Offerpad providing new incentives for agents who bring clients
The iBuyer has introduced two new tiers in its agent partnership program, which provide up to 4% in referral fees and access to more sell-side deals.
Key points:
- The company's new "Pro" and "Max" programs incentivize agents to bring their sellers to Offerpad.
- In addition to commissions, the company is offering an "invite-only" program for high-producers to win more deals.
- Offerpad appears to be looking for ways to rebuild after suffering heavy losses over the past year.
Arizona-based iBuyer Offerpad has announced a pair of agent incentive programs and bolstered referral fees for those who participate. Offerpad has received over 130,000 cash offer requests from agents in the last three years, the company said in the latest announcement, but they are seeking to ramp up repeat business.
Agents can earn up to 4% on Offerpad deals
Offerpad's new initiatives, Offerpad Pro and Offerpad Max, aim to sweeten the deal for agents who bring clients to the iBuyer.
Offerpad Pro will allow agents to list a home that they represented on the sell side and brought to Offerpad. The company already pays agents a 3% fee for closed sales to Offerpad, but through the "Pro" initiative, the company will give agents an additional 1% for relisting and selling.
A second new tier, Offerpad Max, builds on the benefits offered in the Pro program. The company describes Max as an "exclusive invite-only program" for agents with a "significant market reach and influence" who want to build an ongoing business partnership with Offerpad.
While Offerpad says this tier is only open to select agents, those agents will still have to purchase their ZIP code or "zone." This program also offers the 3% + 1% commission structure, but the big difference is that agents will get first dibs on listing Offerpad-owned homes for sale in their territory.
Offerpad seeking new avenues for growth after a tough couple of years for iBuyers
Similar to how brokerages compete for top-producing agents and teams, the big iBuyers — which have been whittled down to Opendoor and Offerpad after several other companies abandoned their iBuying programs — see opportunity and a competitive advantage by partnering with agents. Opendoor bolstered its own agent program last year and introduced a points-based "loyalty" program for agents who do repeat business with them.
Offerpad says its new tiers will not only help drum up more business and revenue for agents, it also supports its mission to streamline the homebuying and selling process for consumers.
"Sellers opting for representation by an agent can still enjoy the advantages of receiving cash offers from us, as we continue to prioritize this foundational focus," Kyle Rush, senior vice president of growth for Offerpad said in the announcement. "Agents who partner with Offerpad can not only expect to increase their earnings substantially but also gain access to an extensive suite of tools to diversify their consumer offerings."
This program is Offerpad's latest initiative intended to boost business after declining revenue and heavy losses last year. In October, the company partnered with Anywhere with the goal of getting more cash offer opportunities through relationships with Anywhere agents in Offerpad markets.