About Opendoor

By Derek Lakin
HighYa Staff Updated on: Jan 4, 2018

With more than 11,000 satisfied customers, Opendoor helps you sell your home in a matter of days without ever putting it on the market. By purchasing your home from you, Opendoor aims to eliminate the uncertainty of a traditional home sale and provide you with complete control over your moving timeline. Their process takes three steps:

  1. Enter your home’s details to get an offer.
  2. Schedule a free home assessment.
  3. Close and get paid.

It certainly seems like Opendoor has dramatically simplified the home selling and buying process, as claimed on their website. But does that mean they’re the right option for you? We'll help you come to an informed conclusion, starting with how it works.

How Does the Opendoor Selling Process Work?

1. Requesting an Offer

To request an offer on your home, you’ll start by entering your address on Opendoor’s home page. Note: The company currently buys (and sells) homes in the Phoenix, AZ, Dallas-Fort Worth, TX, Las Vegas, NV, Atlanta, GA, Raleigh-Durham, NC, and Orlando, FL metropolitan areas, although they’re looking to expand into additional markets.

From there, you’ll input different details about your home (e.g., number of beds/baths, square footage, the condition of kitchen/baths/backyard, renovations, etc.), which shouldn’t take more than a few minutes.

Opendoor's team of real estate experts will then review comparable home sales in your area, market data, and the unique information you provided to send you a no-obligation offer.

Pro tip: The company isn’t a house-flipper, and they don't buy distressed homes. In fact, they’re fairly particular about what types of homes they buy. Here’s what we learned about their criteria from their website (note that criteria differ based on location):

  • Single-family homes
  • Townhomes
  • Duplexes (Phoenix, Las Vegas, and Atlanta)
  • Condos (Phoenix and Las Vegas)
  • Homes in gated communities (Phoenix, Las Vegas, and Dallas–Fort Worth)
  • Homes that are site-built (not pre-fabricated or mobile)
  • Homes located in our service areas
  • Homes in which the seller has clear ownership of the property (no double escrow)
  • Homes built after 1960
  • Homes that are not in age-restricted communities
  • Homes where our valuation is between $100K and $500K
  • Homes that sit on a maximum of a half an acre of land (Phoenix, Las Vegas, and Orlando) or an acre of land (Dallas-Fort Worth, Atlanta and Raleigh-Durham)
  • Homes that are not in or near flood zones
  • Homes that are owner-occupied or vacant, not leased, at the time of closing
  • Homes that are non-distressed or Real Estate Owned
  • Homes that don’t have any un-permitted additions or significant foundation issues
  • Homes that don’t have a solar lease (even one that has been pre-paid)
  • Homes that do not have polybutylene plumbing
  • Homes that do not have masonite woodruff roofs

2. Accepting the Offer

If, after reviewing your offer and associated fees, you decide to accept, Opendoor will schedule a free home assessment. The company will send out a team of its own employees and independent contractors to “verify the condition of your home and identify any repairs that need to be addressed before closing,” including structural, exterior, roofing, plumbing, electrical, insulation and ventilation, and HVAC systems.

If any repair needs are identified during this step, you’ll have the option to complete them yourself, or the company can handle the work and deduct the costs from your offer.

3. Moving on With Your Life

After everything has been finalized with the offer and the assessment, Opendoor tells us that they’re ready to sign your contract when you are.

During this process, you'll be able to choose your move-out date (within three and 60 days), and Opendoor will handle the rest. You'll need to have one final walk-through the day before closing in order to verify everything's in the same condition, and all your belongings have been moved out.

In the meantime, Opendoor will open an escrow account with a national title company, and you'll need to sign your closing documents. If necessary, a mobile notary can meet you where it's most convenient.

From there, you’ll be able to get paid in a matter of days. After moving out, Opendoor will handle any maintenance requirements while getting the home listed and ready for the next buyer.

How Does Opendoor’s App Make the Home Buying Process Different?

If you’re looking to buy instead of sell (or perhaps even both, which we’ll talk more about next), Opendoor owns hundreds of homes for sale in the markets where they operate, including those that have yet to hit the market, which can be viewed 24/7 on their website and companion iOS and Android app.

