Sundae is an online marketplace that connects home sellers with real estate investors who purchase properties for cash.
When a homeowner wants to sell quickly, without the hassle of dealing with repairs or showings, it’s hard to beat the speed and convenience of a cash buyer.
However, most cash buyers — including Sundae Real Estate — pay well below market value for homes and rarely negotiate. To get a higher offer, you have to look elsewhere.
If your home is in good condition, one way to sell your home for more money is by selling to an iBuyer, a company that pays cash for homes that qualify.
But the best way to get full market value for your property is by listing your home on the open market with the help of a real estate agent.
Our friends at Clever can help you sort through your options by matching you with a local agent who can help you compare your options.
Sundae, at a glance
|💰 Service Fees||None for sellers|
|⏱️ Time to Close||As little as 10 days|
|📍 Locations||26 cities|
|🏠 Eligible Homes||Homes that are distressed, in poor condition, or that need repairs and upgrades|
|📓 Customer Reviews||4.6 out of 5 across 473 reviews|
What is Sundae?
Sundae provides a marketplace for homeowners to sell their properties to real estate investors “as is” — no cleaning, repairs, or showings required.
Adopting the slogan, “homebuyers with heart,” Sundae has built a reputation for helping homeowners get the best possible outcome when selling a home that needs significant repairs or cosmetic updates.
When you sell your home using Sundae, you don’t have to worry about communicating with investors. Sundae lists and markets your property on their platform, then collects bids from potential buyers. If you decide to accept an offer, Sundae will continue to lead communication through the rest of the transaction.
There are also no fees or closing costs for home sellers using Sundae — the buyers pay for all expenses, including cleaning and repairs.
Since launching in 2018, Sundae has expanded to 26 markets and grown a network of around 21,600 property investors. Talk show host Dr. Phil signed on as one of the company’s promotional partners in 2022.
Sundae vs. other cash buyers
Compared with other cash buyers, which typically include national “We Buy Houses” companies and smaller-scale local investors, Sundae’s business model is fairly unique.
|Sundae||Cash Buyer Companies|
|Facilitates MULTIPLE cash offers, allowing sellers to choose||Make a SINGLE cash offer, which sellers can take or leave|
|Lists and markets homes in any condition||Purchase homes in any condition|
|National brand with positive reviews||Local and nationwide operators with mixed reviews|
|No service fees||No service fees, but some operators may have hidden costs|
|Requires a walkthrough and inspection before listing, plus a three-day bidding period before you can review offers||Typically make offers within 24–48 hours|
|10–60 days window, determined in purchase agreement||7–21 day closing window, determined in purchase agreement|
Most “We Buy Houses” companies make a direct cash offer on your home, typically below — and sometimes significantly below — fair market value. There isn’t usually room for negotiation, so you have to shop around for the highest offer.
With Sundae, multiple investors compete for your home within a single platform, allowing you to get a competitive off-market price without paying any fees or closing costs.
By contrast, Sundae’s process takes somewhat longer because the company requires a walk-through, inspection, and initial title search before listing your home on its marketplace.
Once listed, investors have three days to bid on your home. On the fourth day, you can choose a winner from the three highest offers.
Sundae vs. iBuyers
Another way to sell your house quickly for cash is an iBuyer. iBuyers make near-instant cash offers on homes that only need minor repairs. They have stricter criteria for buying homes, but pay much closer to market value than cash buyers.
If you’re considering an iBuyer, our friends at Clever can help by matching you with a top local agent who can request offers on your behalf.
Should you use Sundae to sell your house?
If you need a fast cash offer (e.g, you’re facing foreclosure, getting a divorce, can’t afford necessary repairs), Sundae is worth considering.
Sundae’s multiple bids may result in a higher price than you’d get from a company that buys houses directly for cash, and transactions are typically faster than the open market.
However, the key trade-off for this convenience is that investors will still typically want to pay less than your home’s fair market value.
As a general rule, investors offer a max of 70% of the home’s anticipated resale value — and they deduct the costs they anticipate putting into repairs.
