Offerpad charges a 5% service fee on the purchase price, plus about 1% in closing costs for standard title and escrow, according to its sell page. On a $400,000 home, that comes to about $24,000 before any repair credit. The offer itself often costs more than the fee. If Offerpad’s cash price is lower than what your home would bring on the open market, you lose that difference too.
The fee is easy to find. The offer gap is harder to see, and it usually decides whether Offerpad is a good deal for you.
Key takeaways
- Offerpad’s 2026 pricing: a 5% service fee plus roughly 1% closing costs. Its sell page lists $0 commissions, $0 concessions, and $0 out-of-pocket repairs.
- Repairs still cost you. Offerpad doesn’t send you a bill. It takes a credit adjustment after the walkthrough, which lowers your net.
- Compare net proceeds, not the headline offer. Your real cost is the service fee, plus closing costs, plus any repair credit, plus the gap between the cash offer and market value.
- Below: a side-by-side fee table on an illustrative $400,000 sale, plus the questions to ask before you sign.
How Offerpad works
Offerpad is a cash buyer, also called an iBuyer. It buys homes directly from owners, then resells them. Its sell page describes four steps:
- Submit your home info. You enter the address and details about the home’s condition.
- Get a cash offer. Offerpad sends a price based on your home and local market data.
- Pick a closing date. You choose a date between 8 and 60 days out.
- Close. After a walkthrough, Offerpad finalizes any repair credit and you close.
Offerpad also lists two perks. You can stay up to three days after closing, and you get a free local move of up to 80 miles. Both are useful if you need to buy and sell around the same time.
On speed, Offerpad says a cash buyer sale takes about 7 to 14 days. It puts a speed-focused agent sale at 30 to 60 days and a traditional sale at 90 to 120+ days. Those are Offerpad’s own marketing figures. Your local market may be faster or slower.
Offerpad fees: the full breakdown
Here is what Offerpad’s sell page lists for 2026:
| Offerpad cost | What the sell page says |
|---|---|
| Service fee | 5% of the purchase price |
| Closing costs | About 1% (standard title and escrow) |
| Agent commissions | $0 |
| Seller concessions | $0 |
| Out-of-pocket repairs | $0, handled as a credit adjustment after the walkthrough |
“$0 out-of-pocket” doesn’t mean repairs are free. You don’t write a check, but the repair cost comes off the price you net.
Fee comparison on an illustrative $400,000 sale
The table below uses a $400,000 sale price as an illustrative example only. It assumes Offerpad’s offer matches what the home would sell for on the open market. In practice it may not, as the next section explains.
| Cost item (illustrative $400,000 sale) | Offerpad | Houwzer 1% listing | Traditional 6% listing |
|---|---|---|---|
| Service fee or listing commission | 5% = $20,000 | 1% = $4,000 | 6% = $24,000 (both agents) |
| Buyer’s agent pay | $0 | “Flexible buyer broker commissions,” with “2-3% recommended for the buyer’s agent” | Included in the 6% |
| Closing costs | About 1% = ~$4,000 | Not listed on Houwzer’s pricing pages | Varies by state and contract |
| Repairs | Credit adjustment after walkthrough | Agent guides you “through the inspection and title process” | Negotiated with buyer after inspection |
| Offer gap vs. market value | Possible; depends on the offer | Listed on the open market; agent will “negotiate every offer on your behalf” | None if the home sells at market |
| Typical timeline (per Offerpad) | 7–14 days | Not listed on Houwzer’s pricing pages | 90–120+ days |
On fees alone, Offerpad costs less than a traditional 6% listing and more than a low-commission listing. But the fee is only one line in the table. The offer gap can change the result.
The offer gap
The offer gap is the difference between Offerpad’s cash offer and what a buyer would pay for your home on the open market. Offerpad’s sell page doesn’t publish an average gap, and it varies by home and market.
The math is simple. Every dollar the offer falls below market value comes straight out of your net, on top of the 5% fee. If the offer comes in $15,000 under market on the $400,000 example, your total cost rises by $15,000.
To estimate your gap, get a comparative market analysis from a local agent before you accept. Compare it against recent sales of similar homes nearby.
