Why a mortgaged home is easier to sell

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Editor's note: Robert Bruss passed away on Sept. 26, 2007. This was one of the last real estate columns he wrote. Inman News is publishing Bob's last work as a final salute to the nation's most well-known real estate writer. DEAR BOB: I know you have addressed this topic many times, but I am still confused. Why do you advise against paying 100 percent cash for a home? I understand it is a large amount of cash to tie up. But when the homeowner needs to sell, won't the buyer have to come up with cash for 100 percent of the sales price? Why would a mortgaged home be easier to sell? --Susan N. DEAR SUSAN: A mortgaged home is easier to sell because the buyer can usually either (1) purchase "subject to" the existing mortgage or (2) assume its obligation, thus negating the need to shop for a new mortgage. Purchase Bob Bruss reports online. All home sales are not for 100 percent cash. For example, suppose I buy your $200,000 house with a $20,000 cash down payment and take over payments on your...