Table of Content
- What is Sundae real estate service?
- Who owns Sundae homebuyers?
- Where does Sundae operate?
- Who should consider using Sundae?
- Selling with Sundae versus selling with other companies
- Sundae versus cash buyer companies
- Sundae versus real estate agents
- Is Sundae a reputable company?
- How does sundae make money?
- How does Sundae work?
- Does Sundae vet its investors?
- Does Sundae charge fees?
- Sundae pros and cons
- Should I use Sundae real estate service?
The real estate market is notorious for its ups and downs – one month, it’s a sellers’ market and the next, it’s a buyers’. However, selling a home rapidly or in as-is condition is almost always challenging in both markets. The buyer’s goal is to offer the lowest price possible because every dollar they don’t give you is one more in their pocket. But Sundae real estate service is working to change this by offering home sellers better options.
Sundae operates a zero-fee real estate marketplace where pre-vetted investors compete to purchase listed properties. Each buyer submits a bid for your property, allowing you to decide between multiple offers before making a decision. By charging zero fees and enabling competing bids for your home, Sundae marketplace gives you more control over the sale process and improved chances for a profitable sale.
Before you decide to sell your home on Sundae, it’s only natural that you might have questions about the company’s process and how it works. We’re unpacking all of this here to help you learn whether selling with Sundae home buyers is the right decision and how to proceed.
Sundae real estate service is a home buyer marketplace where sellers looking to close a property rapidly or in as-is condition go to sell. Sundae allows homeowners to get the highest off-market value for their home by listing on the platform, and even supports them with a $10,000 cash advance before closing, if they need it.
While Sundae helps homeowners quickly receive cash for their property, it is different from other “we buy houses for cash” companies. With those other platforms, it’s the company offering you a wad of cash for your home. Instead, Sundae provides access to thousands of pre-qualified investors who place bids on listed homes.
Homes listed on Sundae receive an average of ten bids, with the highest bids coming within four working days. There is no obligation to accept however. With no fees or contingencies, sellers can look forward to a transparent process that allows them back out at any time before closing. As a result, Sundae real estate reviews are often positive, with sellers praising the company’s business model and customer support.
Founders Josh Stech and Andrew Swain started Sundae real estate in 2018 with the goal to help homeowners avoid predatory property investors, even if the house could use some work. The company recently raised $80 million in a series C funding round with the aim to expand its services and broaden its market base.
Venture firms: Fifth Wall and General Global Capital led the funding round, alongside other investors such as Will Smith and Richard Seymour.
Sundae locations are currently limited, although the company has plans to expand in the near future. At present, the company operates in:
- Georgia: Atlanta
- Florida: Tampa, Clearwater, and St. Petersburg
- California: Los Angeles, Sacramento, San Diego, and Sacramento
The Sundae marketplace is designed to cater to sellers who need a quick home sale or want to sell their home in its current condition. Sundae home buyers specialize in purchasing properties as-is, regardless of their condition.
If you don’t have the funds to spare for repairs, cleaning up, and improvement, or face circumstances that require a rapid sale then you might consider using Sundae. Some of the situations where Sundae can help include:
- Condemned houses
- Property in need of major or minor repairs
- Inherited homes that heirs wish to sell
- Homes with structural issues
- Distressed sales due to unemployment, foreclosure, or medical bills
- Unexpected life changes such as a divorce, new job, or sudden relocation
- Homes damaged in natural disasters
Keep in mind that, while they are prepared to take any property in any condition, investors will factor the house’s condition into any offer they make. The costlier potential repairs look, the less they’ll likely offer.
Sundae’s unique business model makes it an effective choice for sellers, especially since they can compare multiple offers. With other cash buyer companies, sellers will often be forced to consider only one offer, with little or no room to negotiate.
When it comes to selling off-market, sellers already face a challenging journey to closing a good deal. As a result, the competitive prices they may potentially access with a Sundae home listing makes this option more attractive.
While a Sundae house listing produces relatively faster off-market sales, it’s still a sale to investors looking for a deal. According to research, cash buyers over the last 40 years paid 12% less on average than buyers securing a mortgage.
On the flip side, while you might get a better price on the market by working with an agent, the associated costs might not be so inviting. Between the minimum 6% fee the real estate agent will charge and the expenses of staging your home, an on-market sale can get expensive. Besides, although you can receive offers for your property in as little as 16 days in a red hot market, you’re more likely to spend 30-45 days to sell – from listing to closing.
So, you should consider whether the savings and speed from listing with Sundae homes for sale outweighs the costs of a real estate agent.
