Offerpad is the nation's second largest iBuyer, purchasing homes in 17 major U.S. metros. Home sellers can decide between selling their home directly to Offerpad for cash or listing with an Offerpad agent using Offerpad's cash offer as a backup.
The company is known for offering unique perks with its cash offers — including flexible closing dates, free local moves within 50 miles, and up to three extra days in your home if you need more time to move.
However, Offerpad typically won't pay as much for your house as you could get on the open market with a real estate agent. It's also not as highly rated as competitors, and customers often complain that repair costs are way higher than expected.
If you want to avoid the traditional listing process, and don't mind sacrificing some potential profit to do it, Offerpad is worth considering. Requesting an offer is free, and you're under no obligation to accept it. However, most sellers opt to list with a real estate agent. (Offerpad bought just 2,500 homes in 2024.)
If you're on the fence about which route to choose, we recommend starting with Clever Offers. With Clever, you can compare instant cash offers worth up to 100% of your home's value. You can also test the waters with a no-obligation 7-day MLS listing, allowing you to sell as is for the highest possible price — with no longterm commitment. Answer a few quick questions and start comparing offers.
Thinking of selling to Offerpad? Here's a quick rundown.
👍 Why Offerpad might work for you:
- You pick your closing date — anywhere from 8 to 90 days. Super helpful if you need flexibility.
- No repairs or showings — they’ll buy your home as-is, so you skip the hassle and expense of fixing stuff up to make it show better to buyers.
- Free local move — they'll cover a move within 50 miles, which is a nice bonus and saves you money.
- Built-in backup plan — you can try listing your home with their agent and keep their cash offer as a safety net.
👎 Why Offerpad might not be your best option:
- Lower offers — like other iBuyers, they usually offer less than what you'd get on the open market. Think 85-90% of market value, minus fees.
- Big repair deductions — even though they buy as-is, they may still hit you with steep repair costs after their inspection.
- 5% fee (plus closing costs) — similar to what a real estate agent charges, but without the expert guidance.
- Cancellation fee — if you back out after the first few days, you could owe 1% of the offer.
“Unless a seller is in major distress—like probate or an inherited property—I rarely see them take an iBuyer deal,” says Andrew Velez of Re/MAX Advisors in South Florida.
Given the tradeoffs, most sellers end up selling the traditional way. In fact, as of 2025, iBuyers (including leading competitors like Opendoor) account for less than 1% of home sales nationwide.[1]
Is Offerpad legitimate?
Yes, Offerpad is a legitimate iBuyer that provides cash offers for homes in 10 U.S. states. Offerpad’s primary business model revolves around purchasing homes at a lower-than-market-value cost and reselling at a profit.
The company, founded in 2015, is publicly traded on the New York Stock Exchange. CEO Brian Bair currently leads Offerpad, and it has grown into the second-largest iBuyer behind Opendoor, earning $1.31 billion in revenue in 2023.[2]
There are no current lawsuits or controversies surrounding Offerpad. However, customer reviews are starting to point toward dissatisfaction with the company’s deal-making process. Additionally, the number of homes Offerpad purchases has decreased dramatically since its peak in 2022.
To prop up their numbers, Offerpad has begun offering a 3% commission to real estate agents whose clients choose to sell to Offerpad for cash. In 2024, real estate agents accounted for 27% of offers requested from Offerpad.[3] That number expanded to 42% in Q1 of 2025.[4]
How does Offerpad make money?
The majority of Offerpad's revenue comes from its core iBuying service, wherein it buys, renovates, and sells homes for a profit. According to Offerpad's financials, it averages $31k in net proceeds from each acquired home it sells.[3]
However, about a third of Offerpad's net profit (33%) comes from what it calls "Asset Light" services, including:
- Offerpad Max: Offerpad's traditional listing services for home sellers, allowing them to collect a standard brokerage fee
- Offerpad Direct: Sales of Offerpad-acquired homes to other institutional buyers and house flippers
- Offerpad Renovate: Renovation services for partners that purchase homes through Offerpad Direct
How much does Offerpad pay?
