HomeVestors Reviews

HomeVestors
( 15 reviews )

HomeVestors, also known as WeBuyUglyHouses, is a cash home buyer that states they purchase homes 'as is', with a closing in as little as 3 weeks.

The company has been in business over 25 years and has grown to be a national brand with franchise locations in almost every state.

You may have seen their billboards or received a mailer claiming that they’ll buy any home quick and easy.  Many home sellers are enticed by the promise of a painless real estate transaction but have many questions about the legitimacy of this company.

Below we take a closer look at what you can expect from a HomeVestors cash offer, how the company works, and what the customer reviews say…

The HomeVestors Franchise

Many novice and experienced real estate investors buy into a HomeVestors Franchise hoping that their training and brand recognition can boost business.

As a franchisee you'll learn the flipping model that the company has based their business on.  HomeVestors train investors on how to assess opportunities, make offers, and mitigate risk.  

They also provide leads from their advertising campaigns in local markets.

Initial costs for joining, including franchise fee, can range from $53,000 - $400,000 depending on how large of an initial investment fund your chosen market demands.

How Does HomeVestors Work?

While all HomeVestors franchises operate on the same principals, your experience can still vary depending on which office you’re working with.

In general these offices operate in areas where they can make the most profit from buying and quickly flipping a distressed property.  This often tends to be in established neighborhoods with older homes.

Real estate professionals have outlined the general equation used by most cash offer buyers.  After they’ve checked out a property, they will estimate a home's After Repair Value (ARV).

Their maximum purchase target will be = (ARV*.07) - estimated repair costs.  So their highest offer will generally be 70% of what they think they can sell your home for, minus the repairs.

There are many accounts online that say this is a best case scenario, with many HomeVestors offers actually coming in around 55% of ARV.

Moreover, since they’re trying to make as much money as possible, HomeVestors may overestimate the cost of required repairs, so it’s always a good idea to have a general understanding of the level of work your home may actually need.

HomeVestors’ biggest profits often come from homes with cosmetic damage where the owner may believe a rehab will cost much more in headaches and money than may be the case.

Often this may not be a good deal for the seller, however there are situations when you may need or want to use HomeVestors, such as for the following reasons:

  • Last minute relocation
  • Need to cash out fast
  • Selling an inherited home
  • Can not afford repairs
  • Tried selling before with no offers
  • Bad mortgage terms
  • Divorce
  • Other difficulties

Overall, HomeVestors' main selling point is that they will put an offer in on any home, which may let a distressed property owner off the hook fast without having to repair, paint, stage, clean out, or deal with a prolonged real estate closing.

Another financial benefit of working HomeVestors is that there are no agent fees and other typical closing costs, which can save around 6-9% of the property value when compared to a traditional sale.

Customer Service

The company is headquartered in:

6500 Greenville Ave Ste 400
Dallas, TX 75206-1021

If you’re curious about selling your home you can reach a national agent by phone at 866-394-5436, for other inquiries call 972-761-0046.  

Each local franchise office will have their own contact info as well.

HomeVestors Customer Reviews & Complaints

On the whole, customer reviews for HomeVestors are mixed.

The general consensus is that the company does a good job of facilitating a quick home sale, but some customers stated they felt HomeVestors takes advantage of distressed homeowners by offering below market prices.

Many negative reviews describe a scenario where a HomeVestors investor convinces a homeowner to sell at a very low price, makes little to no repairs, then quickly flips the property at fair market value netting a quick profit.

On the other hand, some shrewd homeowners who understood the true costs of repairing their homes, and the added burdens of a traditional sale, reported having fair transactions with this HomeVestors.

To these sellers, a small loss was worth not having to deal with the nightmares of readying their homes for sale.

That being said, some reviewers are wary of a HomeVestors sales contract as it gives the company a lot of leeway to act as a middleman flipping your home.  In some cases the buyers have dragged out closings until they lined up a next buyer.

Some customers reported same day double closings, where the HomeVestors buyer profits by selling your home immediately after already closing a sale at a higher price.

Soon after signing, other sellers discovered their homes listed on the market by the HomeVestors buyer.  To their surprise, the price in the listing was much higher than what they were offered and agreed to in the contract.

There were even instances of HomeVestors buyers backing out deals because they couldn’t sell the home immediately.

Online customer reviews pointed out the high cost of starting a HomeVestors Franchise.

The base cost and the ongoing fees for franchise owners adds up to a considerable amount of money.  Some franchisees feel they are simply paying to use the brand, WeBuyUglyHouses.

Other customer complaints mentioned high-pressure sales tactics and receiving too much unsolicited advertisements from the company.

At the time of this writing HomeVestors has an A+ rating with the BBB.  However, since the company has so many independent franchises, it may be best to research your local branch’s reputation before contacting them.

Competitors and Alternatives

Currently there are many online wholesale real estate buyers.  Some other companies include Opendoor, Offerpad, RedfinNow, and Zillow Offers.

FAQ

Does HomeVestors give a fair price?

A HomeVestors offer will be well below fair market price as it accounts for a wide profit margin for an investor taking on the risk of buying an as-is property in need of repairs.

