Orchard Homes Reviews: Pros, Cons, and Alternatives (2024)

Orchard is a traditional brokerage in 3 states of the US. They collaborate with local real estate agents to offer full service to homeowners. Orchard charges the conventional 6% commission for their services.

Additionally, Orchard’s Move First program allows you to buy a new home before you sell your old one. They lend you up to 90% of your home’s equity with no interest. Upon moving, you can sell your old home and repay the equity to Orchard.

While the program is appealing, they don’t have anything unique to offer for their brokerage services. You have no opportunity to save on agent commissions. You can find multiple companies with similar services for a fraction of this price.

✍️ Editor’s Take: We recommend listing with Houzeo over Orchard. With Houzeo, you can save up to 2.5% on commissions. Compare Orchard vs. Houzeo.

Is Orchard Homes Legit?

Yes, Orchard is a legitimate real estate company. They are a BBB-accredited company with an A+ rating. The company was founded in 2017 and was formerly known as Perch. Orchard operates under the leadership of co-founder and CEO Court Cunningham.

Orchard is headquartered in New York but doesn’t offer services there. They are available in select markets. They have partnered with 100+ licensed agents to provide listing services.

How Does Orchard Homes Work?

Orchard Homes facilitates a seamless online process. First, Orchard provides a free home valuation on their website. For this, Orchard’s agent will take a 30-minute assessment. After that, their home advisor estimates the value of your property.

Orchard will then connect you with an agent. The agent will assist you based on the service you choose with Orchard.

List With Orchard

If you only want to sell with Orchard, your agent will collaborate with you to finalize the home’s value. They list your home on the MLS, oversee showings, and assist in negotiations. Orchard’s agent guides you through the closing process as well.

Move First

If you opt for Orchard’s Move First program, follow these steps:

• Get Your Home’s Equity: You can access up to 90% of your home’s equity with 0% interest. You can use this amount to make down payments and pay closing costs.
• Buy Your New Home: Orchard gives you a sale guarantee. So, you can extend a non-contingent cash offer to buy your new home. This makes your offer more appealing to potential sellers.
• Sell Your Old Home: Once you move to the new home, Orchard will list your old one on the MLS. They represent you as a listing agent and assist you with negotiations and closing.
• Repay the Equity: Once your home is sold, you pay the equity back to Orchard. You also pay agent commissions, closing costs, repair costs, and service fees.

Houses Eligible for the Move First Program

To qualify for Move First, the property you’re selling needs to be a single-family home constructed between 1920 and 2021. Orchard’s valuation of your home must also fall within $200,000 to $1,500,000.

You can also use this program if your home is a condominium and valued by Orchard between $200,000 and $750,000.

👉 Orchard Concierge Service: Orchard also offers a concierge. They collaborate with third-party vendors for repairs, simplifying the process for you.

Where Does Orchard Homes Operate?

Orchard’s services are available in the following markets:

States	Cities
Colorado	Denver
Georgia	Atlanta
Texas	Austin, Dallas-Fort Worth, Houston, San Antonio

Orchard Fees

If you sell with Orchard in the traditional method, you’ll have to pay a 6% agent commission. Additionally, you are also responsible for the seller-related closing costs. This will add another 3% to 4% to your overall expenses.

On the other hand, if you opt for their Move First program, you are charged a 1.9% service fee along with a 6% commission. You also pay the closing costs for both transactions.

While Orchard offers convenience, you miss out on the opportunity to save on commissions.

💲 Competitive Service Fees: Orchard’s service fee for the Move First program is slightly lower than their competitors.

Orchard Real Estate Reviews

Orchard.com has a 4.4 out of 5-star rating on Trustpilot based on 602 reviews. They also have a 3.1 out of 5-star rating based on 24 reviews on Better Business Bureau.

Positive Customer Reviews

✅ Bob had a successful and swift home sale through Orchard. He sold above the asking price and closed within 24 days.

✅ Lucky was thrilled with Orchard. He had 29 showings within a few days which led to a swift sale process.

Negative Customer Reviews

❌ Steve was highly disappointed with Orchard. He highlighted that Orchard’s guaranteed offer was later reduced by $20,000, making him feel deceived.