Offerpad's cash offers can be unpredictable, but you're almost guaranteed to receive less than market value, especially when factoring in their service fees and repair costs.
"I have had a few sellers want cash offers, and so I've gotten quotes from some of these buyers," realtor Melissa Young told us by phone. "They are typically about 85–90% of actual retail value and their fees are typically higher than what I would even charge to sell it conventionally. I have never once had a seller actually take them up on their offer."
In addition to the below-market sale price and 5% service fee, Offerpad’s repair estimates can add up to tens of thousands of dollars.
For example, home seller Charlene Toelle said, "They give you a fair offer, & charge a 5% service fee. Then they send a building inspector that nit picks every little thing. They charged $29,000 in repairs & didn't complete anywhere near that amount in repairs."
When you get into these kinds of figures, it's worth comparing Offerpad's offer to some local companies that buy houses for cash. While investors typically only offer 60–80% of a home's after repair value, they won't charge you service fees or closing costs. Plus, you'll know the final offer upfront instead of having to wait for an inspection.
📍Find competing cash offers near you
Offerpad fees and other costs
| 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 |
When you accept a cash offer from Offerpad, you’re responsible for the company's fees, plus all the usual closing costs associated with a home sale (title transfer taxes, attorney fees, etc.).
Offerpad’s 5% service fee is higher than the typical 2.5–3% commission charged by most listing agents, and the repair credits it requests also come at a steep price.
One recent home seller we spoke with, Bradley Carpenter of Kansas City, told us he initially accepted Offerpad's cash offer over Opendoor's but then turned down after he received a $40,000 repair quote. By contrast, Opendoor quoted him only $7,000 for repairs.
If you choose to back out of Offerpad’s cash deal outside of a 4-day approval window, you’ll be subject to a cancellation fee equal to 1% of the cash offer.
Sellers who choose to list with an Offerpad partner agent can expect to pay a traditional commission rate of about 6%, plus closing costs and any concessions made to the buyer.
Offerpad vs. competitors
Offerpad's main competitors include other iBuyers like Opendoor, "we buy houses" companies (also known as house flippers), and buy-before-you-sell services, all of which can give you a cash offer within days.
"We buy houses" companies are more willing to take on homes in poor condition, but they usually only pay around 70% of what they think they’ll net after flipping the home.
Home trade-in services help you tap into your home’s equity to purchase a new house before you sell — eliminating a lot of the headaches associated with timing a home sale and purchase.
If you want to quickly compare your best options, we recommend starting with an offers marketplace like Clever Offers, which can help you gather multiple competing offers from a variety of sources, including iBuyers, investors, and other cash buyers. Simply answer a few questions about your house, and they'll do everything they can to get you the best possible price on your timeline.
Here are a few of the top Offerpad competitors to consider while you evaluate your options.
» MORE: Want to find more cash buyers near you? Check out our guide to the best companies that buy houses for cash.
Offerpad vs. a realtor
Working with a real estate agent won’t be as fast as using an iBuyer like Offerpad or Opendoor, but listing with a realtor is usually the best way to get the most money for your home sale. A a good realtor can work with you to facilitate the sale on your timeline and help drive competition among buyers.
When it comes to fees, Offerpad’s 5% service charge is similar to the real estate commission you’d pay with a traditional listing. (Many home sellers pay 2.5–3% in listing agent fees and 2.5–3% in buyer’s agent fee concessions.) However, there are plenty of reputable low-commission brokerages that can sell your home for a lower commission — without sacrificing on service.
With an agent, you’ll also have more control over negotiations than when dealing with a company like Offerpad — which can result in more money in your pocket.
"You’re going to get the most money when you have people competing with each other, and that’s going to happen when you list on the MLS," says Nashville realtor Barry Richards. "But you can use that iBuyer’s offer as a baseline."
Offerpad reviews: What customers have to say
| Source | Average Rating | Review Count |
|---|---|---|
| BBB | 4.1 | 259 |
| 4.1 | 2,220 | |
| Reviews.io | 1.9 | 58 |
| Trustpilot | 4.4 | 619 |
| Yelp | 1.5 | 66 |
| Zillow | 4.6 | 24 |
| Weighted Average: | 4.1 | 3,246 |
Offerpad’s reviews have been historically positive, but more negative reviews have started to appear since 2023. The company has an average customer rating of 3,246 online reviews — which is slightly lower than other cash buyers we recommend.
