3.8
Editor's Rating (312 Reviews)2.8
User Rating (9 Reviews)Offerpad is an iBuyer company in America. They extend instant cash offers using their propriety predictive market analysis technology. However, Offerpad has strict eligibility criteria.
Pros
Cons
Offerpad is an iBuyer that makes their initial cash offer within 24 hours. They make their final offer after inspection and you get to choose a closing date within 90 days. They also provide free move within 50 miles.
However, the company pays only 70% to 80% of your property’s Fair Market Value. Additionally, repair and closing costs are deducted from their final offer. They also have a 5% service fee along with a 1% cancellation charge if you back out of the agreement.
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✍️ Editor’s Take: We recommend you opt for cash buyer marketplaces. They connect you with nationwide investors and buyers, increasing your chances of getting multiple cash offers. This way, you can choose the best offer and close the deal faster.
Key Takeaways
- Offerpad is a legitimate iBuyer based in Chandler, Arizona.
- You get an initial cash offer within 24 hours and can choose your own closing date.
- They offer free local moving assistance within 50 miles.
- Their final offer is typically 70% to 80% of the property’s fair market value, with a 5% service fee.
- Their eligibility criteria are strict, as they purchase only selected types of homes.
- They provide a free, no-obligation process with no showings and a free local move.
Is Offerpad Legit?
Yes, Offerpad is a legit iBuyer service based in Chandler, Arizona. Brian Bair and Jerry Coleman founded the company in 2015. They launched their Agent Partnership Program in 2020. You can also list your properties with Offerpad’s agents.
The company has a strict eligibility criteria and purchases selected types of homes. In the past couple of years, the number of properties they have acquired has reduced drastically.
| Year | Houses Acquired |
| 2024 (First three quarters) | 2059 |
| 2023 | 2812 |
| 2022 | 9034 |
| 2021 | 9023 |
The exact reason for this drop in number is not known. However, according to the company’s financial reports, they suffered a massive loss of $148 million in 2022. Here are some more insights into the company.
Will Offerpad Go Bankrupt in 2025? Watch the Video to Know More
What Type of Properties Does Offerpad Buy?
Here is a list of properties that are qualified and not qualified under Offerpad’s eligibility criteria.
| Eligible Properties | Ineligible Properties |
| 🟩 Single-family residential homes | ⭕ Manufactured, prefabricated or mobile homes |
| 🟩 Condos | ⭕ Properties built before 1950 |
| 🟩 Town homes | ⭕ Homes on lots larger than 2 acres |
| 🟩 Homes in gated communities | ⭕ Houses valued at more than $1 million (depending upon market) |
| 🟩 Homes in age-restricted communities | ⭕ Homes with significant foundational, structural, or other conditional issues |
| – | ⭕ Properties where the seller does not have clear ownership (no double escrow) |
How Does Offerpad Work?
Offerpad’s business model is based on flipping houses. They purchase houses at discounted cash offers and relist them after repairs/ renovations. Here’s how you can sell your house to them:
- Request an Offer: Fill out a form on offerpad.com. You need to enter your property details and attach photos.
- Evaluate Your Cash Offer: You get an offer within 24 hours of submitting the form. You need to accept or reject the offer within 7 days.
- Sign the Purchase Agreement: If you decide to accept the offer, you have to sign an online purchase agreement through HelloSign.
- Prepare for Inspection: The home inspection is scheduled after you accept the offer. You will get an overview of the specifications to help you make preparations.
- Receive the Final Offer: You get the final cash offer within 5 days of inspection along with the repair cost, if any. The offer expires in 7 days.
- Close the Sale: Choose a closing date within 90 days if you accept the final offer. You must vacate your house by the closing date.
Note: If you need more time, you can use their Extended Stay Program. With this facility, you can stay for up to 3 days after your closing date at no extra charge.
Additional Offerpad Services
Here are some additional services Offerpad provides.
- Offerpad Brokerage: You can work with an Offerpad agent to get all the services. Like a traditional agent, you will receive all the assistance with sale and closing.
- Offerpad Flex: Through this service, Offerpad funds repairs and improvements so that you can attract better offers. You have to refund the amount at the closing. The service covers paint jobs, fixtures, and countertops.
- Offerpad Home Loans: Finance your new home with the Offerpad mortgage solution. You get step-by-step assistance right from the application process till closing. You can use this loan to finance single-family homes, residential units, town homes, etc.
Offerpad Coverage
The company provides their services in 14 states across the nation.
How Much Does Offerpad Pay?
Offerpad usually gives 70% to 80% of a home’s FMV. However, the initial offer is often reduced after your home inspection. The 5% service charges, repair fees, and closing costs are deducted from the final offer.
Yes, Offerpad charges a service fee from home sellers. This is usually 5% of the home sale price but can also be higher. The fee covers the convenience of a quick cash sale. It also helps sellers avoid the hassles of listing on the open market.
