HomeVestors Reviews: Everything You Must Know

HomeVestors is a network of real estate investors across the US. HomeVestors buy houses in any condition for cash. Then, they renovate them and re-sell them in the open market for profit.

What is HomeVestors?

HomeVestors, aka HomeVestors of America, is a nationwide network of real estate investors who buy homes for cash. But they’re more famously known for their trademarked slogan “We Buy Ugly Houses”. HomeVestors, short for “Home Investors”, acquire property in any condition from home sellers, make repairs to the property, and then either sell or rent it out.

Overview

Type of Company	Private
Type of Buyer	Cash buyer
Type of Properties They Buy	Homes, condos, multi-tenant buildings, duplexes, townhouses, and select commercial properties
Time to Offer	24-48 hours
Time to Close	As little as three weeks
Coverage	Over 800 franchises across the USA
Headquarters	Dallas, TX
Customer Reviews Rating	1.5 out of 5 stars (HomeVestors reviews)

How Does HomeVestors Work?

Getting a cash offer for your home from HomeVestors is very simple.

⭐ Step 1- Ask For a Free Consultation

Call HomeVestors at 972-761-0046 or submit an online inquiry form on their website. You’ll need to provide your contact information and your property address. A HomeVestors real estate specialist will then contact you and set up a free consultation.

⭐ Step 2- Receive a Firm Cash Offer

A HomeVestors property specialist will visit your property and review its condition. Based on their evaluation, HomeVestors will make you an all-cash offer. The HomeVestors specialist will also address your queries and walk you through the cash buying process. Remember, you’re not obligated to accept this offer.

⭐ Step 3- Close in as Little as 3 Weeks

Once you accept the cash offer, HomeVestors will initiate the paperwork. They close fast, in as little as three weeks. HomeVestors has no hidden fees, so you don’t need to worry about unforeseen expenses.

🚩 HomeVestors is known for lowball offers. Be sure to research your property’s market value before approaching HomeVestors.

How Much Does HomeVestors Pay For Houses?

HomeVestors make all-cash offers on distressed properties but at a heavily discounted rate. They pay 55% to 70% of your property’s “After Repair Value (ARV)” aka the property’s estimated market value post rehab. ARV is usually calculated as:

Your Estimated HomeVestors Offer = (After Repair Value x 0.7) – Estimated Cost to Rehab Your Property

If your property’s after repair value is $500,000, HomeVestors will offer you only $300,000. This assumes a rehab cost of $50,000. You will be accepting $200,000 less than your property’s market value for the convenience of an immediate cash offer from HomeVestors.

👉 Our Take: We recommend you collect offers from all local and national cash buyers by listing on the MLS via Houzeo.com.

Can You Negotiate With HomeVestors?

Yes, you can negotiate with HomeVestors. They give a firm cash offer, but they will consider your counter-offer if you’ve thoroughly researched the value of your property.

HomeVestors consider repairs while assessing your property. So, we recommend you estimate the expense and rundown of fixes that your property needs before approaching HomeVestors. That way, you can make a strong counter-offer.

HomeVestors Coverage

HomeVestors covers the following states in the USA:

Regions	States
Northeast	Connecticut, Maine, Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island, Vermont
Midwest	Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, Ohio, South Dakota, Wisconsin
South	Alabama, Delaware, Florida, Georgia, Kentucky, Louisiana, Maryland, Mississippi, North Carolina, Oklahoma, South Carolina, Tennessee, Texas, Virginia, West Virginia
West	Arizona, California, Colorado, Idaho, Montana, Nevada, New Mexico, Oregon, Utah, Washington

Benefits of HomeVestors

✅ They Simplify the Process

HomeVestors make the home selling process hassle-free and stress-free. Once you show interest in selling your property to them, they take over the inspection, assessment, documentation, and closing processes.

✅ They Close Fast

HomeVestors promise to close in as little as three weeks. A regular listing takes approximately 55 to 70 days to close, according to Zillow. A distressed property, on the other hand, may take much longer to exit the market. So, the difference is notable.

✅ They Make All-Cash Offers

HomeVestors inspect your property and make an all-cash offer to you after taking repairs into consideration. So, they can be an option for those in desperate need of cash.

✅ They Buy Property in Any Condition

No matter what condition your house is in or what history it comes with, HomeVestors will buy it as is. You don’t need to stage your home, tend to the termites or worry about foreclosure, roof damage, dangerous wiring, malfunctioning operation controls, blocked chimneys, or other home defects.

» Selling a House as is: A Step-By-Step Guide for Home Sellers

✅ You Don’t Have to Pay Closing & Service Charges

HomeVestors takes care of the seller’s closing costs. As a seller, you don’t need to pay for anything. You just need to be willing to give up on receiving a fair market price for your property.

✅ They Are Available Nationwide

One of the benefits of HomeVestors of America is that it has franchises across the USA, which makes it easily accessible.

Major Drawbacks of HomeVestors

⛔ Lowball Offers

The speed of the deal and the cash comes with a major drawback – you get pennies for a dollar.