Can you negotiate with HomeVestors?

You can negotiate with any buyer but keep that equation from above in mind as investors won't deviate too far from it.

What are the pros and cons of HomeVestors?

The main pro is a quick sale that allows you to walk away from a property without doing any work.  The obvious downside is that you will be leaving money on the table by accepting a lower offer.

Is HomeVestors legitimate?

This is a real company with many franchises all over the United States.

The Bottom Line

When it comes to selling a home, sellers may be in a wide variety of different life situations. 

It may not always be correct to say that one shouldn’t accept a lower offer on their home without knowing the actual details of a person’s finances and other personal circumstances.

That being said, before jumping on the first cash offer you receive, it’s advisable to educate yourself on local market conditions.  In some hot markets sellers can still experience rapid site unseen offers at a fair price.

If your home seems to be in disrepair, it may still be wise to get quotes on potential work needed, as it will give you a better idea of how realistic a seller's repairs estimate may be.

Armed with an accurate repair bid, a good idea of your home’s fair market value, and local agent & closing costs, you'll be in  a better position to make an educated decision on your best option.

If you have any experience with HomeVestors or their services, please leave your reviews below.

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HomeVestors Customer Reviews

  • Sort Reviews By:

How fast we can have the closing
November 15, 2022

My experience with Asim it was very good and easy to work with. I will recommend him to anyone who wants to sell the house fast and easy. Very professional and helpful

Honesty, Reputable and FAST!
November 3, 2022

The company is who they say they are! So many are not today. The company (I dealt with Brian) Was honest, fast and REPUTABLE. I am 100% pleased with dealing with the company and the speed with which they were able to close on my property.

Thanks HomeVestors!

David Rush

Big first offer then lowball you
October 24, 2022

These people are scam artists. They offer a decent price for your home get you to sign with them then come back a couple of days later and drop the price to less than half the market price. But you're still under contract with them. Then they offer you a couple of thousand more expect you to be grateful

I call it bait and switch. I never would have signed up with them except for the original offer. Then you've wasted 2 weeks minimum.

NOT if they were the last on earth
September 26, 2022

Like the others have stated, They will waste your time and then offer a below 50% fair market value stating repair costs. In my case everything was brand new. I had to tear down to the studs when the house was destroyed in last years Texas freeze due to water pipes bursting in the attic and I was away for 2 weeks when this happened.

Long story short I replaced everything other then roof and studs. I can understand buying at between wholesale and fair market value. but to make an offer closer to 40 cents on the dollar is insane.

I could tell from the questions that they quickly determined that I was not someone who HAD to sell quickly , I.E. someone they could take advantage of. I strongly urge everyone to stay away from this company and their business practices

HomeVestors is a scam! Don't fall for the trap!!
March 16, 2022

Our house was appraised for $600,000 and HomeVestors sent us a postcard that read: ...... "I'm interested in buying your house. I can pay you cash for your house. AS IS. You don't have to repair it or clean it up. You'll pay me NO commissions and I can pay typical closing costs. There is no obligation. Call me if you are interested." ........

When I called them and said we were interested in selling it to them they offered us $200,000 for our $600,000 home. RIDICULOUS!!!! ...... HomeVestors needs to be put out of business! They are just scamming people left and right!! Don't be the next victim of HomeVestors illegal theft!

Really Glad I Found This Review Forum!
November 4, 2021
I came across this forum having received probably a half dozen of these cards over the past several months. I would like to sell my home easily and for a decent price, but these people sound like someone should sue them into bankruptcy!

JowadAtwan March 11, 2022

I can tell you I work for a franchise and could dispel pretty much everything I read. If you're in a rush to sell, you don't have the time or funds to repair or you don't walk people doing walkthroughs, cash buyers will make an offer. It will be under market, but it has to be.

We have to sell it again, we cant buy for market, pay closing costs, dedicate time and funds to repairs and sell above market. It either wouldn't sell or it would and were the "bad guys" for driving up the prices of homes

Wholesalers
October 19, 2020

I am a licensed Realtor and keep receiving their letters treating my last name as my first name. They are wholesalers. They buy properties at wholesale prices and sell them at full retail to make a profit. Working with a licensed professional like myself will always yield more money in YOUR pocket, not theirs.

The most recent text I received from them was to buy my deeded parking space. It is obvious from the text that they did not know if was a parking space. Work with licensed professionals who at your best interest in mind.

JowadAtwan March 11, 2022

You mean YOUR pocket. When their house isn't looking good you'd push them to repair it first for more money, wouldn't you? Tell the truth

NON-DEPENDABLE
August 17, 2020

I LIVE in Portland Oregon

Two Days in a row. August 8-14, 2020

Crooks
July 14, 2020
If someone isn’t offering you the tax assessor value of your property, get away from them! They are viable as a company on the backs of homeowners’ who should have known better than to sell for below market value.

