Home Flippers Need To Know About Zillow Offers
The online real estate marketplace Zillow has just launched a new feature called “Zillow Offers,” formerly known as Zillow Instant Offers, aimed at helping seemingly impatient sellers quickly offload their homes. Zillow Offers is a faster way to sell a property and it comes with a free comparative market analysis (CMA) from a local real estate agent. Here’s how it works:
- You answer some simple questions about your property.
- You let Zillow offers know if major changes have been made that aren’t in the public record.
- Zillow sends you an offer within two business days.
- You have three days to accept Zillow Offers’ offer.
- Zillow will order an in-person inspection which may alter the offer. You can deny their new offer even if you accepted the first offer.
This is gaining traction, so our home flipping clients should know that this exists. A smart home flipper will surely find a way to make Zillow Offers work for them.
Right now, Zillow Offers (formerly Zillow Instant Offers) is only available to our clients in select zip codes within the following metro areas:
Previously, with other services, when you want to sell a home fast, you could end up having to sell at a steep discount. Zillow Offers seems to only shave about one to two percent off the typical selling price of a home, according to The New York Times.
“Zillow essentially acknowledges that it doesn’t expect to make much money per home on its instant-offers program. Instead, it sees selling homes as a way to generate business for its mortgage-lending arm, which it developed after acquiring Mortgage Lenders of America last year, and for other services. It is the rough equivalent of the car dealership that sells cars at a loss but makes money by offering financing.”
In the future, Zillow hopes to have a home’s Zestimate become a liver offer for every property in the county. That will take work, but Zillow reps believe that’s where the company is headed.
Are You Looking for a Hard Money Loan to Flip a House Or Buy A Rental Property?
Paces Funding is a hard money lender offering hard money loans to purchase and renovate non-owner occupied residential and commercial properties throughout the Atlanta, Nashville, Florida, or the North and South Carolina metropolitan areas. Our application process for hard money loans is easy. Just fill out this very simple online form and you will be contacted shortly. Unlike other lenders, the window between applying and funding is very small. We have funded properties in as a little as one day, but typically funding hard money loans takes about seven to ten days.
Call us at 404-814-1644 or contact us online to find out whether you might qualify for this type of funding. In the meantime, check to ensure that you meet our loan criteria. Our loan amounts can be up to 65 percent of the after-repaired value of the collateral—and if you use the loan for renovation or construction, the loan amount can be based on the collateral’s improved value.