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Edited by Jessica Johansen
Written by Michael Warford
Edited by Jessica Johansen
Offerpad reviews from customers | Offerpad competitors | How it works | Offerpad fees | FAQ
Offerpad is an iBuyer that makes all-cash offers on homes and can close in weeks.
Offerpad reviews from real customers are generally positive. The company has a 4/5 rating across 2,440 reviews. Many customers have good things to say about its customer service and quick, easy process.
However, like all iBuyers, Offerpad is making lower offers than it did in the past. Its offers are usually below what homes can sell for on the open market with a real estate agent.
But you can still use a guaranteed offer from an iBuyer as backup in case selling on the open market doesn’t work out.
As Barry Richards, Principal Broker at EXIT Realty Garden Gate Team in Springfield, Tennessee, says, “You’re going to get the most money when you have people compete with each other, and that’s going to happen when you list … [with a realtor]. But you can use that iBuyer’s offer as a baseline.”
If you’re considering an offer from Offerpad, you should compare it with what other iBuyers and cash buyers are willing to pay for your home. By shopping around, you’re more likely to get the best offer on the timeline that works for you.
💰 Compare offers from top iBuyers and other cash buyers near you!
What is Offerpad?
Offerpad is the second largest iBuyer in the US, after Opendoor.
Like Opendoor, Offerpad uses technology to make cash offers on homes and close quickly. This allows home sellers to avoid traditional hassles like showings, negotiations with buyers, and uncertain timelines.
Offerpad’s 6% service fee is higher than Opendoor’s 5%. But Offerpad offers perks that Opendoor doesn’t, like free local moves and the option to stay for free up to three days after closing.
Offerpad started small in 2015 and raised $260 million in investment funds in 2017. The company grew quickly until 2022. Since then, its growth has slowed due to a lukewarm real estate market, but it says it plans to start expanding again in the latter half of 2023. Offerpad currently operates in 22 markets across 14 states.
| ⭐ Offerpad reviews | 4/5 stars |
| 🤝 Service fee | 6% |
| ⏱️ Time to close | As soon as 8 days* |
| 📍 Locations | 22 markets in 14 states |
| 🏡 Eligible homes |
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| 🔎 Best for | People who want to sell fast and don’t mind making less than what they’d get with a realtor |
Top Offerpad competitors
| Company | Our Rating | Service Fee | Time to Close | |
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Best overall
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5%
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14–60 days
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6%
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Varies
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2%
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None
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3 weeks
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Clever Offers: Best way to compare multiple options
Comparing offers is the best way to get a fair one, which is why we recommend Clever Offers.
Unlike Offerpad, Clever Offers doesn’t buy houses directly. Instead, it gets you offers from multiple cash buyers and iBuyers in your area. That way, you can compare legit offers and choose the best one for your financial goals and timeline.
You also get to talk to a real estate agent, who gives you an estimate of your home’s worth. This information can help you know which offer is best and give you more leverage when negotiating with cash buyers.
Opendoor: Best alternative iBuyer
Opendoor is the largest iBuyer in the country. It operates in 54 markets, about twice as many as Offerpad.
Overall, Opendoor’s offers are similar to Offerpad’s. But there are some key differences between the companies:
- Opendoor’s 5% service fee is lower than Offerpad’s 6%.
- Opendoor’s extended-stay program is longer (14 days vs. 3 days), but it costs extra.
- It doesn’t offer as many perks as Offerpad, like free local moves and cash advances for renovations.
- There’s no option to fund your next home purchase with Opendoor.
- It doesn’t charge a cancellation fee (Offerpad charges 1%).
» COMPARE: Offerpad vs. Opendoor
Knock: Good for potentially selling for more money
Knock isn’t an iBuyer. Instead, it’s a home trade-in service, which means it advances you a loan so you can buy a new home before you sell your old one.
Once you buy your new home, you list your old home on the open market and pay off the initial loan through the proceeds of that sale. If your house doesn’t sell after six months, Knock buys your home for cash.