Sundae markets itself as a fair and considerate facilitator of distressed home sales. The company’s mission is to protect homeowners from exploitation in an off-market sale. There are several demonstrable measures Sundae employs to achieve this, including its zero-fee policy, competitive real estate marketplace, and $10,000 support for sellers.
Both Sundae homebuyers’ reviews and testimonials from sellers confirm these features and the company’s commitment to facilitating fair home deals. The company averages 4.58/5 stars on the Better Business Bureau and 4/5 stars on Yelp.
Since Sundae charges no fees and contingencies on home sales, sellers rightly wonder how it makes money. The answer lies in its unique fee system. Sundae completely flips the script from how other real estate companies operate by collecting fees from the buyer instead of the seller.
The investor who submits a winning bid is responsible for all of the fees, including closing costs, title inspection, and home inspection. So, instead of meeting a deductible on Sundae house prices, you can expect to receive the full offer amount.
If the Sundae home buying marketplace feels like a good fit for you, here’s what you can expect from the process:
- Submit your information: To begin, submit information about your home to Sundae via their website or by phone. A representative of the company will get in touch to learn about your property and your goals for a sale.
- Book a free home visit: If they can help you, a Sundae Market Expert will visit your home for a physical walk-through. They will conduct a thorough evaluation to determine the home’s overall condition and what repairs are needed. Based on this evaluation, they will present you with a range of estimated prices you may likely receive on their marketplace. The range will consider several factors, including the value of your home, holding costs, repair costs, and the value of comparable homes in your area.
- Complete home inspection: If you decide that Sundae’s estimate is worth it, you will sign an agreement to list your home on the Sundae marketplace. However, the listing will not happen until Sundae completes a comprehensive inspection of your home. A third-party inspector will conduct the home inspection. They will take photos of your home and write a detailed report about its condition. Both will be included in your Property Profile on Sundae’s marketplace.
- Get listed on marketplace: Next up, Sundae will post your home on their marketplace, meaning the listing is now live and can receive offers from investors.
- Review offers: You can begin to review offers for your home after four business days. Sundae will inform you of the highest offers placed, so you can decide which one to accept and sign a contract with the investor. Remember that you can back out without penalty, but only if you do so before signing the agreement.
- Receive $10,000 support: Where you require it, Sundae will front you up to $10,000 in advance to help with the costs of moving.
- Close deal: With everything finalized, you can move forward with closing in as few as 10 days from signing the agreement or up to 60 days later, depending on your preference.
Yes, Sundae vets and pre-qualifies all investors affiliated with their marketplace. Every investor who signs up to the marketplace has to fill an onboarding form and go through an interview with a Sundae specialist. Investors can only begin to place bids on listed homes when their account is approved by the specialist.
In addition to this, when an investor submits a top three bid for a property, they will need to draft a Purchase Agreement for the seller to review. Investors who submit a winning bid must also make a non-refundable $20,000 deposit to hold the home.
Sundae strictly regulates communication with sellers. Investors who breach these rules by making an unauthorized visit to a property or reaching out to a seller off-platform face immediate dismissal from the platform.
Sundae does not charge any fees for home sales on its platform. Sellers are able to receive all of the money from any offer they receive from Sundae home buyers. This is a big attraction for many sellers often highlighted in marketplace homes reviews on rating platforms.
- Hassle-free process: Sundae real estate service is designed to be simple and easy to use. Sundae reviews especially praise the platform’s engaging customer support and straightforward process.
- Sell in any condition: Being able to sell your home as-is without fees for staging, repairs, or agents is a big relief for many sellers. You can simply list the home and sit back without expending time or effort in preparing for a sale.
- Sell to pre-vetted investors: Distressed home sellers often face the worrying risk that a prospective buyer might turn out unreliable. Sundae removes this risk by providing access to thousands of qualified investors.
- Financial support: The $10,000 cash advance that sellers can collect before closing is a big help.
- Limited locations: Sundae only serves limited locations in California, Florida, and Georgia, at present. Although, people with homes in locations close-by may be able to receive Sundae assistance.
- Lower sale prices: Generally, as-is sales bring less than market value. So, prepare to receive offers that may fall short of your home’s market value.
- Relatively slow offer rate: Sellers only begin to receive offers on Sundae’s platform after four business days. Other cash buyer companies might be faster – they will generally make you an offer within 24 hours.
By providing access to a competitive bidding process and relatively fast closing speeds, Sundae helps sellers of distressed properties access better deals – and this can be a big deal when every dollar counts. If you’re keen on moving on from your property quickly but don’t want to settle for a limited low-ball offer, then Sundae might be a good choice or if you want to list your home for free on the MLS click on the button below.