On average, sellers are likely to make 13% - 15% LESS with an iBuyer versus a traditional broker (source: Sklarz & Miller, 2019). While technology has influenced and in a lot of ways improved the real estate industry, the iBuyer phenomenon (such as Open Door, Zillow Offers, OfferPad, etc.) might need a closer look. Is the convenience worth the cost? When selling one of your major assets – your personal home - it is crucial to have professional representation to protect you. In fact, iBuyers represent themselves as the buyer in real estate transactions, not you the seller. These companies will purchase your home with a quick close date, however there is a good chance you will be leaving money on the table.
Costs to Seller
Silver Alliance Realty: 4% - 6%
Open Door: 6% - 16%
OfferPad: 7% - 14%
(Open Door info from recent Lennar contract, Zillow info from recent press release, OfferPad info from official website)
There is usually not a negotiation process when selling your home with an iBuyer. The iBuyer company compares your home to recently sold homes in your area to offer you an initial Sales Price then does their inspection to subtract costs of repairs (which they decide on) and then often adjusts your Sales Price downward. You have a certain amount of time in which you can respond to this offer. If you accept, a close date is set and the transaction moves forward. Homeowners not prepared or understand how to work with an iBuyer may be paying a high price for some convenience.
When selling your home with Silver Alliance Realty you are guaranteed outstanding representation and personalized service that protect your best interests. It is our mission to make you the most money possible. We offer superior contract negotiations, seller representation, a personalized marketing plan and more. Over 60% of Silver Alliance Realty clients are either past clients hiring us again or a referral from a past client.
CALL US ABOUT OUR DISCOUNTED RATES WHEN YOU ARE SELLING AND BUYING YOUR HOME AT THE SAME TIME.
Dr. Michael Sklarz & Dr. Norman Miller (iBuyers: A new choice for home sellers but at what cost?) 2019