Once you're ready to sell your home, you need to decide which type of transaction works best for you. Generally, you have three options:
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Hire a licensed real estate agent
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Go FSBO (“For Sale By Owner”) and sell without an agent
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Work with an iBuyer
If the last option has never crossed your mind, you probably have plenty of questions—what exactly are iBuyers? How do they work? And how do they compare to the traditional methods?
We may not have all the answers, but here’s what you need to know about iBuyers, plus the pros and cons to consider before choosing this type of transaction.
What Is an iBuyer?
An iBuyer—short for “instant buyer”—is a real estate company that buys and sells homes using technology. The “instant” part refers to how quickly an iBuyer’s algorithm calculates an AVM (Automated Valuation Model) to make an offer—sometimes in just minutes, sight unseen.
To request an offer, you submit basic photos and property details (address, age, square footage, features) through the iBuyer’s website or app. The company estimates your home’s value and makes an offer. If you accept, they’ll do an in-person assessment and give you a final offer.
Pros of Selling to an iBuyer
Selling to an iBuyer offers a fast, simple, and convenient process compared to a traditional sale. You can skip staging, curb appeal upgrades, and open houses. No showings mean no waiting for buyers to send offers.
iBuyers also offer quick and flexible closing dates—as fast as 10 days or as long as 90 days, depending on your needs.
Selling to an iBuyer can be ideal when:
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You’re relocating and need to sell quickly
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You’ve inherited a property and don’t want to maintain or rent it
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You own an investment property and can’t find a tenant
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You need quick access to your home’s equity
Another major benefit: all-cash offers. You won’t need to worry about buyer financing falling through, and it can help you use the proceeds as a down payment for your next home.
Once you accept the final offer, the sale is essentially guaranteed.
Cons of Selling to an iBuyer
The biggest drawback? Lower purchase price. iBuyers often offer less than market value because they take on the risk of buying quickly with cash.
If you can’t handle repairs before selling, iBuyers will deduct repair costs from your offer—sometimes significantly.
iBuyers also aren’t available everywhere. Even if they’re in your city, they may be selective—preferring homes in good condition and avoiding highly customized, high-end, or older properties.
After submitting your request, they can still choose not to buy your home.
Lastly, you won’t know who’s moving into your home. If you value meeting buyers and choosing who gets your property, a traditional sale with a real estate agent might be a better fit.