Like the site, the app allows home shoppers to view for-sale homes and filter their search by the number of bedrooms and bathrooms, along with the price. App users can also view photos of the homes, save their favorite properties, and receive instant updates.

Most importantly, the app provides buyers with instant access to any of the company's listings between 6 am and 9 pm, without requiring an appointment. Basically, it acts as a key to your very own open house.

OpenDoor App ScreenshotsUsing a map-based approach, the Opendoor iOS and Android app allows users to search for residential real estate in different markets, view property details, and remotely schedule in-person visitsю

If you find a home you’re interested in, you can get directions through the app, and even speak with an Opendoor Home Advisor for additional information. Once you’ve decided to move forward, a dedicated team member will “work with you from offer to move-in.”

Buying and Selling at Once: Opendoor’s Trade-In Offer and Mortgage Services

If you’d like to sell your existing home to Opendoor and also purchase any listing on the market in a single transaction, you can opt for their Trade-In service. Here, they align the closing dates of your sale and purchase, allowing you to move only once and carry only one mortgage at a time.

Trade-Ins customers can finance with one of Opendoor’s preferred lending partners, or work with Opendoor Mortgage, an affiliated mortgage brokerage. According to Opendoor Mortgage, customers can get pre-qualified in less than 30 minutes, and can also save one percent off their closing costs.

To learn more about trading in a home with Opendoor, a representative can be reached at contact@opendoor.com or 480-381-6622.

How Much Does Opendoor Cost?

Requesting an offer from Opendoor is completely free. And until your home is assessed and both you and the company have decided to move forward, you can walk away without penalty or charge.

According to Opendoor’s pricing comparison page, the average seller will pay a 6.7% fee for the transaction. That said, Opendoor’s service charge could fall anywhere between six and 12 percent, which could cancel out some, or all, of these potential savings.

The company offers a 30-day satisfaction guarantee, which stipulates, “If you don't love your home for any reason, [they’ll] buy it back.”

What Can We Learn From Online Customer Feedback for Opendoor?

On their website, 50 Opendoor customers had given the company an average rating of 4.6 stars at the time of our research, with many referencing ease of use, speed, fair pricing, and strong customer support.

We found similar ratings and feedback on sites like Zillow, as well as Google My Business for their Dallas and Phoenix offices. Since writing our original article, 11 HighYa readers had given Opendoor an average rating of 2.5 stars, and the company had responded directly to complaints.

Between iTunes and Google Play, we encountered well over 100 reviews for Opendoor’s apps, with an average rating of about four stars. Many seemed to appreciate how it allows instant access to any of the company’ listings, as well as its ease of use.

On the other hand, frequent complaints referenced glitches, along with limited market availability. Again, in many instances, a company representative responded to these in an effort to find a resolution.

From a company perspective, Opendoor is based out of San Francisco, CA and was co-founded in 2014 by Keith Rabois, CEO Eric Wu, JD Ross, and Ian Wong.

Previously, Keith worked as a senior executive at PayPal and Slide and COO of Square, Eric was founder and CEO of Movity.com, JD was VP of Product at Addepar, and Ian built machine learning applications at Square and Prismatic.

The company held an A+ rating with the Better Business Bureau, based on eight customer reviews and two closed complaints, as of 12/27/17.

Our Final Thoughts About Opendoor

It’s clear that Opendoor has a lot to offer customers, including unique buying and selling services, a mobile app that provides customers with personal open houses, lending partnerships and financing options, competitive pricing, and a 30-day buy-back guarantee on every home they sell. In fact, there isn’t another service exactly like this in operation.

If you’re on the fence about using their services, obtaining an offer online and/or downloading the Opendoor app are both completely free. So, whether you’re thinking about selling your home or purchasing a new one, you might not have more to lose than a few minutes of your time for giving them a try.

Just keep in mind that Opendoor’s services are currently only available in six metropolitan regions (Phoenix, Dallas-Fort Worth, Las Vegas, Atlanta, Orlando, and Raleigh-Durham). And even if you live in one of these areas, remember the company has some fairly stringent eligibility criteria, so not every home will qualify.

