Dealing with repairs is stressful, and the questions are endless: should you replace your aging roof, or sell your home “as is”? Do you need to invest in fresh paint and new carpet to get an offer? Will you really make a return remodeling your kitchen?
Opendoor buys and sells thousands of homes per month. We’ve simplified the repair process so home sellers have more options.
Here’s what we’ll cover:
- How repairs work in a traditional sale
- The Opendoor home condition assessment
- Our philosophy on repairs
How selling to Opendoor compares to a traditional sale explained in two minutes
How repairs work in a traditional sale
When you sell your home the traditional way, you’ll usually do two rounds of repairs. The first round happens before you put your home on the market—you’ll invest in repairs to get your home “show ready” for open houses and showings.
Round 1: Home preparation
This typically involves fixing visible defects that might deter a buyer from making an offer. Some home sellers even opt to pay for a home inspection before listing. Others take on larger renovation and remodeling projects in hopes of increasing their home value; however, not all home improvement projects are created equal.
Round 2: Buyer home inspection
The second round of repairs happens after you’re in contract with a buyer. Your contract will likely include a “repair contingency,” or a written agreement between you and your buyer on how any needed repairs will be handled. The terms of the contingency vary, but in general, the buyer will have a specified amount of time to conduct a home inspection.
In the traditional process, if repair requests arise from the buyer’s inspection, you have three options:
- Make the repairs yourself
- Give the buyer a credit to cover the costs
- Refuse to do the repairs
If you refuse the repairs, most contracts will allow the buyer to walk away from the sale without a penalty. This is why there’s often pressure for sellers to compromise because it means they’ll have wasted not only their time but all of the effort, and costs, that went into getting an offer.
Keep in mind, buyers are often suspicious of homes that have long days on market or get re-listed after a deal fall through. This can signal that the home needs work.
The Opendoor home condition assessment
When you sell to Opendoor, you only have to deal with repairs once because you get the certainty of an all-cash offer. You don’t need to spend time and money worrying about the fresh paint, new carpet, and curb appeal you’d normally invest in without the guarantee of an offer.
Here’s how our repair process gives you more options, more control, and allows you to skip the work:
Convenience and control
We conduct a free assessment for every home we purchase. When it’s convenient for you, we’ll send a team of professionals to verify your home’s condition.
“We aren’t there to uncover every deficiency in your home to lower the offer. We are there to make sure the house is safe, and functional. This is the standard we provide to the next family that moves in. The things we’re looking for are likely the same things you look for when buying your next home.”
Following the assessment, usually 4-6 days after, we send you a report detailing each needed repair and an associated cost. You’ll have the opportunity to discuss the report with your Opendoor Home Advisor directly. If you agree, you’ll sign a document called a Repair Addendum which you’ll find in your seller dashboard.
Alternatively, if you’re selling to us and you’re working with an agent, they’ll be your point-of-contact. We respect the agent-client agreement when working with listing agents so reach out to your agent with any questions.
More repair options
After you sign off on any repairs, you have the option to do some or all of the work needed. For example, let’s say a few of the repair items are covered under your HOA or homeowner’s insurance policy. You could choose to handle those repairs yourself and then let us handle the rest. In that scenario, you’d work with your Home Advisor to submit documentation for the repairs; all of this can be done online.
You have the option to do some or all of the repairs needed. Or let us do the work after you move.
We don’t have a preference for how you handle repairs but if you let us handle the work, you can generally move sooner because the repair work doesn’t need to be completed before you move out. Additionally, it can be cheaper if we do the work because we have partnerships with local vendors, and we can pass on wholesale pricing.
No risk or obligation
Just as requesting an offer from Opendoor is free without any obligation so is our repair assessment. If you get your assessment results back and for any reason decide you are not interested in covering the repair costs, you can cancel the contract at this point without any penalty, costs, or obligation.
Our philosophy on repairs
Unlike a flipper who makes money buying homes “as is” and renovating heavily to mark up the home price, we buy homes in good condition and make minor updates. Our business model is to make a competitive offer and charge a fee for our service, not to buy low and sell high.
If you’ve ever sold a home, then you know some buyers are more reasonable than others when negotiating repairs. Our philosophy is to ask to repair anything that is broken, inoperable, or that can impact the safety, structure, or functionality of the home.
What we don’t ask for are repairs that are considered upgrades. For example, we’d ask for a repair to replace a cracked kitchen countertop. We would not ask for a repair to replace a Formica kitchen countertop with granite because that’s improving your home, not restoring it’s condition. Here’s more on our criteria for repairs.
Getting started is easy
Start by requesting an offer, the process is simple and takes about ten minutes. After you tell us about your home online, our goal is to have a competitive, all-cash offer in your inbox within 24 hours.
If you like the offer, you can then schedule the home condition assessment when it’s convenient for you. You’ll also have the opportunity to speak with a dedicated Opendoor Home Advisor one-on-one. They can answer any questions about your offer, choosing your close date, and repairs.
To date, we’ve helped over 45,000 customers get through repairs and move on to their next chapter.
Get an offer from Opendoor
Avoid listings, showings, and months of uncertainty. Choose your close date and do all of the paperwork online.
By Joseph Gomez