Your home is appraised on the following factors:

• The current condition of the property
• Time and costs required for renovations and maintenance
• Real estate commissions required to sell the home

Ultimately, HomeVestors aim to make a profit. So, considering the above factors, you’re unlikely to receive a fair market value.

⛔ Lack of Representation

A realtor or an agent negotiates for your property on your behalf for a 3% average real estate agent commission. In the absence of a representative, you’ll likely find it challenging to get top dollar for your property.

Another way you can circumvent traditional intermediaries and still get the highest bid for your property is through For Sale By Owner websites.

⛔ Lack of Standard Service

Each HomeVestors office is a franchise. Local real estate investors independently own and run them. So, your experience with the company is determined entirely by how your local investor pilots you through the process.

⛔ Incessant Spamming

HomeVestors will spam you once you register with them. Many reviewers have complained that they were harassed with emails, calls, messages, postcards, or letters even after declining HomeVestors’ cash offers or opting out of their email list.

HomeVestors Reviews

There aren’t many online HomeVestors reviews, possibly because the company is not run by a central branch but by independent franchisees. In this case, people’s experience with HomeVestors varies from franchise to franchise. Some people, however, have left HomeVestors reviews on Better Business Bureau (BBB).

Here are some of the common HomeVestors complaints and praises that we found recurring in customer reviews:

✅ They Are Open to Negotiation

Natalie Thompson got an acceptable offer for her property from a HomeVestors franchisee after negotiations.

✅ They Make Selling Stress-free

Jennifer appreciated HomeVestors in her review for handling the paperwork, repairs, and other matters while she dealt with the loss of her parents.

⛔HomeVestors Will Spam You

The most common complaint in HomeVestors reviews is that HomeVestors inundate you with emails, calls, messages, postcards, or letters once you register with them. Most have complained about the spamming even after declining cash offers or opting out of their email list.

⛔ HomeVestors Make Lowball Offers

HomeVestors’ “lowball offer” displeased John and he dissed them for “trying to take advantage” of distressed owners.

⛔ HomeVestors May Overestimate Property Repair Costs

One client complained that the HomeVestors franchise he dealt with overestimated the cost of repairs for his property. They evaded his request to go over the list of repairs. He later found out that his property was “almost immediately put on the market”.

Should You Sell Your Home to HomeVestors?

Sometimes you just NEED to move your property quickly. But you should only consider selling a house to HomeVestors if:

📌 You Have a Distressed Property

If your home is on the brink of foreclosure because of neglected mortgage payments and you’re anxious to get rid of it quickly, HomeVestors can be a decent option.

📌 You Desperately Need Cash

Are you in a financial crisis or facing a difficult situation like divorce or a death in the family? If yes, then HomeVestors may be one of your options.

👉 IMPORTANT: Before you request a cash offer from HomeVestors, review the local housing sales data & determine the Fair Market Value (FMV) of your property.

📌 You Don’t Mind Losing Out on Money

If you’re opting for HomeVestors for any reason, be prepared to lose out on a sizable sum of money as mentioned earlier. They pay 55% to 70% of your property’s estimated market value. With a little more effort, you can sell your house fast for a fair price.

📌 You Don’t Want to Spend on Repairs

Do you have a property that is beyond repair, worn out, and neglected? If you don’t want to spend time and money on renovations, HomeVestors can step in to help.

Best Alternatives to HomeVestors

No matter what situation you’re in, we advise you to spend a few days looking over HomeVestors’ superior substitutes. This will ensure that you receive a fair market price for your home and prevent financial loss.

1. iBuyer Companies

iBuyers, short for instant buyers, are large real estate companies that buy homes for cash. iBuyers have a strict standard for buying homes. They acquire a home in a fairly good condition that they can list quickly. They too make an all-cash offer within 48 hours and can close within two weeks.

» iBuyer Reviews: Check out our 2023 rankings for all iBuyers companies in the U.S.

2. We Buy Houses For Cash Companies

“We buy houses for cash” companies are cash home buyers that function differently than iBuyers. These companies prioritize resale earnings by purchasing homes at a significant discount to the market value.

» “Cash for Homes” companies: Understand how they work and what are some of the best companies in this category.

“Cash for Homes” Companies Near You

3. Sell in the Open Market Without a Realtor

Working with HomeVestors means underselling your home. But thanks to technology, you can now unload your property quickly without any intermediaries.

Selling a house without a realtor is easier than ever, and the process is not as daunting as you may think. Many For Sale By Owner (FSBO) and Flat Fee MLS companies like Houzeo.com make the home-selling process a cakewalk. And they ensure top dollar for your property.

» How to Sell a House by Owner: Know the ins and outs of selling a house on your own in America.

Bottom Line: Should You Go For HomeVestors?

We do not recommend selling your home to a HomeVestors franchise. List on MLS via Houzeo.com to expose your property to local and national cash home buyers, and help you get top dollar for your sale.

» Sell My House Fast For Cash: Find out how you can get top dollar for your property and still close fast.

FAQs

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