You want to sell your home in Massachusetts fast and you’ve heard of the benefits of selling to an iBuyer, why not try it, right? Who wouldn’t if they knew they could get their home off their hands in a short time?
There are risks associated with selling to an iBuyer that many don’t realize. Before you get caught up in the hype of being able to sell your home fast – learn the risks selling to an iBuyer causes.
Lowball Offers
Let’s start with the most important factor – the selling price. You list your home for a certain price and hope to get a bid somewhere near it. With an iBuyer, that won’t be the case. iBuyer is an automated system that comes up with your home value. iBuyers then place a bid based on that information, which may or may not be accurate.
While iBuyers offer the benefits of buying the home sight unseen and without requiring you to make changes, the cash flow is often the most important part of selling the home. It’s not unusual to receive bids that are as much as 10% less than you’re asking. Make sure you are aware of this before entertaining iBuyer bids.
No Room for Negotiations
While negotiating the sales price and terms of the sale are nerve-wracking, it’s an essential part of the process, right? iBuyers don’t negotiate. They send you an offer and that’s it – take it or leave it. Don’t succumb to this stress. If you don’t like the offer, don’t take it.
iBuyers aren’t there physically. They don’t know the area or the trends in the area. They don’t know the atmosphere or why your home may be priced the way it is. They just send out blanket offers – if you take it great. If you don’t, they keep sending out offers to others throughout the Massachusetts area until someone takes it.
You’ll Pay a Lot of Fees
If you thought selling your home with a realtor was expensive, just wait. Selling to an iBuyer costs you up to 11.5% of the sales price. That’s on top of already getting a lowball offer. Now you’re really walking away with a lot less money than you anticipated.
Again, convenience comes at a cost, but is it worth it? There are several other ways to sell your home in Massachusetts fast without worrying about losing as much as 21% of the sale to fees and lowball offers.
You Don’t Know Who you are Selling To
Some home sellers want to know who is buying their home. After all, you are selling a piece of you. iBuyers buy from behind a screen. They aren’t coming in and viewing your home. They aren’t getting to know you and they certainly aren’t writing you a letter telling you how much your home would mean to them.
If you want to get personal with the person buying your home, it’s not going to happen with an iBuyer. They don’t involve any emotion in the process and they certainly won’t take the time to find out why you listed the home for the price you did. It doesn’t matter if you completely redid the entire home that far surpasses anything in the area – they bid one price and that’s it.
iBuyers Profit off Your Home
Perhaps the most frustrating thing about iBuyers is the profit THEY make on your home. They come in and lowball your offer. Once they own it, they turn around and flip it for a profit. They have algorithms that tell them exactly what price they need to buy the home in order to make the profit, but they do it in such a short amount of time. What if that profit could be yours instead?
The risks of selling to iBuyers in Massachusetts often may not be worth it. If you’re in a hurry to sell your home, consider cash home buyers in the area that offer much better bids and terms for the sale. You’ll get that personal touch, have the convenience of selling your home fast, and still get a decent price that won’t make you feel like you were robbed of your home’s potential.