Repair credits
After you accept, Offerpad walks through the home. If it finds issues, it asks for a credit adjustment rather than having you pay for repairs up front. That’s convenient, but it lowers your net, and it happens after you’ve already planned around the first number.
Ask for the repair credit in writing and itemized. If a line looks high, get a contractor quote for comparison.
Disadvantages of selling to Offerpad
- The fee is higher than a low-commission listing. At 5%, Offerpad costs more than many discount or flat-fee options before you even count the offer gap.
- The offer may come in below market. Cash buyers price in resale risk, holding costs, and their own margin.
- The final number can change. Repair credits come after the walkthrough, so your first offer isn’t always what you net.
- There’s no competition between buyers. With one cash buyer, nobody bids against Offerpad.
- It isn’t available everywhere. Offerpad buys only in certain markets and certain home types. Check eligibility on its site.
Who Offerpad makes sense for
Offerpad can be a fair trade when certainty and speed matter more than squeezing out the top price. Common examples:
- You’re relocating on a fixed date and can’t carry two mortgages.
- You want to skip showings, open houses, and staging.
- You need to time a purchase and want the three-day stay-back and local move.
- Your home needs work you can’t or won’t do, and a credit adjustment is easier than managing contractors.
If your home is in good shape and you have a few weeks, a listing usually puts more money in your pocket.
Offerpad reviews: is Offerpad legit?
Yes, Offerpad is a real, publicly traded company that buys homes for cash. Whether it’s legit and whether its offers are generous are separate questions.
Star ratings on review sites change often and mix very different experiences, so they don’t tell you much about your own offer. When you read Offerpad reviews, look for these patterns:
- Did the final net match the first offer? Gaps here usually trace back to repair credits.
- How did the offer compare to market value? Sellers who checked with a local agent first tend to give more useful reviews.
- Did closing happen on the chosen date? Flexibility on timing is one of Offerpad’s main selling points.
One review can’t tell you whether Offerpad gives good offers. Comparing your offer against recent local sales can.
Alternatives to Offerpad
If you’re weighing Offerpad, you’re probably also looking at:
- Opendoor. It’s the closest competitor with a similar model. See our breakdown of whether you should sell with Opendoor.
- Other iBuyers and cash buyers. Our iBuyers guide compares the major players and how their fees stack up.
- “We buy houses” investors. These buyers often take homes in worse condition. Read our HomeVestors reviews before you go that route.
- A low-commission listing. You keep market exposure and multiple buyers but pay less than 6%.
Many sellers request a cash offer and a listing estimate at the same time. That gives you a real net-to-net comparison instead of a guess.
How to compare an Offerpad offer
- Get the cash offer and note the service fee and estimated closing costs.
- Get a market value estimate from a local agent based on recent comparable sales.
- Subtract the gap. Market value minus the cash offer is the hidden cost.
- Ask about repairs up front. Ask what the walkthrough usually flags for homes like yours.
- Compare net proceeds. Look at what you walk away with under each option, then weigh that against time and convenience.
FAQ
How much does Offerpad charge in 2026?
Offerpad charges a 5% service fee on the purchase price plus about 1% in closing costs for standard title and escrow, according to its sell page. It lists $0 agent commissions, $0 concessions, and $0 out-of-pocket repairs. Repairs are handled as a credit adjustment that lowers your net proceeds.
Is Offerpad legit?
Yes. Offerpad is a publicly traded company that buys homes directly from owners for cash. Being legit doesn’t mean its offers are the highest available, so compare any offer against a local market value estimate before you accept.
Does Offerpad give good offers?
It depends on the home and market. Offerpad’s offer reflects its resale risk and costs, so it may come in below what the home would sell for on the open market. Get a comparative market analysis to measure the gap between the cash offer and market value.
How fast can Offerpad close?
Offerpad lets you choose a closing date between 8 and 60 days after accepting an offer. It markets cash buyer sales as taking about 7 to 14 days, compared with longer timelines for traditional listings.
Does Offerpad charge for repairs?
You don’t pay for repairs out of pocket. After the walkthrough, Offerpad may request a credit adjustment for repairs, which reduces the amount you receive at closing.
Can I stay in my home after selling to Offerpad?
Offerpad’s sell page says you can stay up to three days after closing. It also offers a free local move of up to 80 miles.