❌ Steven felt disregarded by Orchard. He felt his agent was unresponsive and wasn’t helpful at crucial stages of the transaction.

Orchard Homes: Pros and Cons

Let’s evaluate the pros and cons of Orchard Homes:

👍 Pros

• Free Home Value Estimation: Orchard provides you with a free home evaluation on their website.
• Sale Guarantee: If your home remains unsold for 120 days, Orchard will buy it at a pre-negotiated price.
• Non-contingent Offers: Orchard’s Move First program helps you make a non-contingent cash offer to buy a new home.
• Hassle-Free Repairs: Orchard’s concierge service takes care of the necessary repairs of your home.

👎 Cons

• No Saving Opportunity: Orchard charges the same old 6% commission to buy and sell a home. You don’t have any opportunity to save on real estate commissions.
• Additional Expense: Orchard charges a 1.9% service fee on top of the commissions and closing costs for their Move First program.
• Limited Coverage: Orchard caters to a total of 6 markets in 3 states.

Competitors of Orchard Homes

» Jump to: Orchard vs. Houzeo | Orchard vs. Knock Real Estate | Orchard vs. Homeward

1. Orchard vs. Houzeo

Houzeo doesn’t offer a service comparable to Orchard’s Move First program. However, if your goal is solely to sell your home, then Houzeo is a better choice than Orchard.

Orchard follows a traditional home-selling approach and charges the conventional 6%. Whereas, Houzeo is focused on providing For Sale By Owner services that lead to hefty savings on commissions.

Houzeo’s Gold Plan costs $429 + 0.5% to list on the MLS. Houzeo’s virtual agents help you with market analysis and contract reviews. Moreover, you can manage listings, showings, and offers easily on Houzeo’s web portal and mobile app.

2. Orchard vs. Knock Real Estate

Orchard’s ‘Move First’ program offers the same services as Knock’s Home Swap program. They help you buy your new home before you sell. Knock charges you 2% service fees, while Orchard charges 1.9%.

Orchard lends you up to 90% of your home’s equity. But, you can borrow a maximum of $650,000. Orchard limits the duration for which your house can remain on the market to 120 days, whereas Knock offers a six-month window.

We recommend you reach out to both companies. Compare the equity and offers they provide, and proceed with one that suits your requirements better.

3. Orchard vs. Homeward

Homeward charges 2.4% convenience fees for their Buy Before You Sell program. In this program, Homeward purchases a new property for full cash before you sell your existing one. You move into the newly purchased home and sell the old one.

Homeward is more expensive than Orchard. However, Homeward offers additional savings if you bundle their mortgage and title services with this program. So, you can shop around and see which company best fits your requirements.

Other Options You Should Consider

• Sell For Sale By Owner: For Sale By Owner websites help you list and sell a house yourself, saving thousands in agent commissions. Around one-third of home buyers pay in cash. Hence, selling FSBO gives you an opportunity to get most of your home’s equity.
• Sell to an iBuyer: iBuyers purchase homes needing minimal repairs in as-is condition. They can be a great option if you want to sell your house fast. However, iBuyers have stricter criteria as compared to cash buyers.
• Sell through a Realtor: Traditional realtors list your property on the MLS and help you at every step of home selling. However, you have to pay 3% of the home’s sale price to avail of their services.
• Sell through Discount Realtors: Discount real estate brokers offer services at affordable rates. Their commission varies between 0.5% and 2%. However, they offset discounts by offering limited services.

Is Orchard Homes Worth It?

Orchard is a reputable brokerage that helps home sellers move swiftly. Their Move First program makes buying and selling stress-free. However, when you use their brokerage services, you sell the traditional way.

Selling with Orchard will cost 6% in agent commissions. You can save significantly with FSBO and Flat Fee MLS listing companies. Houzeo, for example, charges $429 + 0.5% for their FSBO services.

Houzeo lists your property on the MLS and assists you at crucial stages like market analysis and contract reviews. Moreover, their stellar tech and 5-star customer support make your home selling a breeze!

» Houzeo Reviews: Check out why 7,000+ home sellers have rated Houzeo 4.9 stars out of 5.

 

Frequently Asked Questions

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