Knock, a real estate technology company that facilitates a buy-now, sell-later financing model called Home Swap, has announced that it’s now operating in the Chicago metropolitan market, its 50th market.
Home Swap enables sellers to make noncontingent “like-cash” offers on a new home before entering the market to sell their existing home.
Funds are offered via a market-competitive mortgage and “interest-free bridge loan, which covers the down payment on the new home, home prep and up to six months of mortgage payments on the old house,” according to the company’s website.
Knock offers presale home maintenance and renovations through Knock’s Home Prep Concierge program, which provides access to an approved network of contractors and oversees the payment and management of client-approved work until closing.
“A majority of today’s home sellers are also home buyers, so while they are benefiting from record home prices and quick sales, they face unprecedented competition and uncertainty when it comes to buying their next home,” said Knock co-founder and CEO Sean Black, in the press release.
“The Knock Home Swap provides an end-to-end fully digital solution that empowers homeowners to unlock the equity in their current house so they can buy and settle into their new dream home before listing.”
In conjunction with entering Chicago, Knock announced the formal launch of the Knock Closing Guarantee. The promise states that clients will have an on-time closing within 30 days or receive $5,000, provided terms and conditions are met.
Entry into the Chicago market puts Knock into seven of the nation’s largest 10 real estate markets.
The company partners with a few select brokerages upon ramp-up in each new market, but certification is open to all agents regardless of affiliation. Learning how to facilitate a Knock Home Swap typically takes less than half a day.
Century 21 Affiliated, HomeSmart Realty Group, John Greene Realtor, Kale Realty, Keller Williams Momentum, Keller Williams ONEChicago, Keller Williams Preferred Realty, RE/MAX Mi Casa, RE/MAX Next and Worth Clark Realty will be first to offer Home Swaps to clients in the Chicago area.
Scott Parker, sales manager and VP of sales and marketing for John Greene Realtor in Chicago, said Home Swap provides sellers with freedom of choice and a new way to shop the market with confidence.
“The Knock Home Swap gives our clients more freedom, flexibility, and a leg up in a fast-moving market,” he said. “There is a lot of innovation taking place in the real estate industry. Our filter for innovation is to look for products and services that match our company’s mission statement: to provide an elevated real estate experience that leads to lifelong relationships.”
Additionally, Knock provides a backup offer on the seller’s previous house should it not sell within six months. According to the company, 99 percent of Knock homes sell in 90 days or less, with 83 percent selling in 30 days or less.
In total, Knock Home Swap is available through 230 real estate brokerage firms with 97,000 agents in approximately 4,500 ZIP codes, according to the company. The company has started work toward a public offering.
Have a technology product you would like to discuss? Email Craig Rowe
Craig C. Rowe started in commercial real estate at the dawn of the dot-com boom, helping an array of commercial real estate companies fortify their online presence and analyze internal software decisions. He now helps agents with technology decisions and marketing through reviewing software and tech for Inman.