Redfin has expanded its iBuyer program, RedfinNow, to San Antonio, according to an announcement Thursday. The Seattle-based online brokerage launched RedfinNow in late 2018, testing the all-cash offer program in San Diego and Orange County before expanding to Los Angeles in Jan. 2019.
Since then, Redfin has also added Inland Empire, Austin, Dallas and Denver to its iBuyer list.
“Consumers want choices, and with Redfin, sellers can assess all their options and choose the service that best meets their needs,” said Redfin chief growth officer Adam Wiener in a press release. “For homeowners who want to put the most money in their pocket from selling their home, Redfin’s full-service, low-fee listing product fits the bill.”
With RedfinNow, sellers can receive an all-cash offer from Redfin within 48 hours and close in as little as one week. Homeowners are able to choose their move-out date, and they aren’t required to do any prep work, private showings, or open houses, according to an explainer provided by the company.
Redfin charges a 7 percent service fee for RedfinNow, compared to the 1.5 percent fee for Redfin’s full-listing service program for sellers who want to list their homes on the open market with a Redfin agent. Sellers who use Redfin’s flagship program also pay the buyer’s agent a commission of 2.5 to 3 percent.
This is the second new market Redfin has added this summer, with the first being Austin, signaling the company’s confidence in its ability to successfully exist in the highly-competitive iBuyer market despite some initial struggles.
In February, Redfin CEO Glenn Kelman noted most buyers bypassed RedfinNow in favor of its full-service listing program, saying it’s “tricky business” figuring out an offer price that benefits both Redfin and the seller.
On average, Redfin currently purchases about 36 homes a month, but the company plans to expand to a number of new markets by year’s end.