So you want to sell your house but are getting overwhelmed by the choices that are now available? It used to be that you would choose a traditional brokerage and pay traditional 6% listing fees. Well now there are lots more options including selling to an buying company. But is this the best option for you, and if so, what are the best i-buying companies in Florida?
Non-Traditional Home-Selling Options
Here are your current options if you want to avoid the traditional route to selling your home:
- You can hire a discount brokerage like Redfin and pay them 1% listing fees for full-service brokerage services and offer 3% on the buying side to a buyer’s agent
- You can sell it yourself as a For Sale by Owner and rely on a yard sign to advertise your home, or use Zillow’s For Sale by Owner listing platform to advertise to Zillow viewers.
- You can upgrade your For Sale by Owner listing and pay a flat fee to a company like fsbo.com, or 4salebyowner.com to list on the MLS, the main platform used by agents to find buyers for properties.
- You can ask for an offer from an ibuying company. These are companies that will make a cash offer to buy your house in a short amount of time to free you from the stress of trying to find a buyer. They usually offer lower than market value and charge fees for this service but if you need to sell in a hurry, this can be a good option.
Here is Richr’s guide to the 4 most popular I-Buying Companies in Florida right now.
Launched earlier this year in Florida. They will make a cash offer to buy your home and close within 3months of agreeing on a deal. They aim to make minor repairs and flip these homes for re-sale. According to their website, “Unlike a traditional or for-sale-by-owner transaction, your home is never listed, so you avoid showings, open houses and home prep. If you choose to move forward with an offer, your dedicated Zillow Offers Advisor will work with you throughout the process. If you decide to list your home for sale instead, we can connect you with a trusted local agent who advertises on Zillow.”
Because their main business model is reliant on broker advertising fees for lead generation services, they work with brokers to facilitate the purchase and re-selling of these homes, which means they typically charge a 7% commission to the seller. This is already more than most real estate agents charge, so there is a premium cost to selling to Zillow Offers for fast cash.
Currently operating in numerous cities, including Tampa and Orlando. They will make a cash offer within 24 hours of your online enquiry. According to their website, “Simply provide Offerpad with your address and brief details about your home’s upgrades and current condition. Pictures are encouraged, but optional…” Their algorithm helps them provide a written offer. Once agreed and a contract is signed, they will conduct an in-home inspection to check the condition of the home and then they can amend the offer accordingly. They charge a 6-10% service fee, typically 7%.
Currently operating in Florida in Orlando, Tampa and Jacksonville. Opendoor has provided offers to over 400,000 sellers and charge service fees that can range from 6% to 14% (as of September 2019 their service fees were on average 7.1%).
They say on their website: “We don’t try to make “low ball offers” because, unlike a home flipper, our business model isn’t based on buying low and selling high. The way we make money is charging a fee for our service. Our fee is similar to a real estate agent commission but with more perks like the ability to choose your close date, avoid repairs, and handle the paperwork online.” Opendoor use an algorithm to compare hundreds of comparable properties for any given address to account for the finer details of a home. It buys and sells more than 3,500 homes per month and offers a guarantee to most customers: “If you aren’t satisfied with your new home purchase for any reason, we’ll buy your home back within the first 90 days…”
If you’ve ever heard of ‘We Buy Ugly Houses’, they are a subsidiary of HomeVestors, the largest cash buyer organization in the United States. According to their website, they have franchisees that “buy houses so sellers can enjoy both the time they save and the convenience of us purchasing their house “as is” for cash.” They conduct an in home inspection and can make an all-cash offer on the spot.
All of the companies in Richr’s guide to “What are the best i-buying companies in Florida” provide no obligation cash offers, and fast. If you’re not convinced that this is the right path for you due to their service fees and offer amounts, try listing on the MLS using Richr‘s platform.
We help sellers list for sale at full market value AND save 3-6% in traditional listing fees, and we do this for FREE. Go to Richr for more details.