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Edited by Galina Velgach
Written by Katy Byrom
Edited by Galina Velgach
» Sections: Offerpad fees | Compared with alternatives | FAQs
When selling your home to Offerpad, you’ll pay a 5% service fee, variable repairs costs (which most sellers claim aren’t negotiable), and an estimated 1% in closing costs.
Offerpad’s service fee is about the same as the commission you’d pay to a realtor. You can sell your home faster with Offerpad, but it isn’t likely to save you money in the long run. Plus, a property listed on the open market can often fetch a higher price, increasing your net proceeds.
Thinking of selling your home with Offerpad, but worried its fees are too high? It’s smart to compare all of your options first.
Our team can help you get competing quotes from multiple cash buyers, including well-known iBuyers and top-rated cash buyers. We can also connect you with a free home valuation from a top local realtor. That way, you can compare offers against your home’s potential sale price. Our service is free to home sellers, and there’s no obligation to move forward with an offer or listing.
Compare fair cash offers from iBuyers and investors to the sale price you’d get with an agent.
What fees does Offerpad charge?
Offerpad fees depend on the service you select: Offerpad’s cash offer or a traditional listing with Offerpad. Here’s a complete breakdown of what you’ll pay out of pocket for each of its programs.
| Fee | Cash offer | List with Offerpad |
|---|---|---|
| Service or brokerage fee | 5% | 6% |
| Closing costs | ~1% | ~1% |
| Repair concessions | Varies based on inspection | Negotiated with buyer |
| Total* | 6% + repairs | 7% + repairs |
* Total fee does not include repair cost or concessions.
Get a cash offer
If you want to avoid the hassle of selling your house the traditional way, Offerpad’s cash offer is the way to go. You’ll an offer for your property within 24 hours. And the company buys your home directly from you — no showings or haggling with buyers.
In exchange for this convenience, you’ll pay 5% of the home’s sale price in service fees, as well as variable repair expenses and closing costs.
Offerpad’s cash offer comes with a few perks: you can pick a closing date up to 90 days out, and professional movers are covered for local moves.
List with Offerpad
List with Offerpad is a hybrid option that lets you test the open market and get a cash offer to fall back on. The cash offer is good for 60 days.
If you choose to list, you’re looking at a 6% realtor commission fee, plus the usual 1% or so in closing costs.
Does Offerpad charge hidden fees?
Offerpad buries one cost in the fine print on the company’s FAQ page: the cancellation fee. If you decide to back out of the deal, Offerpad charges you 1% of its initial cash offer as a cancellation fee.
Repair costs depend on the outcome of a home inspection. If the house needs repairs, you have two options:
- Give Offerpad a credit. You don’t pay anything out of pocket. Instead, you agree to have the costs deducted from your offer price.
- Decline a credit or repair request. Offerpad can back out of the deal if you do, in which case, you wouldn’t be charged a cancellation fee.
How Offerpad fees compare
Offerpad claims it can save you up to $4,000. But what fees does Offerpad charge compared to other options?
Offerpad fees vs. Opendoor
Opendoor is Offerpad’s main competitor, and both companies share a similar business model of buying homes at slightly below market value and reselling them for a profit
Opendoor fees also clock in at 5%, but fewer customers complain about its repair costs — possibly because Opendoor’s inspection is done primarily by phone and video, and is less thorough overall.
» READ: Offerpad vs. Opendoor: Our full breakdown
Offerpad fees vs. selling with an agent
Offerpad isn’t cheaper than selling with an agent. Realtor commissions can add up to 4.45—6.34% of the final home sale price, while Offerpad charges 8%.
Working with an agent will likely net a higher price for your home, however. So if you want to save on selling costs and make top-dollar your home, go with a discount real estate broker. You’ll get the full service you’d expect from a realtor but only pay a 1% listing fee.
Offerpad fee FAQs
Does Offerpad charge any hidden fees?
Offerpad isn’t up front about its cancellation fee: if you don’t go through with the sale, you’ll pay a penalty equal to 1% of the initial offer.
What is the total cost to sell to Offerpad?
Selling to Offerpad costs about 6% of the final sale price (5% service fee + 1% closing costs). But be prepared for additional repair costs after a home inspection.
How much does Offerpad charge for repairs?
Offerpad's repair deductions vary, depending on the condition of the home and what comes up during the home inspection. However, some sellers have seen their offers lowered by tens-of-thousands of dollars following Offerpad's home inspection.
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