iBuyer Opendoor is now making cash-backed offers available to customers, the company announced on Wednesday.

That cash advantage could help buyers double their chances of winning in a bidding war. According to Opendoor’s data, buyers who made offers with the program had an average acceptance rate that was 50 percent higher than offers made without cash backing.

Through the new program, buyers will be able to present a seller with an offer backed by Opendoor’s cash reserves, giving the seller more confidence that the deal is on solid footing, without having to wait in limbo on things like financing, appraisal or home sale contingencies.

To begin the process, buyers will need to get pre-qualified with Opendoor Home Loans or another mortgage company. Then, the brokerage arm of the company will pair the buyer with a real estate professional in their market to help them present the offer to the seller.

Tom Willerer

“With this new offering, we’ve made cash-backed offers more accessible, enabling customers to compete in hot markets, and in a radically simpler way,” Opendoor Chief Product Officer Tom Willerer wrote in a blog post. “Buying a home with Opendoor is managed fully online and through our app, which is the preference of 75 percent of homebuyers we surveyed. But, the added benefit is that you have a team of experts behind you every step of the way.”

The company’s cash-backed offers are currently available in Atlanta, Georgia; Charlotte and Raleigh-Durham, North Carolina; Dallas-Fort Worth, Austin, San Antonio, and Houston, Texas; Orlando, Florida; Phoenix and Tucson, Arizona; and Riverside and Los Angeles, California. Cash-backed offers will be made available in Sacramento, California as well, later in March 2021.

Opendoor, which was founded in 2014, began publicly trading on the stock market in December. In February, it launched two new markets in San Diego and Asheville.

Email Lillian Dickerson

iBuyers | technology
Show Comments Hide Comments

Comments

Sign up for Inman’s Morning Headlines
What you need to know to start your day with all the latest industry developments
By submitting your email address, you agree to receive marketing emails from Inman.
Success!
Thank you for subscribing to Morning Headlines.
Back to top
×
Log in
If you created your account with Google or Facebook
Don't have an account?
Forgot your password?
No Problem

Simply enter the email address you used to create your account and click "Reset Password". You will receive additional instructions via email.

Forgot your username? If so please contact customer support at (510) 658-9252

Password Reset Confirmation

Password Reset Instructions have been sent to

Subscribe to The Weekender
Get the week's leading headlines delivered straight to your inbox.
Top headlines from around the real estate industry. Breaking news as it happens.
15 stories covering tech, special reports, video and opinion.
Unique features from hacker profiles to portal watch and video interviews.
Unique features from hacker profiles to portal watch and video interviews.
It looks like you’re already a Select Member!
To subscribe to exclusive newsletters, visit your email preferences in the account settings.
Up-to-the-minute news and interviews in your inbox, ticket discounts for Inman events and more
1-Step CheckoutPay with a credit card
By continuing, you agree to Inman’s Terms of Use and Privacy Policy.

You will be charged . Your subscription will automatically renew for on . For more details on our payment terms and how to cancel, click here.

Interested in a group subscription?
Finish setting up your subscription