No. Offerpad’s service fee does not cover closing costs. Sellers must pay these separately. Closing costs usually range from 1% to 3% of the sale price and may include title insurance, escrow fees, taxes, HOA transfers, and other customary fees.
What Do Customers Say About Offerpad?
Some Offerpad reviews praise their quick cash offers and flexible closing timelines. However, the Offerpad complaints mention low-ball cash offers and last-minute back-outs.
The company has a 3.9-star rating on Better Business Bureau based on 171 reviews. On Google, they have a 3.8-star rating based on 312 reviews. Additionally, they hold a 3.5-star rating on Trustpilot based on 195 reviews.
Offerpad Reviews: Customer Praises
✅ Reasonable offer and flexible move-out
Jason Bulloch shared a positive experience with Offerpad. They found selling their home easier than before. The offer was reasonable, and the process was streamlined. They appreciated being able to move out on their chosen date, with free moving assistance.
I would use them again. Selling my current home through Offerpad was a lot easier than my prior home selling experience. The offer I got was reasonable and the process was pretty streamlined. I was able to move out on the date I chose and they moved us for free.
Source: Trustpilot
✅ Smooth process and quick sale
Lynnette Hall had a positive experience with Offerpad. They wanted a quick and easy sale. The team was helpful and guided them well through the process. Everything went smoothly. They would recommend Offerpad for anyone seeking a fast sale and close.
We really wanted to sell our house quickly so we chose Offerpad. They were very helpful and guided us thru the process well. Everything went very smoothly. I would definitely recommend them if you want a quick sale and close. It was a great experience.
Source: Trustpilot
Offerpad Reviews: Customer Complaints
❌ Misleading offers and disappointing outcome
Marina Llorens had a negative experience with Offerpad. They called the company dishonest and misleading. The initial offer range they received was $506K–$613K, but the final offer dropped to $505K. What seemed smooth at first became frustrating later.
You deserve not even an half an star.. Absolutely dishonest company!! And what a joke nothing but click bait… got and initial offer from the range of 506k to 613k and then they came back with a 505k.. it’s a three year old house.. What was supposed to be a smooth and stress-free process quickly turned into a frustrating and disappointing ordeal.
Source: Google
❌ Unfair low offer and wasted effort
Marcus M was dissatisfied with their experience with Offerpad. They received an offer $85K below market value. The offer was over 30% less than similar homes in the area. They felt the offer was unfair for an updated, near-perfect home.
Offer 85k below market. Not worth your time as a regular seller. They made an offer 85k less than market 30+ percent less than value for my neighborhood. After doing everything scheduling the inspection listening to their sales pitch to get a horrific lowball. On an updated near perfect home.. Don’t waste your time. Their market is people about to hit foreclose and desperate. Not us.
Source: Trustpilot
Offerpad Pros and Cons
Companies like Offerpad help you sell your house fast but you may get low ball cash offers. Here are their pros and cons to help you make an informed decision.
👍 Pros
- Instant Cash Offer: You submit your property details online and get the initial offer within 24 hours.
- Flexible Closing Timeline: If you accept the final offer after the Offerpad inspection, you can choose any closing date within 90 days.
- Extend Stay Program: You can extend your stay for up to 3 days after the closing date without any rent.
- Free Local Move: If you move to a place within 50 miles of the house you sold them, they help you move for free.
👎 Cons
- Lowball Cash Offer: As per Offerpad reviews, they offer around 70% to 80% of your property’s Fair Market Value which includes several deductible charges.
- High Additional Fees: They have a hefty 5% service fee which is deducted from the final offer, along with the repair charges and closing costs.
- Offerpad Cancellation Fee: If you back out from the transaction 4 days before closing, you must pay a 1% cancellation fee.
- Limited Coverage: Offerpad provides services only in 14 states.
Offerpad Competitors
Here are the top competitors to Offerpad that you can consider:
1. Offerpad vs. Clever Offers
Offerpad is a cash home buyer that makes instant offers. They purchase homes in as-is condition and allow sellers to choose a flexible closing date. However, they have strict eligibility criteria, and their offers are often lower than market value.
Clever Offers connects sellers with multiple cash buyers, allowing comparison of offers. They typically generate 3 to 5 competitive offers per listing. Sellers can choose the best offer and close on their preferred timeline.
2. Offerpad vs. Houzeo
Offerpad provides quick and easy cash offers. However, you lose out on your property’s 100% value. Also, you can’t negotiate with them.
On the other hand, a cash buyer marketplace like Houzeo can get you multiple cash offers. You can negotiate the offers with the buyers and opt for the highest value.
3. Offerpad vs. HomeVestors
HomeVestors is a cash house buyer that helps you sell all types of properties. So you can sell your house as is. They operate in almost all the states of USA. However, they offer only 70% of your home’s after-repair value and deduct the repair costs from it.
