Cash home buyers — the kinds, and how to pick
"Cash home buyer" covers three very different operator types, each with different pricing and different property preferences. Knowing which one you're dealing with tells you a lot about the offer you'll get — and we operate across all of them.
Lockwood Home Buyers makes cash offers directly to homeowners — no fees, no commissions, and no obligation to accept. We are not a real-estate agent or broker; we buy houses for cash.
The three types of cash buyer (and which one suits your property)
1. Fix-and-flip investors
Buy a property in need of work, renovate, resell at retail. They make money on the spread between as-is buy price and post-renovation resale. They price using the 70%-of-ARV-minus-repairs formula. Best fit for: damaged property, dated property, vacant property needing rehab.
2. Buy-and-hold rental operators
Buy a property to rent out long-term. They price using cap-rate or cash-on-cash return targets, not flip-margin math. Often willing to pay more for already-cash-flowing tenant-occupied inventory. Best fit for: tenant-occupied property, multi-family, properties that need only light cosmetic work.
3. Wholesalers
Get a property under contract at a discount, then assign the contract to another investor for a markup before closing. Legitimate model but adds a middleman to the transaction. Some sellers prefer to avoid this; some don\'t mind. Ask up-front if the buyer is the end-buyer or a wholesaler — both are legal, just different.
Lockwood Home Buyersbuys using whichever model fits your property best — so you get a fair number whether it's a flip, a rental, or a quick assignment. See our guide on spotting legit vs. scam cash buyers for the due-diligence checklist.
Common questions
Get a cash offer on your house
Lockwood Home Buyers makes cash offers directly to homeowners — no fees, no commissions, and no obligation to accept. We are not a real-estate agent or broker; we buy houses for cash.