We have answers.
If you need to sell your current home in order to secure your next one, then Homeward is for you. Homeward lets you take the time you need to find your ideal next home before selling the one you’re in. You'll have a relaxed purchase process and avoid the risk of selling first.
You can give us the information that we need in just a few minutes. Once we have all of your information, we'll get you approved on your timeline to make a winning offer.
- Get an approval with Homeward to use our cash.
- Make an all-cash offer on any home within your budget.
- Offer accepted! Congrats! Now list your existing home for sale.
- Lease your new home back from Homeward for up to 6 months.
- Close on the sale of your existing home and get a mortgage on your new home. All done!
First and foremost, you'll have the time and confidence to find and purchase your ideal next home without worrying about selling your current home.
There are other important benefits, too:
- Save money. Get an average discount of 2-5% on your next home by making an all-cash offer.
- Save time. Stay in your current home while making improvements to your new property. Then only move once and control the timing of your move.
- Win the Home. Cash offers are twice as likely to win bids compared to mortgage-contingent offers
All cash means there are no appraisal, financing, or home sale contingencies involved. And it closes faster! This makes your bid to the home seller more competitive.
Homeward is backed by large institutional capital providers that give us access to their funds so we can make you an all-cash buyer.
We charge a 1.9% fee that can be rolled into the purchase price of the home.
Most buyers need to sell their current home and access their home equity in order to buy a new property. Traditional banks won’t give you credit for that home equity until your old home sells. This forces you to sell your old home first, and then buy your new one.
We give you credit for your home equity before you sell your home. We do this by valuing your existing property during our approval process and using our cash to buy your new home before you sell your old one. It’s a new and better way to buy and sell real estate and we’ve created Homeward to drive it forward.
2. The Transaction
Congratulations! Before you make the offer, let us know the details. We’ll need the property address and offer price so we can approve it. We typically approve offers within 4 hours, and then we’ll contact your agent so they can make the offer to the seller.
In our offer approval process, we ensure your offer amount is below our estimated resale value so we can confidently make an all-cash offer on the property.
You and your agent will negotiate and finalize the offer with the seller.
Once the seller accepts your offer, we can close in 10 business days. This makes your offer more likely to win the home and lets you move in earlier.
Compare this to a traditional mortgage-backed offer, which takes over 30-60 days to close.
We use our cash to buy the home so you don’t have to go through a 30-day mortgage process. Plus, we prepare everything in advance, including appraisals, pricing analysis, and title, so the closing process goes smoothly.
You’ll get possession of your next home as soon as we close on it, then you’ll pay us a monthly leaseback until you get your new mortgage and buy the home back from us.
It depends on what your goals are.
If you want to minimize the cost of owning both homes at once, then we recommend listing your existing home immediately. This reduces the leaseback payments you’ll make to Homeward.
If you want to maximize your sales price and avoid the hassle of showings, then we recommend moving out of your existing home and then listing it. This lets you move your stuff out, get the home cleaned up, and then your agent can advertise it, show it, and get you a great price.
Finally, if you want to do repairs on your new home before moving in, you may want to get these started before listing your existing home so you have time to complete them.
With Homeward, you can sell your existing home on your timeline.
This gives you the certainty that your existing house will sell no matter what because we’ll buy it from you at a floor price if it doesn’t sell for more.
Our pricing analysts base this floor price on publicly available real-estate data, current photos of your home, and an in-home inspection.
In most cases, Floor Price Certainty is an option you’ll have if you want it. For some unique homes, however, we’ll be unable to offer it.
Typically 95% of your home’s market value. We also take out the standard 6% agent commission fees.
If we buy your home, we will put it back on the market and sell it. We recycle the 6% fee to cover Realtor and title fees associated with this resale.
3. Agents and Lenders
No. We have you go through an approval process before we use our cash to buy your next home, but we are not your ultimate mortgage lender. Who you get your mortgage from is your choice.
Yes. We collect additional information in order to calculate your home equity. Later, we’ll work with your lender so you don’t have to get another mortgage pre-approval.
4. Getting Approved with Homeward
First, we collect information about your current home so we can calculate your home equity. Most of our customers finance their down payments using the proceeds from the sale of their current home.
Next, we help you get pre-approved for a mortgage if you aren’t already. The mortgage pre-approval process analyzes your current financial situation, including your income, assets, and credit.
You can give us the information we need in just a few minutes and then we’ll typically give you an approval decision the same day.
We collect information about your existing home and we require a pre-approval from your mortgage lender.
Our home analyst team conducts a thorough appraisal of your home utilizing publicly available real-estate data. We also send an inspector to make sure we don’t miss anything.
- Income documents
- Asset documents
- Credit score
- Additional information that will help them get a better sense of your financial situation
Most of our customers choose to roll our fee into their offer, but you can also choose to use your home equity to pay the fee after you sell your house.
If you don’t end up requiring Homeward’s cash to close on the purchase, then our fee will be reduced to 1%.
The closing costs you pay in a Homeward transaction are the same as in a traditional home purchase transaction.
There are two transactions involved: Homeward pays cash for the property and then you buy the property from Homeward. That said, Homeward covers the burden of duplicate costs so that you don’t have to.
We take a market rental rate and prorate it daily so you only pay for the exact days you possess the property before closing on your mortgage. This is a complete pass through for us that covers some of our costs to hold the property until you buy it back from us.
Other than the 1.9% fee, there is no price increase.
We sell the home back to you at the same price we purchased it for in the purchase agreement and you have the option to roll our fee into your purchase price. If you do this, then your second contract when you purchase the home back from us, would be 1.9% higher.
No. Homeward only charges a 1.9% fee paid at closing and any daily prorated leaseback payments that incur while you own both homes.
Yes, as with a typical lease, we collect one month’s lease payment as a security deposit.
6. For agents
We give your contingent buyers the ability to make an all-cash offer on the home they want so they can secure it before taking the leap of listing their existing home.
Homeowners that need to sell their existing home in order to finance the purchase of their next home but don’t want to list without knowing where they’re going next.
- Attract new customers. Set yourself apart by providing a real solution to a real problem your clients face.
- Turn prospects into transactions. Homeward gives your clients the confidence they need to move forward.
- Win more offers. Cash offers are twice as likely to win bids versus mortgage-contingent offers.
- Earn full commission. Both seller and buyer commissions are protected with no extra work or out of pocket expenses.
Yes, Homeward doesn’t change your client relationship.
Homeward will keep the earnest money, security deposit, and buyer agent commission to cover resale costs, and the buyer will be free of the contract.
For the agent to be paid their buyer commission, the buyer must repurchase the home from Homeward.
Buyers pay a 1.9% fee and typically roll it into their offer through seller-paid closing costs.
You get paid the full buyer's agent commission when your client repurchases the home from Homeward. If they do not repurchase it, Homeward keeps this commission to cover our resale costs.
You get paid the full listing commission when you sell their existing home to a third-party buyer. If we need to buy the home for our floor price, you receive 1% commission and Homeward keeps 2% to cover our resale costs.
If the buyer secures their mortgage before Homeward purchases the home and doesn’t need Homeward to close, our fee will be reduced from 1.9% to 1.0%.