Recently, iBuyers like Opendoor have come into the Raleigh/Durham housing market. They offer easy cash closings with flexible closing dates for property owners. However, how much do owners leave on the table by taking the easy option?
There's a recent example of a homeowner in our market who sold with Opendoor. They sold to Opendoor for a little over $300,000, and Opendoor took a 6.5% service fee at closing as well. Opendoor then re-listed the home, and sold it for about $9,000 more about a month later. Between the large service fee and lower Opendoor offer, this homeowner left roughly $10,000 on the table compared with using a traditional real estate agent.
On the buying side, Opendoor allows buyers to tour their listings at anytime, which is convenient for home buyers. However, Opendoor has started selling many homes in our market as-is with no repairs, similar to foreclosures. This is not in the best interest of the public, who will be out inspection money and possibly deposits if they get poor inspection results back. If these are first time homebuyers without a large downpayment, these buyers may have to wait and save up again prior to being able to make an offer on another home.