Offerpad Fees: What You Need to Know

As an iBuyer, Offerpad makes quick, all cash offers on homes and gives sellers the flexibility to choose their own closing date. It also offers unique perks like free local moves within 50 miles and up to three extra days in your home after closing. 

However, Offerpad's convenience comes with financial trade-offs that may not make sense for all sellers. 

• Offerpad charges sellers a "simple service fee" based on the home sale price — formerly 5%, but now as high as 8%.[1]
• In addition to its service fee, Offerpad deducts the entire estimated cost of repairs following its home inspection — meaning your final payout could be significantly lower than your initial offer.
• Sellers also pay typical closing costs like transfer taxes, title insurance, and escrow fees.

Perhaps the biggest expense to consider when selling to Offerpad is the lost profit potential that comes from selling to an iBuyer vs. putting your house on the market. 

• While iBuyers once had a reputation for purchasing homes at or even above market value, a recent analysis of 120+ Offerpad listings found an average 13.89% difference in Offerpad's purchase price vs. resale price — representing $29,346 in lost profit potential, not including repairs or service fees. 

Given the overall costs of selling to Offerpad, most sellers will probably find a better solution elsewhere. Offerpad purchased just 2,443 homes in 2024, compared to 9,034 at its peak in 2022. 

Before accepting Offerpad's offer, be sure to have an accurate idea of your home value. That way, you'll know exactly how much money you're leaving on the table. You should also look at offers from a few iBuying competitors to make sure you're getting the best possible terms.

To save yourself some time, we recommend starting with a free offers marketplace like Clever Offers. With Clever, you can compare cash offers from iBuyers and investors, as well as creative financing solutions that mimic the speed and convenience of cash while potentially netting you a much higher sale price. Answer a few questions to see which offers you qualify for, and sell in as a little as 7 days.

What fees does Offerpad charge?

Offerpad's fees depend on the path you take to sell your home: 

• A cash offer from Offerpad 
• A traditional listing using Offerpad's cash offer as a backup 
• A hybrid option from Homeward, giving you cash upfront with the opportunity to list for additional upside. 

Here’s a complete breakdown of what you’ll pay out of pocket for each of its programs.

Service fees

Offerpad used to charge a flat 5% service fee for its cash offer program. However, sellers may now pay as much as 8% in service fees, not including repair charges and other selling costs.

Launched in June 2025, Offerpad's new HomePro model matches cash offer seekers with local Offerpad certified agents who "present both cash and listing options[3]," such as:

• Offerpad's cash offer
• A traditional listing, with a backup cash offer from Offerpad
• A Homeward offer, providing cash upfront and the opportunity to list for additional upside

While Offerpad no longer discloses its service fees on its website, a conversation with Offerpad's HomePro Assistant revealed that its cash offer typically costs 8% of the sale price, although the percentage may vary by market.[2]

The Homeward option includes an 8% program fee for an upfront cash offer, plus 6% in listing expenses when the home is sold to the next buyer for the full market value.

Sellers who opt for a traditional listing will pay the commission rate set by their listing agent, although Offerpad indicates that sellers typically pay 6% — with 3% going to their listing agent, and 3% offered as a concession to the buyer's agent.

Repair costs

Repair costs represent one of the biggest unknowns when selling to Offerpad. They're based on an in-person home inspection conducted after you've signed the purchase agreement. 

Based on the results of its home inspection, Offerpad can adjust its offer downward or even cancel the contract entirely. 

Closing costs

Closing costs vary by transaction but are typically 1–3% of the home sale price — the same as you'd pay in a traditional home sale.

Standard closing costs include attorney fees, title insurance, transfer taxes, HOA transfer fees, and prorated property taxes.

Listing fees

As an alternative to its iBuying program, Offerpad gives you the option to sell your house with a partner agent (called a HomePro), using its cash offer as a backup. The offer remains good for 60 days while you test the market. 

If you choose to list with Offerpad, you'll pay standard brokerage fees of about 6%, assuming 3% goes to your listing agent and the buyer requests another 3% to cover their agent fees.

You'll pay a similar listing fee if you choose a Homeward offer, which provides cash upfront, plus any remaining upside from an open market listing — minus listing and program fees.

Cancellation fees

Customer reviews indicate that Offerpad previously charged a 1% cancellation fee for backing out after signing the purchase agreement.[4] However, Offerpad now claims that customers can cancel without penalty.

Total costs of selling to Offerpad

Offerpad cash offer

For cash offers, expect service fees of about 8%, but percentage varies by market. You'll also get a bill for repairs, which according to customer reviews can subtract thousands — or even tens of thousands — from your initial offer price, making it difficult to predict your final net proceeds.

Closing costs for the cash offer will be fairly standard, amounting to 1–3% of the sale price.

According to Offerpad's HomePro Assistant, sellers with a home valued at $400,000 could realistically net about $354,000 with an Offerpad offer — although repair estimates may further reduce your payout. 

List with Offerpad

Listing with Offerpad typically costs around 6% in realtor fees, divided between the listing agent and buyer's agent.

While standard for the industry, Offerpad's listing fees are pricier than alternative brokerages offering lower commission rates. However, Offerpad's listing services include a backup cash offer good for 60 days. And realtor fees are negotiable, so you may be able to talk yourself into a better rate.

Sellers also pay standard closing costs (1–3%) and any concessions negotiated with the buyer to cover repair credits, etc. Typical home selling costs are right around 9%, or $36,000 on a $400,000 house.

Homeward offer

Offerpad's newest option is also its most expensive in terms of fees. Sellers who opt for a Homeward offer should expect to pay an 8% program fee for the upfront cash offer, plus a ~6% in brokerage fees once your home is sold to the next buyer. 

