It takes an average of 56 days to sell a home. But, most sellers what this process to go quicker. And, the amount of time it takes to sell a home depends on the real estate market you’re looking in and the real estate website you’re using.
So, if you’re looking to sell your home and/or find a new one, it’s important to look in the right places. When it comes to buying and selling homes, people often look at Orchard, Opendoor, and Offerpad.
But, which one is the best? Which website wins in the war of Orchard vs Opendoor vs Offerpad?
Orchard vs Opendoor vs Offerpad
Orchard, Opendoor, and Offerpad are all real estate websites that make different offers for individuals who are selling homes. In short, they’re all real estate investors. The most popular term is ‘iBuyer.’
iBuyers are online real estate purchasers that exist in multiple markets across the country.
All of these iBuyers are extremely popular with different sellers for different reasons. And, to evaluate which one is best for you, we’re going to compare and contrast six different factors:
- What homes qualify for an offer
- Available markets that the site focuses on
- How long it takes to get a cash offer
- How the site handles the closing process
- Maximum proceeds to the home seller
- Additional fees that the site may charge
Let’s jump in.
Orchard Real Estate
You may have known Orchard as its previous name, Perch. Orchard is an iBuyer that’s based in Texas.
Orchard focuses on homogenous homes that the builders completed before 1978. They’re also looking for homes that have a value between $125,00 and $500,000. You can use our free home value estimator to check the value of your home.
Orchard makes money by making a difference between buying and selling each home. Because of this, sellers should expect to receive about 80-85% of their home’s value. This is after fees, minor repair costs, and resale pricing.
If you’re only using their platform to sell your home, Orchard Realty charges a 6.9% fee.
In sum, Orchard buys a home below market value because of repairs and renovations that they may need to. They then renovate the home and resell it for a profit.
You should keep in mind that Orchard does not represent consumers when selling homes. So, they aren’t required to give you a good offer.
Orchard may buy your home quickly (within a few days), but you will have higher fees because of the quick buy.
If you decide to purchase a home from Orchard, the closing process may take a few weeks. This depends on how long it takes to get the home inspection and financing underway.
If you’re looking for a real estate buyer across San Antonio, Dallas, Fort Worth, and Austin, Orchard may be a great choice for you. This is especially if you’re looking to sell your home sooner rather than later.
Opendoor Real Estate
Opendoor is an iBuyer that exists in multiple states across the US. It focuses on homogenous homes that builders completely after 1960. These homes should also fall between $125,000 and $500,000.
To value the homes that they’re looking at, Opendoor discounts the estimated retail value after they fully renovate the home.
Similar to Orchard, Opendoor makes money by the difference between buying and selling each home. Individuals selling their homes to Opendoor should expect to receive 80-85% of their home value. This is after fees, minor repair costs, and resale costs.
Opendoor makes offers within days or even hours. But, this process comes with additional fees. These go from 6% to 12% depending on how risky your property is.
However, Opendoor does cap its service fee at 5%. So, this keeps the fees down in comparison to other iBuyers.
Opendoor operates in many places across the US, including the following cities:
- Phoenix
- Dallas
- Forth Worth
- Las Vegas
- Atlanta
- Orlando
- Raleigh
- Durham
- San Antonio
- Charlotte
- Nashville
- Tampa
- Minneapolis
- St. Paul
- Houston
- Sacramento
- Riverside
- Denver
- Portland
- Austin
With this many options, you are more likely to have access to Opendoor rather than Orchard.
Offerpad Real Estate
Offerpad is another iBuyer that makes it easier for homeowners to sell their homes. Some sellers have closed with Offerpad in as few as ten days.
Offerpad looks for homes that are single-family structures. Builders must’ve finished the home after 1960. And, the home must have a value that is no less than $500,000 to $600,000.
Additionally, Offerpad stays away from homes that are no greater than one acre of land.
However, just like Orchard and Opendoor, Offerpad fees for this quick service. Offerpad’s service fees can be as high as 10%. This makes it one of the most expensive iBuyers out there. But, it’s still popular because of its quick service.
So, if you’re not too worried bout the price, Offerpad may be a great choice for you. And, it’s located in a variety of areas in the following states:
- Alabama
- Arizona
- Florida
- Georgia
- Nevada
- North Carolina
- South Carolina
- Texas
Offerpad also offers a unique moving service. It’s free for customers as long as you’re relocating within 50 miles of the property.
Plus, sellers can choose the closing date that they want. And, they can stay on the property for up to three days after the closing date if they need to.
But, for some, the higher fees may completely turn them off from this service.
Another downturn is the fact that you can’t counter the offer that Offerpad gives you. If you don’t like the offer that Offerpad gives you, then you have no option but to reject it completely. It’s like a “take it or leave it” policy.
Which Real Estate Website Is Right for Me?
Now that we’ve compared and contrasted Orchard vs Opendoor vs Offerpad, it’s time to decide which one is the right pick for you. With any decision like this, it ultimately comes down to what you want to do.
There are a few main things that you should be thinking about:
- The money
- The timing
- The personability
These three factors are going to play a big role in helping you decide which one of these real estate websites is the right one for you. So, let’s talk about it.
1. The Money
Obviously, everyone cares about money when it comes to buying and selling a house. Both sides what the best deal that they can get. So, the sellers push the number higher and the buyers push the number lower.
The agreement all depends on how much either side is willing to give up.
When it comes to iBuyers, sellers are at a disadvantage. With all of these iBuyers, you aren’t likely to see an offer of more than 85% of your home’s actual value.
Meanwhile, buyers get to enjoy a price tag that comes with newly renovated features.
Plus, sellers have to incur plenty of fees. This is especially if they’re looking to sell faster. The faster they want to sell, the more fees they’re going to have to pay.
If your most important factor is money, Opendoor is a great choice with their capped service fees.
2. The Timing
Time can become important to those who are trying to move out of their current home within a specific time frame. On the other end, you may have people who are looking to move into their new home quickly, too.
The house buying and selling process take time, but not a lot of people are willing to wait. So, they’d rather pay those higher fees in exchange for the guarantee of a quick process. It’s essentially giving money in exchange for saving time.
We always recommend that you start several months earlier than the day that you want to have everything completed. This will give you plenty of time to have everything in order before the day that you’re moving in/out.
But, this isn’t always so perfectly planned. It could be because of a job change, a family emergency, or another kind of time-pressing problem. In these cases, people may need to move quickly.
If your most important factor is timing, Offerpad may be the right iBuyer for you. They have the ability to get you moving in as little as ten days.
3. The Personability
Some people enjoy having someone around to show them the ropes. Unfortunately, iBuyers are digitally-based. So, it’s very hard to get a digital experience.
However, you may be too worried about moving in or out that this personability doesn’t really matter to you. It may be better to have cut-and-dry interactions so that everything goes quicker.
The closest thing you’re going to get to personable is Orchard. Because they’re only located in Texas, you can enjoy closer interactions than from iBuyers selling and buying across the nation.
Selling Your Current Home
When it comes to the battle of Orchard vs Opendoor vs Offerpad, the winner comes down to your determining quality. The right iBuyer for you is not necessarily the right iBuyer for someone else.
But, if you’re interested in checking out even more iBuyers, look at our list of top iBuyer companies. We can help you find one in your area.
The post Orchard Real Estate vs Opendoor vs Offerpad: How Do They Compare? appeared first on iBuyer Blog.
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