» Sections: Offerpad fees | Compared with alternatives | FAQs
When selling your home to Offerpad, you’ll pay an 8% fee: a 7% service fee, plus 1% for estimated closing costs. You may also need to cover repair costs or deduct that amount from your final offer price.
The fees are higher than the 4.45–6.34% a traditional agent charges. 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.
We’ve partnered with Clever Offers, so you can compare rates and fees from top iBuyers and cash home buyers in your area. A local realtor will bring you cash offers and provide you with a FREE home valuation, so you’ll know if the offers are fair — and you can even list your home if you change your mind. Get fair cash offers from local iBuyers now!
What fees does Offerpad charge?
Offerpad fees depend on the service you select: Express Cash or Flex. Here’s a complete breakdown of what you’ll pay out of pocket for each of its programs.
| Fee | Express Cash | Flex |
|---|---|---|
| Commission or service fee | 7% | 6% |
| Closing costs | 1% | 1% |
| Repair costs | Varies based on inspection | Varies based on inspection |
| Total* | 8% | 7% |
* Total fee does not include repair cost or concessions.
Express Cash
If you want to avoid the hassle of listing your home, Offerpad Express is the way to go. You’ll get a cash offer for your property within 24 hours. And the company buys your home directly from you — no showings or haggling with buyers.
You’ll pay 8% of the home’s sale price (7% service fee + 1% closing costs), as well as repair expenses.
Offerpad Express comes with a few perks: you can pick a closing date up to 60 days out, and professional movers are covered for local moves.
Flex
Offerpad Flex 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 the Flex program, you’re looking at an estimated 8% fee: 6% realtor commission fee + 1% closing costs + 1% seller concessions.
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 a few options to move forward:
- Give Offerpad a credit. You don’t pay anything out of pocket. Instead, you agree to have the costs deducted from your offer price.
- Make the repairs before closing. You hire a licensed contractor to take care of the repairs before closing.
- 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. other iBuyers
Offerpad Express is an iBuyer, like Opendoor and RedfinNow.
- Opendoor (Offerpad’s main competitor) has lower service fees, but it’s known to make below-market offers.
- RedfinNow has a solid track record, but its variable fee can be as high as 13%.
| Company | Service fee | Closing costs | Total cost |
|---|---|---|---|
| Offerpad | 7% | 1–3% | 8–10% |
| Opendoor | 5% | 1–3% | 6–8% |
| RedfinNow | 5–13% | 1–3% | 6–16% |
» MORE: 7 Companies That Buy Houses for Cash
Offerpad fees vs. Opendoor
Opendoor fees clock in at 6%, below Offerpad’s 8%. For a $300,000 house, that’s a difference of $6,000. However, you might still get shortchanged.
Opendoor relies on a virtual assessment of your home, which could result in an inaccurate offer amount. And unlike with Offerpad, you won’t get moving assistance.
Opendoor’s pricing isn’t very transparent. According to a Federal Trade Commission (FTC) lawsuit, Opendoor offered below market value and charged higher fees. As a result, consumers sold for thousands of dollars LESS than they would have on the open market.
Offerpad fees vs. RedfinNow
RedfinNow‘s selling costs are significantly higher than Offerpad’s, with fees ranging 5–13%, plus closing costs. But that price tag might be worth it for a convenient, low-hassle solution to selling your house quickly.
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.
» READ: How Much Does it Cost to Sell a House? True Costs Revealed
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 8% of the final sale price (7% service fee + 1% closing costs). But be prepared for additional repair costs after a home inspection.
How much does Offerpad charge for repairs?
Offerpad charges most sellers 1–2% in repair costs, depending on the condition of the home and what comes up during the home inspection.
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