These are the main differences between Knock and Offerpad:
- With Knock, you may make more money on your sale since you list on the open market.
- Knock’s realtor and service fees total around 8%, while Offerpad’s service fee is 6%.
- Knock allows you to quickly buy a new house, but selling with Knock may take longer than with Offerpad.
- You have to wait six months before taking Knock’s cash offer.
Knock is a good option if you want to see how much your home could get on the open market, but you also want the security of a backup cash offer. However, its high fees can really lessen your final profits.
» READ: Our full Knock review
Orchard: Decent option for testing the open market
Orchard is another home trade-in service that allows you to use your home’s equity so you can buy a new house before you sell your current one. The company helps you list your home on the open market, and if it doesn’t sell within 120 days, you can take Orchard’s cash offer.
Here’s how Orchard and Offerpad compare:
- You’re more likely to get more money for your house with Orchard.
- Orchard’s total fees can add up to 9–16% vs. Offerpad’s 6% service fee.
- Offerpad gives you a fast cash offer, but Orchard gives you one only after you list for 120 days.
Orchard can help you maximize your sale price by listing on the open market, and it gives you the security of a backup cash offer. But its high fees reduce how much you’ll make overall, and its final cash offer will likely be much less than fair market value.
» READ: Our full Orchard review
We Buy Ugly Houses: Worth considering if your home is hard to sell
We Buy Ugly Houses makes fast cash offers on homes in almost any condition. Like Offerpad, it can close quickly, often within weeks of the initial offer.
But We Buy Ugly Houses differs from Offerpad in these ways:
- It makes significantly lower cash offers.
- It doesn’t charge any service fees, while Offerpad charges 6%.
- It buys properties as is, including distressed homes, while Offerpad only buys homes in good condition.
We Buy Ugly Houses is a decent option if you need to sell quickly and your home isn’t in good enough condition to sell to an iBuyer. But you should compare its offer to other cash buyers to make sure you get the best deal for your situation.
» MORE: Companies that buy houses for cash
Offerpad vs. a real estate agent
| What you pay with Offerpad | What you pay with a realtor | |||||
|---|---|---|---|---|---|---|
| 💰 Fees | 6% service fee | $18,000 | 4–6% commission | $12,000–18,000 | ||
| 📎 Closing costs | 1–3% | $3,000–9,000 | 1–3% | $3,000–9,000 | ||
| 🔨 Repair credits | 1–2% | $3,000–6,000 | 1–2% | $3,000–6,000 | ||
| TOTAL | 8–10% | $24,000–30,000 | 6–11% | $18,000–33,000 | ||
If you want to maximize your profits, selling on the open market with an agent is often your best bet. Even though a fast sale isn’t guaranteed, a good agent can help you create a strategy for selling on your timeline.
You can save on realtor commission by using a service like Clever Real Estate. Clever negotiates 1.5% listing fees with full-service real estate agents from top brokerages. It matches you with multiple agents for free, and you can choose to work with one of those agents, request more matches, or walk away.
» Compare top agents, save thousands on your home sale.
How does Offerpad work?
Offerpad has two services for selling your home: Offerpad Express and Offerpad Flex. It also sells homes to buyers and offers home financing through Offerpad Mortgage. You can also bundle these services with its Sell + Buy + Loan program.
Get a fast cash offer with Offerpad Express
Offerpad Express is the company’s main iBuying service. The company gives you a quick cash offer and asks you to choose a closing date between 8 and 60 days out. This service costs 6% of the home’s sale price.
Offerpad Express is worth it if:
- Selling fast is more important than getting top dollar for your home
- Your home is in relatively good condition and won’t need major repairs
- You want to avoid the hassle of preparing your home for showings
Test the market with Offerpad Flex
Offerpad Flex allows you to list your home with Offerpad first. If your home doesn’t sell within 60 days, you can accept the company’s cash offer.
