Should You be an All Cash Buyer with Anchorage Alaska Real Estate?

Posted by Dan Wolf on Friday, January 30th, 2015 at 4:12am.

If you have been saving up or expect to walk away from your home sale with a lot of cash, you may wonder whether it’s smart to make an all-cash home purchase. Anchorage Alaska real estate prices are fairly high. Unless you are looking for an entry-level type home, short sale or foreclosure in Alaska, you will need a hefty amount of cash. For many baby boomers planning to retire, the thought of an all-cash home purchase brings a greater sense of security. According to an article by Investopedia, all-cash deals are a growing trend. In fact, last year a whopping 42.7 percent of residential property sales in the United States were all cash compared to about 19 percent the prior year. While it’s true some of the people who pay cash for      homes are wealthy investors and some are just wealthy, there are also a lot of middle-class people who like to live a debt-free lifestyle.    

•    Becoming the popular buyer on the block

Being an all-cash buyer will likely make you the most popular buyer. Sellers are less likely to turn down an offer made by a cash buyer. Many other prospective buyers may ask for contingencies with their offer related to whether or not they get the financing.

•    Having negotiating power

Cash buyers also have more negotiation power. Because they can move quickly on a deal, some sellers are willing to make concessions in exchange for the cash sale of their home. Motivated sellers who have already bought a home are particularly fond of cash buyers.

•    Skipping the mortgage hassles

Because you buy a home with cash, you aren’t obligated to pay PMI or private mortgage insurance that people who put down less than 20 percent on a home have to pay. Also, you don’t need to fill out paperwork, provide income verification or other information for loan documents. Although you will most likely want to purchase property insurance, no one will force you to.


If you are planning to retire to Anchorage, Alaska, you will significantly reduce your monthly housing costs by owning a home outright. After years of building up equity in a home, many retirees have enough cash to make a cash purchase when they downsize. Although it’s challenging to find an inexpensive retirement nest in Anchorage, a good Realtor can help you find a home in your budget so you can make an all-cash deal if that’s what you choose to do.

At Wolf Real Estate, we dedicate ourselves to our valued clients. We can show you homes with great views of the mountains or homes on plenty of land for fishing, hunting and enjoying the Alaskan outdoors. For more information on Anchorage Alaska real estate, please contact us at 248-9653 or visit us online at

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