Selling On Roofstock

[Doug Henderson]

I see a lot of info/reviews dealing with buying on roofstock. Anyone here sell on roofstock? I have a good rental cash flowing $600/month after all debt service is paid. Considering using roofstock to sell as Im re-positionsing some assets to go after bigger positions.  Id be interested to hear experiences from those who hav sold on rooofstock. Thanks! Doug

[Jake M.]

I've sold several properties on Roofstock.  There are pros and cons. 

Pros: (1) Huge market access to buyers with a very slick platform 

(2) One inspection during the listing process v. multiple showings in a traditional MLS sale - meaning your tenant is less disturbed and you can keep going business as usual while the property is listed and sold in the background

(3) Commission is quite a bit lower than retail MLS.

Cons: 

(1) Everything is quite slow and bureaucratic.  Setting up a listing takes 1-2 weeks.  Then scheduling an inspection is another 1-2 weeks. Then final certification takes another week.  It's 30-45 days to get listed in my experience. Getting a response from your designated contact on any question can take 1-3 business days.  Forget about getting service on a weekend or holiday. It's very different if you are used to working with a realtor who is invested in your sale and hustling for you. 

(2) The offer/acceptance system is cumbersome.  They just recently added the ability to send notes with your offer.  Otherwise there was no way to communicate with the prospective buyer except through your contact (meaning you'd be sitting on their offer for potentially days before you get a response).  And terms aren't really negotiable in my experience other than price.  E.g., you have two offers, one is higher but the buyer is less qualified.  Normally you'd consider their offer but require more security like a higher escrow amount.  That kind of customization isn't easy at all (not sure if it's even possible) through their platform.  It's designed to be very streamlined and eliminate those kinds of variables.  In that sense they are more of a tech company trying to scale than a real estate brokerage business. 

(3) Even though they use local brokers as required by state laws, they don't like customizing based on local practice because they want to maintain a streamlined purchase agreement, etc.  So things that are customary in certain locations regarding closing costs, treatment of taxes, etc. have to be manually explained and advocated for, which makes the closing process more painful than when dealing with local title companies and realtors.