Most positive reviews praise Offerpad for a smooth home-selling process and helpful real estate agents — particularly among customers who opt to list with Offerpad rather than accept their cash offer.
Negative reviews highlight low offers, costly home repair credits, and Offerpad’s tendency to cancel contracts without warning.
We also found that Offerpad has higher ratings in the Charlotte, NC, Orlando, FL, and Tampa, FL metros. In contrast, customers in St. Louis, MO, Dallas, TX, and Kansas City, KS have fewer positive reviews.
Here are some of the common themes we see from Offerpad’s customer reviews:
Positive themes from Offerpad reviews
✅ Helpful selling agents
Customers who opt for Offerpad’s listing service over accepting a cash offer tend to be happier with the company — many praise Offerpad’s partner listing agents for their communication and empathy.
Here’s what a Phoenix customer had to say about her experience with Offerpad’s agents:
I am extremely satisfied with the service Laura Bastien provided me in the sale of my home at 1215 E Kaler Dr. Her expertise, professionalism, determination, and dedication were so important to this successful sale, and I truly valued everything she brought to the experience.
– Tara F., Google Reviews
✅ Hassle-free selling experience
When customers are happy with the overall experience at Offerpad, they have great things to say about the overall experience.
I have worked with Offerpad three times. Two homes were a cash offer, and one was a traditional sale. I feel it’s the way to go when selling a home. No hassles, and the staff are first rate. Highly recommend using Offerpad.
– Phillip L., Google Reviews
Offerpad complaints
❌ Unreasonably high deductions for repairs
Offerpad requires customers to sign a purchase agreement for a cash offer before a third-party inspection. However, the iBuyer often lowers the offer after the inspection, leaving many customers upset.
This company is a joke. They will give you a good offer upfront. They will do an inspection. They will then wait a week or 10 days until the day before closing, and they will hit you with massive repair requests. Lowballing at its finest.
– Michael F., Google Reviews
❌ Lower-than-expected offers
Offerpad makes money by investing in properties and turning them for a profit, but many customers find their pricing to be well below their home’s value. Here’s how one Atlanta customer felt after receiving the first cash offer from Offerpad:
I would advise against collaborating with individuals who may potentially be scammers. It seems unreasonable for someone to offer 500k on a property valued at over 650k, and charging a 5% fee appears excessive. It may be wise to explore other options that offer more reasonable terms and ensure a fair deal.
– Jasmine J., Google Reviews
❌ Contracts canceled without warning
The fine print in Offerpad’s contract gives the iBuyer the right to cancel contracts at any time, but multiple customers have warned that the company often drops contracts after they are ready to move. One seller had this to say about the process:
We completed a contract with them. Had an inspection. They asked for their credits based on the fact we have a subdivision across the street thats been in process for over a year. We agreed because at that point we just needed this to finish because we were moving out of state and needed this done quickly. They offered for us to sign papers early and hold til closing which was 1 week early. Everything still all good. Then 4 days prior to closing we get a phone call that they are backing out of the purchase because the subdivision across the street is too much competition. 4 DAYS BEFORE CLOSING. We had already sold all our stuff. Quit our jobs. Put money down on a home that we were supposed to close on a week after this sale.
– Allison F, BBB
How does Offerpad work?
Offerpad advertises two primary services: a cash offer program and an open market listing program. The company also has home-buying options.
Selling to Offerpad
1. Fill out the online form
Offerpad’s cash offer process starts with a self-guided assessment of your home.The online form will prompt you to answer questions about your desired timeline and home features, including:
- Anticipated closing date
- Date the home was built
- Square footage
- Floorplan details
- Permitted and unpermitted additions
- Countertops and flooring
- Appliances
- Landscaping
Most of the information will be auto-filled by Offerpad’s database, but only you will know the answers to some questions. The process is pretty straightforward and should take just a few minutes.
