1. Your numbers are somewhat arbitrarily chosen... a car could easily be worth $40k and in some markets a home could be worth $200k.
2. Precisely because the house is worth so much, most people cannot afford to pay two mortgages, or their mortgage and rent on a similar home, at the same time, so if they must move by a certain date, they're under pressure to sell.
3. If you decide to sell to Opendoor you can pretty sure that the sale is going to go through; no worries about financing, for instance.
4. It's true that the numbers are larger in absolute terms, but people are often not rational in this way. Plenty of sellers leave tens of thousands on the table for somewhat frivolous reasons.
5. There is a lot of fat as far as people skimming off the top of transactions -- brokers, title companies, etc. IBuyers can get much better rates on these services by being bulk buyers, meaning they don't actually have to come that far off of the next-best offer to make a profit.
1. Your numbers are somewhat arbitrarily chosen... a car could easily be worth $40k and in some markets a home could be worth $200k.
2. Precisely because the house is worth so much, most people cannot afford to pay two mortgages, or their mortgage and rent on a similar home, at the same time, so if they must move by a certain date, they're under pressure to sell.
3. If you decide to sell to Opendoor you can pretty sure that the sale is going to go through; no worries about financing, for instance.
4. It's true that the numbers are larger in absolute terms, but people are often not rational in this way. Plenty of sellers leave tens of thousands on the table for somewhat frivolous reasons.
5. There is a lot of fat as far as people skimming off the top of transactions -- brokers, title companies, etc. IBuyers can get much better rates on these services by being bulk buyers, meaning they don't actually have to come that far off of the next-best offer to make a profit.