Seller wants cash only no inspections - WHAT?!?

[Bruce Clark]

I put in an offer for a potential flip. My offer was for 45k subject to inspection and financing.

My agent says the seller has responded by saying 45k is fine but they only want cash offers and they are "not going to deal with inspections." The selling agent has had the house on the market for 18 months and needless to say, he is not happy.

My agent tells me that they have had the house under contract twice but it has fallen through based a bank requiring repairs prior to closing or a low appraisal. My guess is that prior buyers did not intend on flipping the property and they were likely attempting to use an FHA or similar type loan. I am not sure though.

I think the house is a good candidate for a flip, but I certainly am not going to buy it without an inspection and I do not have 45k cash. 

My thought is to go through it with an inspector and try to line up financing and if/when I get everything worked out then resubmit my offer.

Anyone ever run into this or a similar situation? Thoughts? Suggestions?

[Mark Holencik]

This is where a line of credit is handy. 

You can buy without inspections. You can close fast.

When you can offer these 2 things you can buy at a discount. All my offers are "I will buy the property "As-Is". No inspection and cash. I have private individuals who hold mortgages on my properties. Sometimes they are in place by closing time. But the sale is not contingent on this.

I just bought a property that they could not sell. I negotiated owner financing. When I went to sign the agreement of sale, the lady asked me what I would give her if I paid cash. I always give more if they hold the mortgage. I tell them the price is contigent on them holding the mortgage. I gave her a price that was 1/3 lower as a cash offer. She accepted. I crossed out the sales price and the seller financing terms, initialed the changes. Signed the amended agreement. I could only do this because I have funds available.