You'll also pay for:

• Maintenance and utility costs while Homeward lists your home
• Any repairs negotiated with the buyer
• Standard closing costs

While you could potentially net more through the combination of upfront cash offer and open market listing, you'll easily pay as much as 17% in program fees and related selling costs— about twice the standard costs to sell a house.

According to Offerpad's HomePro Assistant, sellers with a home valued at $400,000 could realistically net about $332,000 with a Homeward offer.

Does Offerpad charge hidden fees?

Offerpad no longer discloses the service fee associated with its cash offer. Instead, the company requires sellers to sit down with an Offerpad HomePro to discuss both cash and listing options before revealing the associated fees. However, according to Offerpad's HomePro Assistant, sellers can reasonably expect to pay about 8% for accepting a cash offer (a significant markup from the former 5%).

Additionally, customers claim that final offers can be dramatically lower than initial estimates. According to reviews, Offerpad justifies these price drops with repair assessments or a more in-depth market analysis conducted during the due diligence period. 

One Kansas City home seller we spoke to via Zoom initially accepted Offerpad's offer over a competing bid from Opendoor but reversed course after Offerpad quoted him $40,000 in repairs — equal to ~17% of the home's $230,000 sale price.

Recent reviews for Offerpad also indicate that repairs can dramatically lower Offerpad's offer amount:

"Most dishonest people ever! Was told a quote of 431k then after inspection in which the guy who did the inspection said he found nothing, they offered 368k. We said that was way too low (market value is 472k) and they came back with 370 to 375 with manager approval. So we asked for 375k and they came back with 368k!!!"

— Michael F., Google

"Offerpad decreased their offer by almost $35,000 (almost 8 percent of the sale price) after their 10 day inspection period. $25,000 for repairs that were 'discovered' during the inspection." 

—Jeff C., Google

With a traditional listing, repair concessions are negotiated directly with buyers, giving you more control over the outcome.

Offerpad fees vs. traditional realtor costs

Offerpad's listing fees are fairly standard for the industry, but higher than you'd find with a brokerage offering full service listings at a lower commission rate. 

Closing costs are also comparable to a traditional home sale.

However, you'll likely net less with Offerpad's cash offer than from a traditional home sale for a few reasons:

• Customer reviews on BBB, Google, and Trustpilot indicate that Offerpad's offers may fall well below market value. Our own analysis of 120+ Offerpad listings found that sellers were paid an average of 13.79% less than Offerpad eventually resold their homes for — although approximately 1 in 5 Offerpad homes appeared to sell for less than the original purchase price.
• Additionally, reviews indicate that Offerpad charges a significant amount for repairs, which are typically negotiable between a buyer and seller. Redfin reports that less than half of sellers currently offer concessions to cover needed repairs and other closing costs.[5]
• Finally, Offerpad's approximately 8% service fee is significantly higher than a standard realtor commission. Offerpad explains that the fee covers both Offerpad's costs (e.g., maintenance and selling costs) and the "convenience" factor for the seller.

Example fees and net proceeds on a $400,000 house: Offerpad cash offer vs. traditional realtor listing

‼️Keep in mind that you don't have to work with an Offerpad certified agent to request an offer from either Offerpad or Homeward. Plenty of agents use these and other tools as backups for clients who are seeking the speed and convenience of cash — including agents offering lower commission rates than you'll likely find with Offerpad.

Before locking yourself into using a specific agent, or even a specific backup offer, we recommend looking at iBuying competitors that may offer lower fees and more freedom to choose your own agent should you decide to test the market.

Offerpad fees vs. competitors

Offerpad vs. Opendoor: Opendoor charges 5% service fee for its cash offer, compared to an estimated 8% from Offerpad. By customer accounts, Opendoor also typically has lower and more predictable repair costs. While Offerpad used to charge a 1% cancellation fee, both companies now claim to allow sellers to cancel without penalty.

Offerpad vs. Clever Offers: Rather than one take-it-or-leave-it cash offer, Clever Offers lets you compare multiple offers from local investors, iBuyers, buy-before-you-sell services, and more. Clever can also pair you with a top local listing agent to explore a short-term MSL listing — giving you much broader exposure through the MLS without the long-term commitment of a traditional listing. However, getting matched with an agent isn't necessary if you'd prefer to pursue direct cash offers.

Offerpad vs. local cash buyers: Independent investors, such as local 'we buy houses' companies typically offer 60-80% of market value but don't charge service fees or closing costs. Your net proceeds may be similar, but you'll know the final offer upfront.

Offerpad vs. discount brokerages: Low commission brokerages can list your home for as little as 1% of the sale price (not including a buyer's agent concession, should you choose to offer one) while still providing a full-service listing experience AND drawing on backup cash offers, which are available through multiple iBuyer companies. 

Bottom line: Is selling to Offerpad worth it?

Offerpad makes sense if you prioritize speed and convenience over maximizing your sale price. The service works best for sellers who:

• Need to close within 8-90 days on a flexible timeline
• Want to avoid home preparation, showings, and negotiations
• Are relocating and can benefit from the free local moving service
• Don't mind potentially leaving significant money on the table

However, most sellers will net substantially more by listing with a realtor — especially if you do your homework to look for a well-rated discount brokerage. 

Given Offerpad's program fees, potentially repair deductions, and below-market offers, the convenience premium can easily subtract 15% or more from your net. 

Before committing to Offerpad, compare offers from multiple cash buyers and get a professional home valuation from a trustworthy agent to understand what you might be giving up. 

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