‘We Buy Houses for Cash’ Companies Near You
There are other “We Buy Houses for cash” companies like Offerpad. You can request offers from multiple cash companies and pick the one that suits you the best.
Other Options You Should Consider
- List on MLS: You can opt for a Flat Fee MLS company like Houzeo. This gives you maximum exposure and you don’t have to spend thousands on agent’s commission.
- Sell to Cash Home Buyers: Individual cash home buyers make all-cash offers, usually within 24 to 48 hours. They also let you skip listing on the MLS.
- Sell FSBO: For Sale By Owner websites help you list and sell a house yourself. So, you can save on agent commissions. You also get more control over the selling process.
Should I Sell to Offerpad?
Offerpad is a popular iBuyer and provides several benefits like fast cash offers, flexible closing date, and free local move. However, customers complain about their underpriced offers and last-minute price reduction.
For a better deal, consider selling your home with a cash buyer marketplace. This gives your property wide exposure and lets you compare offers from multiple cash buyers. So increase your chances of getting a competitive price closer to your home’s actual market value.
Eager to Know How Houzeo Works?
Frequently Asked Questions About Offerpad Reviews
What is Offerpad?
Offerpad in a popular iBuyer that provides cash offers within 24 hours. They operate in 14 states while their headquarter is in Chandler, Arizona. Offerpad's cash offers are generally around 70% to 80% of your home's Fair Market Value.
Does Offerpad buy mobile homes?
No, Offerpad doesn't buy mobile homes. The company has a strict eligibility criteria and buys only certain types of properties. They also don't buy prefabricated or manufactured homes.
Can you negotiate with Offerpad?
Offerpad offers their final sale price after inspection which includes the estimated repair or renovation costs of your house. You can choose to make the repairs on your own. However, there is no other way to negotiate the offer with them.
Is Offerpad legit?
Yes, Offerpad is a legit iBuyer that provides cash offers within a day. Brian Bair and Jerry Coleman founded the company in 2015. They also provide an option to list your property with their agents.
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Reviews
(9 Reviews)
Korryn Hyde
Verified Reviewer
Terrible company and service
Verified Reviewer
9th Nov 2023
Company is absolutely horrible. They do not offer fair prices, and hey are demanding, and don’t do enough work for you. For that I could have hired a realtor and at least worked out with someone personally. They nickel and dime you for thousands so it’s important to be assertive. Best proactive would be to not use them and put them out of business. Go with a realtor,offerpad doesn’t offer this easy worry dree process.
DAVE G
Verified Reviewer
4th Nov 2023
I cannot recommend the use of Opendoor unless you are desperate to get out of your house. I did not take their offer because: – The purchase price was way below market value – They wanted to take an additional 5% off the top of the purchase price – They wanted to charge additional fees – The escrow company they were going to use is owned by Opendoor. This is a “no-no” in any financial dealings.
Jordan Pothier
Verified Reviewer
3rd Nov 2023
Offerpad is the best ibuyer program we have ever worked with!
Sterling G Leavitt
Verified Reviewer
3rd Nov 2023
Overall another “service” born out of the Idea that home selling can be as easy as going to the store. They offer a very quick and fluid process that can get a homeowner paid with an investor-level offer of 10 to 15% below the potential market price of a home. In this regard, they are nothing special
Eric J. Johnson
Verified Reviewer
3rd Nov 2023
I just closed my first deal with Offerpad as the seller. I heard good & bad from other agents about them. I was thoroughly impressed with my experienced! They were great to work with and very timely in communications! I’d happily do another deal with them!
Teri W
Verified Reviewer
3rd Nov 2023
The issue is the right MLS listing. It is great it is listed but if you do not list it on multiple local MLS listing you wont get any hits.
ROLAND MORITO
Verified Reviewer
3rd Nov 2023
They low ball you
shawna calvert
Verified Reviewer
3rd Nov 2023
I have helped buyers purchase offerpad homes on several occasions. The company is easy to schedule with and responsive while in the field. No complaints here
14th Feb 2025
We bought a home from Offerpad on 1-29-2024, we had an inspection on the home we wanted and there were a few things wrong with the home and a few things seriously wrong, in our CONTRACT there were things( serious) that they were to fix before our purchase, they provided fraudulent receipts, that these things were repaired, we are honest people who thought the same of them, upon moving into our home, we discovered not 1 of the said repairs were done, 1 being a gas valve that should of been fixed, when our Realtor noticed them no repairs were made, they REFUSED to do them as we we had a few boxes in the house, these repairs should have been done,we have already put out $6,000 and are looking at another $5,000 to get this gas valve fixed properly, a Man’s word means NOTHING with this Company, we keep true to everything they had asked for before buying the home MONEY wise, this Company is SHAMEFUL, one of the promises was to sit the toilet on the ring correctly, they didn’t even do that. They LIED and CHEATED us Korryn Hyde Columbia TN I gave 1 star only to be able to submit this.