Thinking about selling your home? Before you consult with a real estate agency, consider the iBuyer real estate model. You can transact the sale of real estate more quickly when you entertain iBuyer offers. In a recent year, nearly 10% of home sales were transacted with an iBuyer and that percentage is growing as increasing numbers of sellers opt to avoid the conventional selling process that involves real estate agents, mortgage contracts, and seemingly endless open houses. Here, we’ll explore how to sell your home to an iBuyer.
What Is an iBuyer?
An iBuyer refers to someone or a company who makes an offer on a home online. Generally, these buyers estimate the value of the home using their own digital tools and resources before they generate an offer. Each iBuyer may employ slightly different business models. Some iBuying businesses may choose to make a single visit to the home before making an offer. Typically, however, these buyers or companies make fast cash offers that allow sellers to avoid a slew of selling hassles ranging from listing their home on the real estate marketplace or making costly repairs.
Don’t Confuse iBuyers with House Flippers
Some sellers may feel apprehensive about soliciting iBuyer offers because they fear they will receive offers that are lower than they hope to achieve. Keep in mind that iBuyers are not house flippers who have a business model of buying for a low price, making renovations, and then selling for a profit. Conversely, iBuyers often want to purchase homes that are in good condition. Consequently, their offers are often higher than what a house flipper would offer for a distressed house.
Request an Offer
If you are interested in selling your home to an iBuyer, you can request an offer. The good news is that you don’t have to accept. You can typically take a few days to consider whether or not you want to accept the offer. You can use the time to do a bit of research to see what similar homes in your neighborhood recently sold for. The offer will usually include the offer for the home, transaction fees (if there are any), and closing costs.
Schedule an Assessment
If you decide to accept the offer, the iBuyer will usually schedule a visit. Often times, this visit comes after offer acceptance but some companies may request to visit before making an offer. In either case, the buyer needs to ascertain that the home is in the condition described by the seller. If any repairs are needed, the iBuyer may deduct those home repair costs from the offer but will generally not require the seller to make the repairs themselves.
Choosing a Closing Date
The last step is to schedule a closing date. This process may move rapidly if you prefer. For instance, some deals close in as little as two weeks. Some sellers request to remain in their homes for a longer period of time–up to two months–in order to make their moving arrangements.
Selling your home is a difficult task but with iBuyer growing in popularity among home sellers, it’s more convenient and less cumbersome than working with a real estate agent and showing the home to a stream of potential buyers whose contracts, should they bid, may or may not fall through. If you have an idea of what you want to make on your home and want to avoid the conventional real estate selling model, soliciting iBuyer offers may be the ideal route for you.