2. Accept the cash offer
After reviewing your information, the Offerpad team will send you the initial cash offer to accept within 48 hours. The offer will include instructions on how to sign a legally binding purchase agreement through a third-party service.
If you aren’t happy with this initial offer, you can choose to back out of the deal before signing, or you can:
- Contact Offerpad’s service team to learn more about how they evaluated your home’s value
- Point out anything that Offerpad might have overlooked during the process to possibly raise the cash offer
However, there’s no guarantee that reaching out to Offerpad will change its valuation.
3. Complete the inspection
Offerpad will send a third-party home inspector your way within fifteen days of signing your purchase agreement. As the homeowner, you will need to be present for the inspection.
We recommend following along with the inspector and asking questions to see what home improvements are necessary. This may also prevent sticker shock after you receive the repair estimate.
4. Get an updated offer
After evaluating the inspection, Offerpad will send you a final offer reflecting its repair estimate and other fees it intends to deduct from your net home sale proceeds. The company will adjust its cash offer to match this repair estimate and could back out of the deal entirely if the information you provided differs from the inspector’s assessment.
If you can move forward in the process, there are three typical options to choose from. You can:
- Accept the reduced cost on the offer and sell your home as is
- Agree to have a licensed contractor perform the necessary improvements
- Cancel the purchase agreement with no penalty
Offerpad may also tell you that hiring a contractor isn’t a possibility if your home has too many major repairs.
5. Close the sale
You can pick a closing date anytime within a window of 8–90 days. You also get a 3-day grace period in case you need extra time to move out of your home after closing.
📝 Note: We talked to an Offerpad customer service representative, and you only have 4 days to accept the adjusted offer without incurring the 1% cancellation fee. This limited time makes it challenging to find suitable estimates from contractors or negotiate Offerpad’s repair estimate.
This information is not available in the terms of use, and we only learned about the timeline by contacting a representative.
Listing with Offerpad
1. Fill out the online form
Listing with Offerpad starts like the company’s cash offers. You’ll fill out a self-guided form that answers questions about your home's specifics and selling timeline.
From there, Offerpad will send you an estimated value for your home, which you can use as a backup cash offer if your home doesn’t sell within the 60-day limit.
2. Prepare for showings
After accepting Offerpad’s backup offer, the iBuyer will pair you with one of its local listing agents. You’ll also receive support with cleaning, landscaping, and handyman services to prep your home for showings.
Offerpad will also give you the option for an interest-free home repair loan to use for upgrades (this loan will be bundled in as a credit when you sell).
3. Sell your home (or take the cash offer)
Your listing agent will work with you to find a buyer within the 60-day timeline. If you find a buyer, the sale will happen like any other traditional home sale.
If you don’t find a buyer in 60 days or want to take your home off the market, you can accept the initial cash offer. You’ll sign the purchase agreement, deduct your repair loan, and wait for a third-party inspection (which may affect your final offer).
Buying a home through Offerpad
1. Qualify for financing
Offerpad requires potential homebuyers to prequalify for a mortgage before using its platform. You’ll self-report your financial information, including financial history, credit score, and current debt. From there, a lender will review your information and recommend potential home loans you may qualify for.
2. Browse homes on Offerpad’s platform
Offerpad’s online portal, similar to Zillow or Redfin, allows you to browse its available homes. The platform lets you filter home options by square footage, number of bedrooms/bathrooms, lot size, etc.
3. Use the app for showings
To see homes in person, Offerpad requires you to verify your personal information via its mobile app. Once you confirm your info, the app will send you instructions for accessing the home’s keys via a Bluetooth lockbox.
Home showings are available seven days a week from 6 a.m. to 8 p.m.
4. Make an offer
You can make an offer on a home with or without an agent when you find the right home on the Offerpad platform. If you choose to work with an agent, you’ll be responsible for all fees.
Offerpad may recommend financing through Offerpad Home Loans at this stage, but you can still shop around before choosing a mortgage from the company.
5. Close on your new home
When you buy through Offerpad, you can choose the most convenient closing date for you. This feature is beneficial if you need to coordinate your timeline between selling your old home and buying a new one.
What kinds of homes does Offerpad buy?