If getting the best possible sale price is your top priority, consider working with a great real estate agent who knows your local market and has a plan of attack for when you need to sell your house fast.
Sundae pros and cons
- Receive multiple offers. Sundae’s marketplace allows multiple investors to bid on your property. According to Sundae, the average seller receives around 10 bids, with a price range averaging around $71,000 between the lowest and highest offers.
- Skip repairs. Since Sundae’s marketplace is built for investors prepared to buy homes as-is, you don’t have to worry about making any changes to your home or cleaning it out.
- Get a cash advance. Sundae provides a $10,000 cash advance to sellers to help with any expenses before or during closing.
- Pay zero fees. In a traditional home sale, sellers pay both agents’ commissions and closing costs like escrow and title fees. With Sundae, all fees and closing costs are handled by the investor buying your home.
- Be protected. To join Sundae’s network, investors have to verify their identities and pay a $20,000 deposit for the home they bid on, ensuring you don’t get swindled.
- Offers may be less than fair market value. The offers you receive through Sundae will likely be less than the fair market value of your home (which is typical across most cash buyer companies).
- Locations are limited. Sundae’s service area is currently limited to major metro areas, primarily in the West and Southeastern parts of the U.S.
Sundae is available to sellers in select markets across the following states: CA, CO, FL, GA, SC, TN, TX, UT, WA.
If you don’t live in one of Sundae’s services areas — and need cash right away — you might want to look into alternative cash buyers that operate nationwide.
How does Sundae work?
Step 1: Submit your information
To get started with Sundae, home sellers will first provide information about their home online or by phone.
A Sundae representative will tell you how the process works, learn more about your property, and ask about your goals for selling.
If the service is a good match, Sundae will have you sign a Marketplace Agreement and schedule an appointment for a local “Market Expert” to view your home, typically within one week of submitting your information.
Step 2: Meet with a representative
When a Sundae team member visits your home, they’ll do a video walk-through, take photos, and collect a 3D tour and virtual map of your house.
Based on the walk-through evaluation, you’ll get an estimate of what Sundae thinks investors will offer for your home.. The offer range considers your home’s after-repair value, estimated construction costs, holding and resale costs, and comparable sales in your area.
If the offer range is acceptable, you’ll schedule a home inspection and sign an agreement allowing Sundae to list your home on its marketplace.
Step 3: Complete a home inspection and sign disclosures
Before listing your home, Sundae will schedule a third-party home inspection to evaluate its overall condition and note any necessary repairs. As a seller, you’ll also need to fill out documents disclosing any issues, such as lead paint or prior water damage, that you are aware of with the home.
Your home’s inspection report and seller’s disclosures will be posted with your property profile on Sundae’s marketplace.
Step 4: Go live on Sundae’s marketplace
Once the home inspection, initial title reports, and photos are prepared, your home will go live on Sundae’s marketplace. Investors will have four days to place their bids.
Sellers can also choose to host a showing so investors can see the inside of the home — though it’s not required.
Step 5: Review cash offers
Your home will be listed on Sundae’s marketplace for three business days. On the fourth day, you’ll get to review the three highest bids from investors.
There’s no obligation to accept one of these bids — in fact, Sundae allows home sellers to back out any time during this process until you sign the actual purchase agreement with the investor.
Step 6: Close the transaction
Once you sign a purchase agreement with the investor, you’ll be eligible to receive a $10,000 cash advance from Sundae to help with any expenses that come up before or during closing.
Depending on your timeline, you can request a closing date within as little as 10 days, or up to 60 days.
There are no fees for homeowners who list and sell their properties through Sundae. Buyers are on the hook for ALL transaction costs, including:
- 5–7% buyer’s fee, which varies by property value and market
- Closings costs (including those usually paid by the seller)
- Expenses related to repairs, cleaning, and removal of personal items left by the seller
Because buyers assume all of the costs of doing business on Sundae’s marketplace, they also tend to offer less than market value for homes. When deciding how much to offer on your home, they’ll weigh the potential profit against the time, money, and effort it will take to buy and resell it.
Can you trust home buyers on Sundae?