Offerpad Flex is worth it if:
- You have time to see how your home does on the open market
- You want to maximize your selling price
- You’re willing to stage your home and make minor repairs to get it ready for market
- You want the security of a backup cash offer
Bundle services with Sell + Buy + Loan
Sell + Buy + Loan is Offerpad’s bundled service. You can use it if you want to sell with Offerpad using either Offerpad Express or Offerpad Flex and buy your new house with an Offerpad agent. You can also use Offerpad Mortgage to finance your new home purchase.
Bundling Offerpad’s services may make you eligible for discounts, but we recommend shopping around for mortgages to see what other lenders can provide.
Buy from Offerpad
You can buy a home directly from Offerpad through its website. The process is similar to buying a house the traditional way. There’s no inherent advantage to buying from Offerpad compared to buying from a typical homeowner.
Some customers report that Offerpad doesn’t always do a great job repairing homes. For example, one buyer claimed that Offerpad “promised multiple repairs would be completed on time but they were not or the workmanship was shoddy.”
If you’re considering buying a house from Offerpad, we suggest touring it in person with a real estate agent and getting an inspection before making an offer. That way, you have the best chance of spotting issues early on.
Where does Offerpad operate?
Offerpad is available in 22 markets in Arizona, California, Colorado, Florida, Georgia, Indiana, Kansas, Missouri, Nevada, North Carolina, Ohio, South Carolina, Tennessee, and Texas.
Since Offerpad’s service areas are limited, your home may not qualify for a cash offer. If that’s the case, other iBuyers may be operating near you. For example, Opendoor is currently available in 54 cities nationwide.
What types of homes does Offerpad buy?
Offerpad won’t purchase your home unless it meets the following purchase criteria.
| Description | Criteria |
|---|---|
| 📍 Location | Within one of the 22 markets Offerpad serves |
| 🏠 Home types | Single-family residential homes, including condos and townhomes |
| 💰 Value | Worth less than $1 million (depending on market) |
| 🌳 Lot size | On less than 1 acre of land |
| 📆 Year built | Built after 1960 |
If your home has problems with the title or significant structural issues like foundation problems, Offerpad won’t purchase it.
How much does Offerpad pay?
Offerpad pays less than what you’d get on the open market with a real estate agent but more than what traditional cash buyers pay. Like other iBuyers, Offerpad used to offer closer to fair market value, but it has tightened its spending on home purchases since 2022.
While your initial offer may seem attractive, some customers say Offerpad significantly reduced their offer after inspecting their home. For example, this Reddit user claimed that Offerpad “had their inspection and made up … issues to lower their offer price by like 20%.”
If you think Offerpad’s final offer is too low, you can reject it and walk away.
Offerpad fees
Using Offerpad Express costs you about 8–10% of the home’s sale price in service fees and closing costs. This is pretty close to the 6–11% you’d pay with a traditional real estate agent. Offerpad also charges a 1% cancellation fee if you back out after accepting its offer.
You might save a little on commission using Offerpad Express, but the cost is very close to what you’d pay using a traditional real estate agent and selling on the open market.
Offerpad reviews
Most Offerpad reviews from customers are positive, with an average rating of 4 out of 5 stars across 2,440 reviews.
| Review site | Average rating | Total reviews |
|---|---|---|
| Reviews.io | 2/5 | 23 |
| Trustpilot | 3.7/5 | 178 |
| Better Business Bureau | 4.1/5 | 263 |
| Yelp | 1.5/5 | 59 |
| Zillow | 4.6/5 | 24 |
We didn’t include Offerpad reviews from Sitejabber because many are from realtors and customers who didn’t complete a transaction.
Sellers like Offerpad’s customer service
We found many positive comments from sellers about the company’s accessible reps. Reviewers mention they were happy to talk with an actual human and not an automated service.
As this customer said, “I recently had a transaction with Offerpad and it went so smoothly! They were easy to get a hold of and negotiate with.” Similarly, another customer said, “I always used realtors before and it was fine, but the personal customer service that Offerpad gave was exceptional!”
Customers like Offerpad’s speed
Offerpad claims it can close quickly, and reviewers’ comments indicate that claim is true. Reviewers praise Offerpad’s fast turnarounds for the initial offer, inspection, and closing.