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79 Consumer Reviews for Opendoor

Average Consumer Rating: 3.1
Rating Snapshot:
5 star: 36 4 star: 4 3 star: 1 2 star: 9 1 star:  29
Bottom Line: 52% would recommend it to a friend
Showing 1-11 of 79
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  • 51 out 55 people found this review helpful

    Watch out for the opportunistic algorithm.

    • Dallas, TX,
    • Jun 28, 2016
    • Verified Reviewer

    Part of their proprietary algorithm seems to be a penalty for not accepting their offer.

    The initial offer I requested out of curiosity, and the number price was actually fair, but I disagreed with their market risk percentage (4.5%).

    So I talked to the agent, forwarded a dozen pictures to show the house was ready (actually planning to list in the next few days) to see if the offer would increase, or the market risk would go down. The second offer came back, $6k less on the offer and market risk raised to 5% (this was inside of 2 days).

    Fast forward, my house has been on the market a few weeks, and I noticed that my estimated value on Zillow had gone up by about $20k from when we had listed based on comps. Since Opendoor's offer was pretty close to what Zillow had estimated initially, I figured if their offer scaled with Zillow, then even with their 'market risk' percentage, it was actually within the range of what I'd consider an acceptable offer. So I submitted for an offer again. (This was a Saturday). I waited and hadn't heard anything by Monday morning, so I submitted again.

    Finally, today, I received two offers, 6 hours apart. Each was about $6k less than the one before, and each had about .5% increase in market risk, so despite the market value improving, their offer decreased by about $18k, and market risk went from a high 4.5% to 6%. Dropping $6k in value and 0.5% increase in Market Risk within 6 hours.

    So if you get an offer, and are on the fence at first, just know that if you come back later, they're going to take advantage of your desperation.

    Bottom Line: No, I would not recommend this to a friend

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  • 37 out 41 people found this review helpful

    NEVER use this company!

    All of the good reviews are made up from people who work at Opendoor. They are the worst. They take 8%-12% fees! That's twice as much as what realtors take, and realtors are much better than Opendoor. No one can replace an agent. Just no one.

    I can't even begin to tell you how awful Opendoor is. They wrote me an offer for $70k under the market price. I didn't accept, and then I put my house on the market for $85k more, and it went under contract in three days. A friend of mine used Opendoor to buy a property, and they told her everything was fixed and repaired with no issues. She still got her own inspector and they found SO many issues, including issues with the things they said they fixed. She backed out immediately.

    Bottom Line: No, I would not recommend this to a friend

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    • Jun 15, 2018

      Tirza D., Community Manager

      We know you have a lot of options when it comes to selling your home, and we’re sorry to hear that our fees were higher than you were expecting.

      For more information about our fees, you can visit the fee page below - https://www.opendoor.com/w/faq/what-does-it-cost-to-sell-to-opendoor/.

      Please know that we’re actively working on ways to lower our fees and pass savings along to our customers. We truly appreciate your feedback and we are glad to hear you were able to sell your home in a timely manner on your own. Good luck with your next chapter!

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  • 36 out 36 people found this review helpful

    Don't believe the price they offer you

    • Raleigh, NC,
    • May 27, 2018
    • Verified Reviewer

    This company comes across as a homeowner's dream. Do NOT believe this! After an inspection, they come up with ridiculous demands and outrageous prices to mitigate imagined problems. That initial price you offered is only a starting point and not to be believed. Don't waste your money making last-minute repairs because their list will be unreasonable. Take your chances on the open market; you will do much better.

    Bottom Line: No, I would not recommend this to a friend

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    • Jun 15, 2018

      Tirza D., Community Manager

      At Opendoor we aim to offer market value for your home and take a service charge that enables us to provide a streamlined experience and world-class service from offer to closing. As part of this process, we work hard to ensure that our repair asks are transparent and fair to all of our customers.

      You can read more about the types of repairs we commonly ask for here:

      https://www.opendoor.com/blog/what-to-expect-from-opendoors-home-assessment-and-repair-process.

      Please feel free to direct message us if you believe we have overlooked something and we will be happy to take a look. Know that your feedback helps us to create an even better experience for all of our customers moving forward.

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  • 35 out 38 people found this review helpful

    Low offer price and high fees

    • Dallas, TX,
    • Jan 20, 2017
    • Verified Reviewer

    I received mail from Opendoor and I submitted details online. Their offer is 5-10% lower than the market price and overall the fee is 15% (including 6% broker fee, 6% service fee, etc.).

