and open houses; the house stays show-ready | One walkthrough, or photos and video |
| Timeline | Time to prep, list, find a buyer, then wait on the buyer’s loan | Often weeks, not months; mostly depends on title work |
| Certainty | Financing, appraisal and inspection can delay or end the sale | No financing contingency; terms in writing up front |
| Closing costs | Negotiated; sellers usually pay some | Spelled out in the written offer |
| Best for | Updated or well-kept houses when you have time and want top price | Houses that need work, or when timing and certainty matter most |
What changed with agent commissions in 2024
If you haven’t sold a house in a while, the rules around commissions changed. Under the National Association of Realtors settlement, new practices took effect on August 17, 2024:
- Offers to pay the buyer’s agent can no longer be posted on the MLS (the listing database agents use). A seller can still choose to offer buyer-agent pay or help with the buyer’s closing costs, but it’s negotiated separately, off the MLS.
- Agents working with buyers must sign a written agreement with the buyer before touring homes. That agreement has to say plainly that agent pay isn’t set by law and is fully negotiable.
You can read NAR’s own summary of the 2024 changes.
What it means for you as a seller: your listing agent’s commission is negotiable, and so is whether you contribute anything to the buyer’s agent. Indiana also requires listing agreements to be in writing with a definite expiration date (IC 25-34.1-12-1). Read it carefully before you sign, and ask what happens if you sell to someone you find on your own.
A hypothetical net-proceeds comparison
The fairest way to compare is by what you walk away with, not the headline price. Here’s a made-up example to show the math. These are round illustrative numbers. They aren’t typical figures, an estimate of what any Lake County house is worth, or a preview of what we’d offer on yours.
Say a house would sell for $150,000 once it’s fixed up, and it needs about $12,000 of work to get there.
| Hypothetical example | Fix up and list | Sell as-is for cash |
|---|---|---|
| Sale price | $150,000 | $112,000 |
| Repairs and prep before selling | −$12,000 | $0 |
| Commissions (assumes 5% total, for illustration only) | −$7,500 | $0 |
| Seller’s closing costs | −$2,000 | −$1,000 |
| Credit to buyer after their inspection | −$3,000 | $0 |
| Taxes, insurance and utilities while you wait (about 4 months vs. 1) | −$2,500 | −$600 |
| What you’d net before paying off any mortgage | $123,000 | $110,400 |
In this example, listing comes out about $12,600 ahead. If everything goes to plan, listing usually wins on money, and you should know that.
Now change a few assumptions, the way real life often does:
- Repairs run over. Older houses hide things. If the $12,000 job turns into $25,000 once the walls are open, the gap is gone.
- The buyer’s loan falls through. You relist, and another two or three months of taxes, insurance, utilities and mortgage interest come out of your pocket.
- You don’t have the $12,000. Then fix-and-list isn’t really an option. You’d be listing as-is to buyers who will price in the same repairs, and you’d still pay a commission.
- Your mortgage is still running. Every extra month on the market is another payment, which this example leaves out.
Plug your own numbers in. Ask an agent for a written estimate of your net, sometimes called a net sheet. Ask any cash buyer for a written offer that says who pays which closing costs. Then compare the two bottom lines side by side.
When listing with an agent wins
Be honest with yourself about these. If most of them describe you, an agent is probably your better move:
- The house is updated or well kept, with no major repairs looming.
- You can wait a few months and live with showings.
- You have the cash and energy to handle prep, cleaning and small repairs.
- The house would pass a typical buyer’s inspection and a lender’s appraisal.
- Getting the highest price matters more than the date or the certainty.
A good local agent earns their commission on a house like that. We’d tell you the same thing on the phone.
When a cash sale wins
A cash sale usually makes more sense when you need to sell your house fast, or when the house or your situation makes a normal listing hard:
- The house needs major work, like a roof, foundation, furnace, water damage or fire damage, and you can’t or don’t want to pay for it. See selling a house that needs repairs.
- A buyer’s lender might not approve it. Houses in rough shape can be hard to sell to anyone using a mortgage.
- You need a firm date. That might be a job move, a move to assisted living, or a deadline you’re facing. Without a lender, there’s no financing contingency to fall through.
- You inherited it, maybe from out of state, and it’s still full of a lifetime of belongings. See inherited houses and probate.
- There are tenants in place who make showings difficult. See selling with tenants.
- You value privacy. No sign in the yard, no listing photos online, no strangers walking through.
In those cases the gap in the example above often narrows a lot, and the certainty of a firm date can be worth the difference.
How to compare without guessing
You don’t have to pick a lane blind. A few practical steps:
- Get a no-obligation cash offer in writing. It costs nothing, and it gives you a floor.
- Talk to one or two local agents. Ask each for an estimated net, a realistic timeline, and what they’d want fixed before listing.
- Compare net to net and timeline to timeline. Don’t compare a cash offer to a list price.
- Vet whoever you choose. Our guide on how to vet a cash home buyer covers what to ask any buyer, including us.
If you’re curious what “as-is” means for value, read what your Gary house is worth as-is. For our process from offer to closing, see how it works.
The bottom line
Listing with an agent usually gets a higher price. A cash sale usually gets you speed, certainty and a house you never have to fix. Neither is the “smart” choice for everyone. The right one is whichever leaves you better off once the costs, the time and the stress are counted.