For example, this customer was able to close extremely fast with Offerpad. They said, “This was the easiest process from start to finish. Within 3 weeks we had the inspection and closing with no issues at all. The offer was exactly what we anticipated and we had our funds wired the same day as the closing.”
Customers like that Offerpad is honest and keeps its promises
Offerpad promises a smooth, quick sale, and many reviewers mention that the service works as advertised. Comments use language like “no surprises” and “great from start to finish.”
For instance, this reviewer said, “My experience selling our home to Offerpad was super easy and they did everything they advertised they would do, right down to the free move!”
Another person claimed, “Offerpad makes the home sale process simple, with outlined expectations, easy forms and knowledgeable people.”
Buyers complain about Offerpad’s poor repairs
A common complaint we found for all iBuyers, including Offerpad, is that their repairs are subpar. This includes repairs that are largely cosmetic and mask deeper issues.
For example, one person complained that after buying from Offerpad, their “kitchen is barely usable and so far $3,500 in repairs and counting just from their shoddy work.” Several other reviewers had expensive repair bills after buying an Offerpad home.
Reviewers complain about reduced sale prices
Some customers complain about steep reductions in the offer price after Offerpad’s inspection. Other reviewers think the repairs were overpriced, further cutting into their sale price.
For example, one customer thought Offerpad’s estimated repairs were extremely high. They said, “[Offerpad] made a good offer and then asked for 25K in repairs, which included asking for new appliances and fresh paint inside!”
We recommend researching typical repair costs and getting a second opinion from an independent inspector. These measures can help you avoid overpaying for repairs or purchasing a home with major defects.
Is Offerpad right for you?
Pros
- You don’t need to clean, declutter, paint, or renovate your home before selling.
- You receive a cash offer within 24 hours.
- You can close in as little as 8 days or up to 60 days.
- You can get a free moving service within 50 miles.
Cons
- You pay a 6% service fee.
- Your offer will likely be less than fair market value.
- Repair deductions can reduce your sale proceeds by thousands.
- There’s little to no room to negotiate the sale price or repair costs.
Offerpad promises a fast, frictionless sale — and it’s true that eligible sellers can close in as little as eight days.
However, Offerpad’s 1% cancellation fee and limited locations make it less competitive than other leading iBuyers, like Opendoor.
What many sellers don’t realize is that homes in competitive markets can still sell fast with a traditional sale. An experienced local agent can discuss pricing and marketing strategies that could help the right buyers find your home quickly.
If selling with an agent is the right choice for your sale, you can save thousands by selling with a low-commission company like Clever Real Estate.
Clever pre-negotiates affordable listing fees with full-service agents from top brokers like Keller Williams and RE/MAX. Compared with a typical sale, the average seller who lists with Clever saves thousands!
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 as of 2023.
Does Offerpad offer good prices on 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 proceeds depend on two factors: the repairs you'll need to make and Offerpad's risk assessment of your local housing market. Keep in mind that you'll also have to pay service fees of 5%. Learn more about Offerpad fees.
How does Offerpad work?
Offerpad's simple home-buying process involves an online application, initial cash offer, and on-site inspection. However, sellers have only a narrow window to back out after receiving the final offer before facing a 1% cancellation fee. Learn more about how Offerpad works.
Can I negotiate with Offerpad?
No, Offerpad’s offers are non-negotiable. However, if you feel that Offerpad made a mistake in determining the price for your home, you can contact their solutions advisor and request a free price re-evaluation.
Does Offerpad have hidden fees?
Offerpad is transparent about most of its fees. However, it does have a hidden fee of 1% for sellers who cancel after four days of receiving a final cash offer. Learn more about Offerpad’s fees.
Is Offerpad legit?
Yes, Offerpad is a legitimate business that buys homes for cash. However, low offer prices and expensive repairs can drain your profits. If you want 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 6 iBuyer Companies, Ranked: Need to sell fast and 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!
7 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 Fees? 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 U.S. Read our in-depth review to learn how it works and what customers think of the service.
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