Nowadays, just about everything is done online. Thanks to companies like Amazon, Zillow, and Trulia, you can find almost anything online—from groceries to homes. Now, in the latest wave of online biz, even home selling can be done from the comfort of your own couch.
New companies like Knock, Offerpad, and Opendoor promise stress-free ways to sell your home easily and quickly! What’s not to love? But seller beware! Using one of these online sellers can cost you big! Here’s how.
What are Knock, Offerpad, and Opendoor?
To put it simply, they’re kind of like virtual Realtors. You tell them about your house and sit back and wait while they give you a price and potentially list (or even buy) your home. Sounds pretty easy, right? Not so fast…
How Do Online Home-Selling Companies Work?
All you have to do is put in some basic information about your home and—voila! A fair market price for your home. If you’re using Opendoor, this is an instant offer. If you’re using Knock or Offerpad, this is a listing price at which the company will advertise your home.
The Problem with Automated Pricing
Automated pricing like that provided by Knock, Opendoor, and Offerpad takes data from recent sales in your area, as well as old tax records for your home, and compiles it into what it believes is a fair market value for your home.
But, what about the upgrades you’ve completed? What about finishes and updates that don’t necessarily reflect mathematically? (Hello, granite counters, new HVAC, hardwood floors, etc…). These things can make a BIG difference in the overall value of your home!
How a Realtor Prices a Home
Do we use comparables? Yes. Tax data? Possibly. Market stats and research? You betcha. Do we also know the difference between a 3-bed 2-bath home filled with updates and a 3-bed 2-bath home that hasn’t been touched since the 1950s—and which a buyer is likely to pay more for?
Online Companies Still Collect Commission
Easy and cheap, right? Nope. You’re still paying that same 6-7% commission on the sale of your home, same as if you’d just gone the more traditional route and used a Realtor!
Home Inspections Aren’t Negotiable
It’s not as easy as list-and-receive. You do still have to have a home inspection, and unlike in a traditional real estate situation where a seller could negotiate to complete or refuse certain repairs, these online companies will provide a list of necessary updates that must be completed by the seller—or the price drops (or, in the case of Opendoor, it’s no deal).
Bottom Line: Find a Realtor
Will using an online listing service save you some effort? Maybe. Will it end up costing you some hard-earned equity? Most likely.
Working with an experienced Realtor will not only guarantee you more accurate pricing, but you’re also going to have the personalized touch of working one-on-one with a human being who understands your needs and wants to ensure you have a smooth home selling experience, from start to finish.
Thinking of Selling a Home in Clayton?
If you’re thinking of selling a home in Clayton or Johnston County, then it’s time to contact the Tina Barletta Team. We’re here to help you find the value of your home, get ready to sell, and list stress-free!