    It is not worth it to sell your home to Opendoor. Waste of time.

    Bottom Line: No, I would not recommend this to a friend

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  • 31 out 37 people found this review helpful

    Run away when you see an Opendoor sale

    I was looking into buying a house in Arizona, and I didn't want to waste time. I saw a house with Opendoor on the door, and I accessed the house with their code. Note: They now had my contact information.

    I liked the house, and put in a CASH, full asking price offer with 21 days closing. It doesn't get better than that. We sent the offer over, and we got an acknowledgment back that the offer was received. We waited. And waited.

    The time period expired, and my realtor called Opendoor. They claimed they never got the offer. Then, they said they'd look into it and would submit a counter offer, and give us a slight price break (even $200 on a $358,000 house would have been thoughtful). Then, at the end of that day, we get an email ASKING US to re-write the exact offer, at the same price as the first offer. So much for them doing what is customary and writing a counter offer.

    Why are they doing this? I suspect that they are contacting others who texted them for the code and were shopping for a higher bidder. There is no other reasonable explanation. I walked away from it. No house is worth playing games. If you see Opendoor, walk away.

    Bottom Line: No, I would not recommend this to a friend

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  • 30 out 32 people found this review helpful

    Parents bought from Opendoor

    • Dallas, TX,
    • Mar 1, 2017
    • Verified Reviewer

    I just wanted to give the other side of the experience.

    My parents bought a house from Opendoor and had to go through multiple inspections. Although the house is supposed to be move-in ready and no repairs needed, the house had items exposed through my parents' inspector. Although they agreed to repair them and said they sent their contractor to make the repairs, my parents paid money for their inspector to check again and found that the repairs had not been done or had been short changed. They rely on their contractors (or want to just give you money and put the repairs on the buyer) and their contractors take advantage of every little oversight!

    It was not a good experience! It took multiple tries to get them to make any actual repairs and multiple expenses to my parents to keep having the lack of repair re-inspected. It is a nice concept, but they need to provide better oversight or get better contractors.

    Bottom Line: No, I would not recommend this to a friend

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  • 27 out 28 people found this review helpful

    Not a fair and honest experience

    All was good until I was waiting for the inspection report. They said 4-7 days, but I don’t see how that would work if we wanted to close in a few days like they offer. We knew the house needed some work, but nothing major. They estimate up to $8k, and received a repair list for $15k! They “say” they ask for necessary repairs, but charging $25 to tighten a bolt on the stairway railing and $20 to tighten a toilet screw seems totally crazy.

    So we fixed what we could since we were closing in a week, and Aubrey said all repairs were needed two days prior to signing, so clearly don’t want you to be able to fix stuff. And not to mention when I had questions about repairs. Aubrey had no clue how to answer them and had to check with her team every time, and that took forever. She even said she tries to respond to emails within 24 hours. That’s definitely not acceptable in this line of work when people are trying to move and make plans.

    The WORST part of it all is seeing that they DO NOT fix half of the items they list on the repair report you have to pay from your proceeds. A patio roof “needed” fixing, and they charged $2000 for that, which wasn’t done. T,hey charged $300 to replace a shower door, that was NOT done. $300 to fix windows that were NOT done. Seeing your “flipped” house posted on their website and realizing what kind of company they truly are is very frustrating. The work that was done was below average as well. I really feel sorry for the next buyer. PLEASE be cautious of this.

    Bottom Line: No, I would not recommend this to a friend

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    • Feb 27, 2018

      Tirza D., Community Manager

      Hi Samantha,

      Thank you for your feedback. Our team has reached out to you to clarify and address your concerns. Please feel free to email us at community@opendoor.com if you have any other questions.

    • Feb 28, 2018

      Samantha Harris

      Yes. Someone contacted me Monday night to discuss this and listened to all my concerns. After, she told me that she would get back to me that night or the next morning. Of course, I'm still waiting for that phone call.

    • Jul 6, 2018

      Chris B.