Before real estate investors can access Sundae’s marketplace, they must go through an onboarding process that involves providing contact details and verifying their identity. However, unlike some auction platforms, Sundae does not require investors to provide proof of funds or past purchases before their account is activated.
Once an investor’s account is activated, they can bid on available homes. If an investor’s offer is among the top three bids on a property, they’re required to fill out a purchase agreement, which Sundae sends to the seller for review.
Finally, Sundae’s investors must abide by the company’s rules and processes. Any investor who attempts to reach out to a seller or drive by their property without permission will be dismissed from the platform.
Sundae reviews and complaints
Sundae’s online reviews are generally positive.
Across several review sites, Sundae has an average of 4.6 out 5 from a total of 473 reviews.
Sundae is accredited by the Better Business Bureau and currently has an “A” rating.
|Review site||Average Rating||Total Reviews|
|Better Business Bureau Reviews||3.79||47|
✅ Positive Experiences
Convenient service and better offers than competitors
Thomas K. says Sundae’s offers were more competitive than offers he received from other cash buyer companies.
Close to market value after eliminating closing costs and commissions
Many reviewers appreciate Sundae’s speed, convenience, and lack of fees. They also note competitive offers well above what they’d hoped to receive on a distressed or outdated home.
Smooth process with no surprises
A repeated theme across Sundae reviews is the company’s excellent customer service. Sellers appreciate the simple process and transparent communication throughout the transaction.
Aggressive marketing tactics
Many of Sundae’s negative reviews cite frustrations with Sundae’s marketing tactics, which include sending unsolicited home purchase requests to homeowners with no intention to sell.
Disappointingly low offers
A few Sundae reviewers noted disappointing offers that were hundreds of thousands of dollars off from the estimate provided by their designated “market expert.”
Houses are flipped for significantly more just weeks later
Others were shocked at how low their offers seemed compared with the resale values investors got just a few weeks later — sometimes as much as $100,000 or more than what the buyer had paid on Sundae.
Listing with Sundae vs. selling with an agent
In general, listing your home on the open market will lead to the highest possible offer — sometimes above fair market value, if your property is in a seller’s market.
If you have some flexibility with your timeline or if your home is in decent condition, listing on the open market is usually the best course of action — especially considering that the median sale price of homes sold on the open market is a full 20% higher than those sold to an investor.
However, if your property is in very poor condition or you urgently need cash, Sundae offers homeowners in its service areas the best chance for a competitive off-market offer. With Sundae, you’ll also be able to avoid making repairs, receive an offer with no contingencies, and close on YOUR timeline.
That said, top listing agents often have plans for getting homes sold quickly and for prices well above what you could get from an investor. And a good agent will tell you if they don’t think they’ll be able to net you more than what you’d get from a cash buy.
Before you sell one of your biggest assets, it’s worth exploring your options.
Our friends at Clever can introduce you to pre-vetted real estate agents with strong reputations for selling homes quickly in your area. You can interview as many agents as you’d like to find the right fit for your needs.
Best of all, sellers who list with Clever pay just $3,000 or 1% in listing fees — helping you save thousands AND ensuring you’ll get the best possible deal.
FAQs about Sundae
What is Sundae?
Launched in 2018, Sundae is a San Francisco-based startup that provides a platform for homeowners to sell their distressed properties to real estate investors. Sundae's network currently has around 2,600 pre-qualified investors that use its marketplace to place bids on rundown homes.
Does Sundae have good reviews?
Sundae's online reviews are generally positive. Sundae is accredited by the Better Business Bureau and currently has an "A+" rating. The company maintains a rating of 4.6/5 stars across multiple review sites and hundreds of customer reviews.
Where does Sundae operate?
Sundae operates in select markets in California, Colorado, Florida, Georgia, South Carolina, Tennessee, Texas, Utah, and Washington. If you don't live in one of Sundae's services areas — and need cash right away — you might want to look into alternative cash buyers that operate nationwide.
Does Sundae vet its investors?
Before real estate investors can place bids on Sundae's marketplace, they have to provide basic contact information and verify their identity — though the process is not as thorough as the vetting required by other real estate bidding platforms.
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