Should I use an IBuyer?
IBuyers have been around since 2014 and in that time they have made quite the impact on communities that they are a part of.
What is an IBuyer?
An IBuyer is a company such as Opendoor, Zillow, or Redfin that will purchase your home from you quickly and without any hassles. Typically you will request an offer from them online and they will determine the current value of your home and make you an offer that will be all cash and a quick close. The idea is to give homeowners a new option outside of the traditional way to list your home for people that need to sell quickly or don't have time to coordinate showings.
What are the benefits?
You can have a very quick sale
There's no need to stage or show your home
A guaranteed sale
They can boost property values in an area with the updated homes that are resold
What are the downsides?
The service is not available in all markets
You can't negotiate as much
You dont have an agent looking out for your best interests in the transaction
The cost of selling you home to IBuyers can be as high as 13%-15% vs. 6%-9% with an agent
Because of the difference in fees and the need to make a profit, you could be leaving up to $30,000 on the table by choosing the convenience of an IBuyer over the expertise of a Realtor. IBuyers have become a sizable portion of purchases in certain areas, and fulfill the need for an easy transaction. But unless you need to make a very quick move you are better off using a real estate professional to sell your home. Realtors have the expertise to guide you to make the right decisions and get the most value possible from your home, and in the end your top concern should be maximizing the value of your largest asset rather than leaving money on the table.