You may have been hearing a lot lately about companies like Opendoor, Offerpad, Knock and Zillow. You may even have received a flyer in the mail asking to buy your home. We call these companies ibuyers. There are some subtle differences between these companies but generally, here’s how they operate: Each company will offer you cash for your home sight unseen which is at a discount. Then they will fix it up and sell it at a profit. Where does the profit come from? Well it comes from you. In exchange for the perceived convenience of not having to list your home on the open market you will be giving up some of your earned equity in the home. And at a cost that would be much higher than working with us.
Open-door for example has an average service fee of 7.4% but if you read the fine print, their fees average between 6 and 13%. The difference in fees occur because after they inspect the house, they come back and ask you to either make repairs – essentially flipping the house for them – or make a concession on the sale price. By that time, you may be too far into the process to turn back and will be forced to make the concession. The Ramsey Group only charges 6% and that includes photography, staging, marketing and representation by a team of licensed agents. And back to the perceived convenience comment above – The Ramsey Group has sold their homes on average in 20 days in the last six months. Don’t let these iBuyers fool you, the cost for convenience could be thousands of dollars for only a few days. We have a team of buyer agents standing by with Buyers ready to make offers on homes like yours.
All of this being said, there may be certain situations where selling your home to one of these companies makes sense. Please before you sign anything, let us review the offer. We will work with you to make sure that you have all of the information to make the best decision for your family. We want to help you get the best possible price for your home in the quickest timeframe with the least amount of stress.