From Marketwatch: “iBuyers,” the new real-estate companies that buy homes directly from customers, have grabbed media attention, investor dollars andconsumer acceptance. Their approach offers a seemingly modern solution to the often laborious and invasive process of selling a home.
But that convenience comes at a cost. A MarketWatch investigation of multiple transactions involving iBuyers shows that their offers would net their customers, on average, 11% less than owners who choose to sell their homes on the open market, when fees and other costs are considered, translating to tens of thousands of dollars lost. The findings also revealed considerably more uncertainty around the transactions — the scope of inspections, for instance — than the iBuyer model purports to offer consumers who are looking for ease.
MarketWatch found that not only are iBuyer offers generally lower than the ultimate sale prices, but their fees are often higher as well. For example ‘Knock’ always charges a 6% commission for selling the existing home, but fees charged by ‘Opendoor’ and ‘Offerpad’ vary widely.
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About Jaleesa Peluso, Laguna Beach Realtor & Certified International Property Specialist
Jaleesa and her team specialize in representing local as well as foreign buyers and sellers of Orange County real estate. Are you considering leasing, buying or selling your Orange County home? Call us now at (949)395-0960!