Q: What Do I Need to Know About iBuyers?

I’ve had many people ask me what iBuyers are and whether they should consider selling their homes to one. An iBuyer is a real estate investment company that buys and sells property through technology. Examples of iBuyers include Open Door, Offerpad, Zillow Offers, and more. 

iBuyers generally purchase houses for below market value, then charge fees ranging from 5% to 10%. Often, I see them charging 8% in our area. They will purchase the property in as-is condition but may ask for additional concessions from the seller after their inspections. The iBuyers then do cosmetic work to the home and put it on the market for full retail price.

“An iBuyer is a real estate investment company that buys and sells property through technology.” 

So why would someone want to sell their house for less than it’s worth, pay high service fees, and likely additional concessions? Well, it’s all about convenience; there’s no prepping the property for the market, no showings, and you choose your closing date. The convenience isn’t worth it for most sellers, but for some, it certainly is.

If you’re interested in selling your home this way, please contact me; we can discuss this in more detail. I’ve teamed up with several local investors who can purchase your house the same way as an ibuyer, but you can net more from the sale.

If you do decide to sell to an iBuyer, we can help you there too. I strongly recommend allowing us to represent you through the transaction. We charge a low fee but can commonly save the seller considerably on the initial sales price negotiations as well as those during the contract phase. Sometimes we can even get the iBuyer to reduce their service fee simply because you have agent representation. 

If you have any questions or would like to discuss this topic further, please contact me via phone or email. I would love to be your real estate resource.

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