JowadAtwan March 11, 2022

SMH education yourself. Tax assessor value is less than the market value

they are horrible
April 30, 2020
i would do less than 1 but that is what's in front of me. They should be prosecuted for what they've done. They buy a house that should be torn down for $35k and then tell you that is what your house is worth. Crooks. They should be prosecuted. It brings down the home values in areas are poor and can't with stand the pressure. I have NO idea which government agency handles this type of crime but it is a crim. Don't deal with them. If your should be torn down, tear it down, don't let the rest of the neighborhood that has taken care of their homes suffer. thanks

Got one of the Post Cards in The Mail To Buy My Home
July 23, 2019

I received post card- I Wasn't interested, just curious.

I asked a lot of question did some research; Sounds like a Ponzi scheme. They tell you they will purchase your home. You sign the contract. They don't give you the cash when contract is signed. They list your property for less than it's worth. If it doesn't sell the Contract is cancelled. In other words they have no money. My advice, List your home yourself.

AS October 08, 2019

May I ask what city you’re in? I think my address was purchased from some unscrupulous former HOA board members in Ventura. My vacation condo is in Ventura, but this card (and other real estate businesses) come to my residence in Claremont. Thanks.

JowadAtwan March 11, 2022

I work for a franchise of homevestors. We have access to over 75 lenders and each franchise that has been active for over a year will most likely have made enough to purchase a home.

If an overperforming franchise is doing what you described and the corporate office heard about it, they would lose their franchise.

Same card, name, different location and ph#
July 8, 2019

I got the same card. Looks like it's in. Don't disguised as hand written. It's from Robin Milligan but return address is Molalla Or (same state) and # is 888-855-8695.

Doesn't seem legit but can't confirm. It's a shame cause my house is in awful condition.

JowadAtwan March 11, 2022

Robin Mckenna was the former head of marketing for homevestors. The return address is from where it was sent.

Who is Robin Milligan?
April 26, 2019
I have received 3 unsolicited post card mailings from a person called Robin Milligan representing HomeVestors. The text of the post cards are all the same with the opening line being: "I'm interested buying your house." The closing line is always "so call me if you're interested in a no-hassle CASH sale." The phone number provided on the post card to call this person is 888-855-8695 but the person answering the call is not Robin Milligan and there appears to be no way to contact this person. I am not interested in selling my house and never contacted this organization or Robin Milligan. I smell a huge rat!

Arlyn May 07, 2019

I'm holding a card this moment I received from a Homevesters rep named Robin Milligan phone:720.574.2283 address:99 Inverness Drive E suite 140 Englewood,CO 80112. Web: hvamail.com.I live in Atlanta,GA but still own property in Colorado.The Englewood address could be legit. Inverness is the location of a number of office centers.What I think this is an old practice in real estate. They get you to agree to sell (usually no money down and a chunk of your equity) and then sell for a higher point and take a fee from the difference.Usually the other party is known to the agent and there has to be enough in the deal for everyone to get paid except the original seller. Legal? yes technically. Ethical? on occasion it works for everyone, but that's not the point for the agent.He wants a fee and he doesn't want to spend a penney to get it. Quick in and out.Due diligence and good luck.

LarryMaloney March 06, 2020

I got the same "Robin Milligan" postcard with an 888 557-1154 phone. The answering service took my info and "Matt " phoned me back with "twenty-questions." The dummy knew nothing about my property - when I asked why all the questions without checking it our before bothering me with his silly postcard, "Matt" replied, I'm trying to decide if I want to buy it." With that, I suggested he call back when he figured it out. "Matt" unleased a chain of vulgarities I never heard in USMC boot camp - he's a frustrated wanna-be real-estate tycoon, I feel sorry for "Matt" Obviously he was sucked into a franchise deal and lacks the people skills to make it work. Poor "Matt."

JowadAtwan March 11, 2022

Robin Mckenna is the head of marketing from Homevestors corp. office.

Ismell a rat October 03, 2022

Funny, I'm in California & my post card says Robin McKenna…Robin is a fake name with fake last names.

harrasing mail?
April 19, 2019
I receive a letter every month telling me they want to purchase my house. My house is not for sales it is in good condition and I am not late in payments. I asked them not to send me mail that they are harassing me, I was told it was just like ads for stores sent to me. I was told that I could opt out of the mail but must call the number on the letter. I still think it is harassment and am contacting a lawyer.

LarryMaloney March 06, 2020

The "every month" request to sell" is likely to appease the poor franchisees who are stumbling. Flipping houses via a franchise isn't a good business model. Others do the same thing without all the franchise costs. They're at a disadvantage before their first deal.

Gave It a Try....BUT....
July 13, 2017
I have a home in a desirable neighborhood. My home has always been well taken care of.... but when my daughter and 3 grandkids had to move it, it became quickly apparent that we needed more room. I reached out to HomeVestors because they said that they looked at market value and then would deduct 10% for normal fees (title, plots, realtor buy/sell fees etc)., plus a small amount for "fixing up". Ok Good... So houses in my neighborhood are going for a consistent rate per square foot... The estimator was very polite and remarked on how little would need to be dealt with to make the house saleable... however, when they returned with an offer...it was 10% lower than market to start and then then dropped it another 20% for the basic costs... Wish I'd have known they were that below market to begin with and saved a couple hours of my life doing something else!