Offerpad buys single-family residential homes, condos, and townhomes in open, gated, or age-restricted communities. However, your home must meet some criteria to qualify, including:
✅ Built after 1950
✅ Under $1 million property value ($350k for age-restricted properties)
✅ No significant foundational, structural, or conditional damage
✅ Seller must have clear ownership of the property
Manufactured, prefabricated, or mobile homes are ineligible for instant cash offers, and your home must be within Offerpad’s service area.
You must also vacate the property within 3 days after closing, or Offerpad will cancel the sales contract.
Where is Offerpad available?
Offerpad's footprint has shrunk from nearly 30 major U.S. markets to just 17 metros across 10 states. As of May 2025, the markets Offerpad serves include:
- Arizona: Phoenix
- Florida: Jacksonville, Orlando, Tampa
- Georgia: Atlanta
- Indiana: Indianapolis
- Kansas: Kansas City
- Nevada: Las Vegas
- North Carolina: Charlotte, Raleigh
- Ohio: Columbus
- South Carolina: Columbia
- Texas: Austin, Dallas–Fort Worth, Houston, San Antonio
Bottom line: Is Offerpad right for you?
Offerpad’s cash offer is worth considering if:
- You need to sell your home fast.
- You don’t want to invest in your own repairs before selling.
- You want to avoid the traditional listing process, such as if you work from home and don’t want to be interrupted by showings.
But if getting top dollar is your goal, or your home’s in great shape, you’ll probably do better selling with an agent — preferably from a brokerage offer better-than-average commission rates.
Before you commit, it's smart to compare cash offers from multiple buyers. A service like Clever Offers can help you do just that — so you don’t leave money on the table.
Frequently asked questions
Who owns Offerpad?
Offerpad is a public company listed on the New York Stock Exchange. It was founded by Brian Bair, a former real estate agent, who continues to serve as its CEO.
How much does Offerpad pay for homes?
When selling to Offerpad or any iBuyer, you'll receive a lower offer than you likely would when selling on the open market. Your final cash offer depends on the repairs you'll need to make and Offerpad's risk assessment of your local housing market. Remember that you'll also have to pay service fees of 5%. Learn more about Offerpad fees.
Can I negotiate with Offerpad?
No, Offerpads offers are non-negotiable. However, if you feel that Offerpad made a mistake in determining the price for your home, you can contact its solutions advisor and request a free price re-evaluation.
Does Offerpad have hidden fees?
Offerpad is transparent about its fees. However, some sellers have been surprised by the company's 1% cancellation fee for sellers who cancel four days or more after receiving a final cash offer. Learn more about Offerpads fees.
Is Offerpad legit?
Yes, Offerpad is a legitimate business that buys homes for cash. Offerpad started in 2015 and grew quickly until 2022. Since then, its growth has slowed, which has resulted in lower offers and high repair deductions that can drain your profits. To sell quickly while still getting the best possible price, a low-commission real estate company may be the best choice.
Related reading
The Top iBuyer Companies, Ranked: Do you need to sell fast, and are you interested in working with an iBuyer? We spent months looking at online reviews for the leading iBuyers to develop this list of the best options. Find our picks now!
The Best Companies That Buy Houses for Cash: Cash buyers can help you in a pinch, especially when you need to sell your home fast or as-is. We cover seven cash buyers so you can decide which, if any, is right for you.
What Companies Offer the Lowest Real Estate Commission? Plenty of real estate companies promise to help you save on commission — but sometimes that means compromising on quality. We found the best low commission real estate companies.
Should You Sell Your Home to Opendoor? As the country’s leading iBuyer, Opendoor makes fast, all-cash offers on homes across the US. Read our in-depth review to learn how it works and what customers think of the service.
About our reviews
Our company reviews are powered by hundreds of hours of research. To evaluate and rank cash home-buying companies, we analyzed thousands of customer reviews, secret-shopped each company, and looked to publicly available data for indicators of offer quality, customer service, fees vs. value provided, trustworthiness, and more. Whenever possible, we also talked to customers, company reps, and industry professionals (such as real estate agents) who've had direct experience working with the brand.