What Is The Deal With These Guaranteed Offers On Your Home

Thinking of Selling Your Huntersville Area Home?

See Also:  iBuyers: What is the 'Cost of Convenience when selling your home?

Everyone has been inundated with advertisements for 'Get a Guaranteed Offer On Your Home' on TV, Radio and Billboards etc.  

I have had clients ask me about these companies and I have often told them to go to the company website and see what the offer would be.  There is no obligation and if your curious just do it.   No cost, no obligation.   Just be prepared to be inundated with calls and emails etc.   Also, you HAVE to Read all the fine print!  

I want state up from that the this is my sold opinion and it is based on research and talking to people.  I have ZERO actual experience with these companies.

I recently listed and sold at a home at 8807 St. Brides Court for full price and at FAR less percentage that any of these companies charge.   

How Do These Companies Make Money?  

I have read and been told that these companies charge between 6% and 13%.  I really do not know how they determine the amount but I guess it depends on what services you want, what price they pay and condition of the home.  Here is another very important point.  Most, if not all, of these companies have also created Real Estate Brokerages.   One review I read said that their experience was a classic bait and switch.   They made two offers that were not accepted so the company presented an offer to list the home for sale.   They have multiple angles to get your business.

And... they are making money.   You can't pay for TV advertising without revenue and cash.  Also, Zillow is now entering the game of buying homes and also have created a real estate brokerage.   It is actually Zillow that is scaring many of the large brokerages out there ( according to a KW market leader ).   

Why sell to these companies? I firmly believe if you are a typical homeowner who has taken good care of your home, you are far better off selling your home with a REALTOR® who is an expert at property values, has your best interests at heart, and will maximize the profit of your home. We are still experiencing a shortage of inventory at certain price points and the market is still attractive for sellers. However, if your home is in need of significant updating or has issues you cannot afford to remedy in the process of selling your home, these investment companies are a good resource. No matter your situation, it’s always a good idea to get multiple opinions when you are thinking about selling your home.  Always consult a REALTOR® during the process so you have all the facts and can make an educated decision when you sell your home.

As a side note, these companies do not really scare me.  I offer a very good alternative and I absolutely save my owners money.   I do not have to pay a brokerage part of my earnings so I can give my sellers a much better commission that most companies and give the same if not better service. Below is a chart that details major differences between these companies and using a REALTOR® to sell your home.  Please reach out to me via cell phone at (704) 451-7051 if you are thinking about selling. It would be my pleasure to help you decide on the right solution.

REALTOR®	Cash Buyer Companies
Looks out for homeowner’s interest, maximizes profit	Only interested in a profitable deal for the company
Due Diligence is paid to homeowner.	These companies do not pay Due Diligence
Buyer cannot terminate the contract at any point after Due Diligence period without financial penalties	Company can terminate the contract at any time, even the day of closing, without any consequences
REALTOR® will help negotiate repair requests made by the buyer to minimize the financial impact for the homeowner	Company typically will not negotiate their repair list.  They usually make “take it or leave it” requests & are often large reductions to the sales price.