      Probably the worst experience I have ever gone through/going through. This company has completely dragged out everything they possibly could on their end. They have two excuses, “we are upfront about a 24-48 hour response time”, and “keep in mind we are corporate”. It’s not my problem Opendoor that you are slow. This line of business needs speed. I wouldn’t recommend this company to my worst enemy and no way would I EVER do business with them again.

      Save yourself and don’t sell or buy from them. You will REGRET it.

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  • 29 out 31 people found this review helpful

    Waste of time

    • Texas,
    • Nov 3, 2016
    • Verified Reviewer

    Sent me postal letter stating an offer range and interest in buying. I wasted time trading emails and providing information. They then made up some excuse and said not interested after the initial letter declaring otherwise. Find an agent or sell it yourself. Don't waste your time.

    Bottom Line: No, I would not recommend this to a friend

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  • 26 out 28 people found this review helpful

    If you are in a hurry

    • Texas,
    • Jun 15, 2018
    • Verified Reviewer

    I would not recommend Opendoor if you are trying to sell your house and have the option to do it the traditional way. The numbers they estimate are very far from what you actually get at the end. If you are in a hurry to sell and don't care about the net you'll get, they are fast with the process and very easy-going.

    In my case, I need it to sell fast. I accepted an offer that was around $20K lower than comparables in the area, even with the low ball offer, they will nick-and-dime you for what they call 'repair credits.' They basically go to your house and expect everything to be in brand new condition, or they will charge you fully to get it replaced, even so when the offer said 'as is' condition. So be prepared that if it is not in perfect condition, you'll get charged. I lost close to $5K on 'repair credits,' and only $1K made sense, the other $4K was just trivial. If I had the time I would have fix all for probably $500.00.

    In the end, from a $220K offer, I ended up leaving with only $194K.

    Bottom Line: No, I would not recommend this to a friend

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    • Jul 24, 2018

      Tirza D., Community Manager

      Hi Edwin, Thank you for your comments. We rely on feedback like this to improve the buying and selling experience for all customers. Please know that we take this to heart and will use it as an opportunity to improve. Thank you for choosing OpenDoor. We wish you the best of luck in your next chapter.

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  • 26 out 27 people found this review helpful

    I was excited initially

    • Garland, TX,
    • Apr 30, 2018
    • Verified Reviewer

    After reading mixed reviews, I was excited to receive the initial offer from open door despite the offer being somewhat less than what I would have expected to sell for. I set my assessment date for Wednesday then contacted the closing manager to see if she had any earlier appointments. Not only did they not have anything earlier; apparently there was a problem with the scheduling system, and Friday was their first available appointment.

    On Friday morning everyone began to arrive shortly after 8 am. During the assessment process, I began to feel a little awkward as the inspectors would ask questions about previous repair work, however, not really provide any insight into their findings, as if for some reason they couldn’t share the information. One assessment team member even had the audacity to use my bathroom without asking; which was really unsettling.

    The following Tuesday, today, the results were in, which were completely ridiculous. They were suggesting thousands in repairs. I politely passed on the offer.

    I was warned about their business tactics prior to engaging this company. It clearly came to reality today. The initial offer in my case was close to market value, but they pulled a fast one when it comes to repair work. Thanks but no thanks Opendoor. I will pass.

    In addition to this, the termite inspection guy damaged my attic entry while he was here. When I mentioned it to the closing manager, she immediately dismissed it as an existing condition. No big deal as I was able to quickly repair it.

    If you're not in a rush to sell, please consider other options or you will leave money on the table with Opendoor.

    Bottom Line: No, I would not recommend this to a friend

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  • 20 out 20 people found this review helpful

    Worst experience of my life

    • Goodyear, AZ,
    • Jan 15, 2018
    • Verified Reviewer

    Where do I begin? I got an offer on my house. The offer was great compared to the the other offer they gave me a year prior. This time it was actually market value. There was the 6% Opendoor "fee" off of that price. No biggie because I would be paying a total of 6% to realtors anyways.

    They came to do the inspection and did it with a fine tooth comb. ANY TINY THING they wrote down and the repair estimates were insane! They wanted $4000 credit for all that. I told them I would fix them. They wanted proof via pictures and receipts. Ok, fine. I do half of the stuff, and after sending the pictures, nobody ever sent a new addendum reflecting that the credit I had to pay them was lessened.

