Are you considering buying your next home with cash instead of financing it? While this certainly has the advantage of saving you the cost of interest, putting all your liquid money into your home can also have risky repercussions. To help you decide if paying cash or financing is right for you, here are a few of the risk factors cash homebuyers may face.
1. Stretched Finances
Whether you plan to use a windfall, an inheritance, or the proceeds of your last home sale, using an entire lump sum for one purchase can stretch your finances.