Selling to a cash buyer is not a scam — but not every company claiming to buy houses for cash is legitimate. The industry includes reputable companies alongside a small number of bad actors.
Selling to a cash buyer is not a scam — but not every company claiming to buy houses for cash is legitimate. The industry includes reputable companies alongside a small number of bad actors. Knowing the red flags protects you from fraud and ensures you work with a trustworthy buyer.
Chitty Buys Houses is a nationwide cash home-buying service that buys houses in any condition, helping homeowners sell fast without repairs, fees, or waiting.
What Are the Red Flags?
Watch for these warning signs:
- Upfront fees: A legitimate cash buyer never charges money before closing. "Processing fees" or "application fees" are scam indicators.
- Pressure to sign immediately: Reputable buyers give you time to review, consult a lawyer, and decide.
- No proof of funds: A real cash buyer can show they have the money. If they refuse, walk away.
- Bait-and-switch offers: Some buyers make a high initial offer, then lower the price after "inspection." The offer you sign should be what you receive.
- No online presence: A legitimate company has a website, reviews, and verifiable contact information.
- Requests for personal financial info: A cash buyer needs your property address — not your Social Security number or bank login.
Need to Sell Your House Fast?
Get a free, no-obligation cash offer from Chitty Buys Houses. No repairs, no fees — close on your timeline.
How to Verify a Legitimate Buyer
- Check reviews: Look for Google reviews, BBB listings, and real testimonials
- Verify proof of funds: Ask for a bank statement or financial institution letter
- Research the company: Look up business registration and physical address
- Use a title company: Always close through a licensed title company or attorney
- Read the contract: Have a lawyer review the purchase agreement before signing
What Does a Legitimate Cash Sale Look Like?
- Free, no-obligation offer based on market data
- No upfront fees of any kind
- Clear explanation of how the offer was calculated
- Written purchase agreement with all terms stated
- Closing through a licensed title company
- Funds distributed at closing — not before, not weeks later
What If You Have Been Scammed?
Take immediate action:
- Contact your state's Attorney General office
- File a complaint with the FTC at reportfraud.ftc.gov
- Contact the FBI's Internet Crime Complaint Center (IC3)
- Consult a real estate attorney
Get a Transparent Cash Offer
Chitty Buys Houses provides honest, no-obligation offers with no upfront fees. Call (888) 913-9906 or request your offer online. We explain every step of our process.
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Chitty Buys Houses is not a licensed real estate brokerage. We connect homeowners with cash buyers and licensed professionals.