    THREE DAYS BEFORE CLOSING I contacted them over and over and over because, without this addendum and confirmation, I wasn't going to rent an apartment, U-Haul, lose of on first last month's rent, etc. The day of closing, still no word! Can you imagine if I would have moved out? They wouldn't even return my calls on the close date! I had to call Title and cancel because of no communication by Opendoor.

    As soon as I canceled with Title, Opendoor called me. They said my case manager Guy had been on vacation that's why he never got my pictures of my repairs. That was complete B.S. because the first like 4 times I sent him all of the pictures, he kept asking me to send them again instead of just looking back through his email and finding them, so each time I had to send them over and over and over thinking that this guy was never going to even look at them. Also, who goes on vacation when a house they are covering is about to close?

    The date of closing after I called Escrow to cancel I was asked again to send the pictures! Finally about two weeks later we were ready to close again. Because Opendoor took so long on their end, we had to extend the close date, and Opendoor said we had to have a new inspection! So after all of that time because they took so long to actually look at the pictures and make a new addendum for the credit they wanted, now I have to have a new inspection. So what? Is everything going to happen again and all these credits are going to happen again? We were absolutely furious. We fought so hard to get that credit back and now they're saying that we have to have another inspection because it took too long to close? I feel that they did this to punish us for not giving them all the credit.

    We had a new inspection with an old guy who wrote down even more stuff than the first time and who actually damaged my house and created a leak in the backyard. I had two faucets outside, one which I never used since being in the house because it was right next to the AC unit. Well, he turned that on and apparently when he tried to turn it off, it was leaking, so instead of being a great guy and letting us know, he just left it and we didn't even discover it until days later, and at that point it had gone underneath the AC unit and flooded a little portion of the yard.

    It was only several days before closing again, and we were still waiting to hear about the inspection results of the second inspection it was getting down to the wire, and we were nervous to find a new place because for all we knew Opendoor was not going to pull through again. All of it started to sound like a sham for more credit, and finally, I wrote to him and told him that I thought it was a sham for more credit. After stating that, finally everything came through and they did not ask for more credit. Thank God.

    Three days before close the Title company they chose tells me that they do not have my payoff statement. While I'm supposed to be packing and boxing up things in a rush, and I had to get the U-Haul at 10 that morning, I'm getting calls from Title saying they don't have my payoff statement!? This is something they were supposed to get an order from my mortgage company right off the bat, not three days before close. I gave them my mortgage information as soon as we opened Title back up a month prior.

    I called my mortgage company, and they would not allow me to have my payoff statement, it had to be requested from Title and given straight to Title, which is the law, and they should know because that is what their business is. My mortgage company told me it usually takes about a week for them to get my payoff statement to the Title company. Opendoor chose this crap Title company, and now I'm two days before closing and I have the U-Haul in my front yard half full. I'm sitting here packing like crazy getting everything out of my house, and I'm still wondering if I'm actually moving out.

    I called Title and spoke to the agent who was working on my case's boss and complained about her incompetence because of this and with my efforts alone I was finally able to get this deal done. By a miracle of God, it pulled through. I gave them half of the credit they originally wanted and they took possession of the house with me rushing out of the house because of all the crap I had to deal with I was struggling to get out on time.

    All in all I'm happy with the results of what they paid me, but the entire process was the hardest process I've ever gone through in my ENTIRE life and the most unprofessional one. The level of stress my family and I went through was ridiculous. The only solace I have is that they still have my house on the market and it has not sold for them at what they want. When they listed that house, it was barely above what they paid me and they've been lowering the price. I feel justified and will always tell people not to deal with Opendoor.

    Bottom Line: No, I would not recommend this to a friend

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    • Jan 16, 2018

      Tirza D., Community Manager

      Hi Sam,

      Thank you for taking your time to share your feedback with us. We'd like to better understand your situation and concerns. Can you please email us your contact information and the address of the home you sold to us at community@opendoor.com, and we'll have someone on our team reach out to you as soon as possible?

    • Apr 16, 2018

      Robert Adams

      I'd suggest getting an estimate of your bottom line from a traditional agent and Opendoor, and then make a choice. You will see how much you are giving away before you decide.

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