Selling Your Home through Opendoor VS Realtor
Opendoor has recently opened up the Tucson market and it is important to understand what you will trade for speed and convenience for a discounted sales price and less money in your pocket.
There are reasons homeowners would want to sell a property through Opendoor. The main reason someone would want to sell is for speed and convenience. But there is a trade-off for speed and convenience and that is selling your home for a much lower sales price than you could get listing your home with a top Tucson real estate expert.
The BIG question is… HOW MUCH MONEY ARE YOU WILLING TO GIVE UP FOR SPEED AND CONVENIENCE WHEN SELLING YOUR HOME?
Opendoor Case Study
I recently went online to Opendoor Tucson to see what they would buy our home for. We are actually thinking of selling our home and was just curious if their offer would be compelling enough for us to even consider.
Furthermore, I wanted to educate myself on the process so I could speak intelligently to our clients and help educate other real estate agents.
After going through the process I was pleasantly surprised. Selling our home the traditional route of using a real estate agent to list in the MLS and letting the market decide what our home is worth we would put substantially more money in our pocket.
In our case, trading speed and convenience for a discounted sales price definitely did NOT outway selling to someone like Opendoor.
If we were to sell our home through Opendoor we would walk away from approximately $25,375.00.
Wow! That would be a significant amount of money to walk away from.
How Does Opendoor Arrive at What They Will Pay You For Your Home To Justify Their Offer to You?
First, Opendoor runs some comps to come up with the value of your home as the base price. They then subtract other items like the commission, closing cost and repair costs to come up with your estimated net proceeds. If the base home price Opendoor offers you is less than the market value keeping all other things equal is the amount of money you are losing on the sale of your home. This is Opendoors profit!
In our case, the base price of our home we were offered was $25,000 less than the home is worth.
Second, Opendoor subtracts commission of 6% to 7% which if using a real estate agent is between 6% to 5%. But OK, if you were to sell your house for its market value less commission and it could be done with ease… anyone in the right mind would do that. Well, there are other things they subject to get to the final price of what they would buy your house for.
Third, Opendoor subtracts out closing costs. Many other Tucson cash home buyers will pay your closing costs but with Opendoor you are paying for the closing costs. So NO deal on closing costs.
Forth, Opendoor subtracts out any repair costs on your home. This may be more or less if using a real estate agent. If you have a good real estate agent working on your behalf when it comes to negotiating repairs you may come out ahead when it comes to the repairs.
Bottom Line: Opendoor VS Realtor
It comes down to how much money are you willing to give up for speed and convenience?
I get the convenience aspect of selling to someone like Opendoor. But speed, on the other hand, is the unknown.
Selling a home in Tucson through a real estate agent and listing in the MLS can happen fast. If you price your home correctly and do a few key things your home can sell fast and for top dollar consequently putting more of your hard money in hour pocket!
Our Home Selling Guarantee: Put More Money In Your Pocket or We Will Pay You The Difference
By listing your home with the Tyler Ford Real Estate Team we guarantee you will net more money from the sale of your home than selling your home through Opendoor. We believe in this so strongly that we will back it with a guarantee.
We will pay you the difference if we are not able to deliver on our promise. Or we will buy your home for the same price Opendoor offered you if your home has NOT sold within a specified time period.
Also, check out our: SELL YOUR HOME IN 90 DAYS GUARANTEED or it’s FREE!
PS: Offerpad’s offer was way less.
Tags: Opendoor Tucson
