Frequently Asked Questions

What if a buyer needs to sell their current home in order to purchase a new home?

At this time, Leadoff cannot accommodate buyers with a home sale contingency. We hope to change this in the near future and make Leadoff cash offers accessible to even more buyers. Stay tuned.

Who holds the buyer's earnest money deposit?

Just like a traditional purchase, the buyer's earnest money deposit and any other escrowed funds are held by the escrow agent responsible for coordinating the closing. For Leadoff buyers, this will be a closing attorney or title company approved by Leadoff.

Should I still get an inspection? What happens if the inspection reveals issues with the property?

Leadoff does not require buyers to conduct an inspection. The buyer and buyer's agent decide if/when an inspection is conducted and manage any negotiations with the seller related to inspection findings.

What if a buyer wants to offer more than the expected appraisal value of the property?

Before an offer, Leadoff establishes a "Threshold Offer" based on the property's estimated appraisal value, the down payment and the loan amount. An Appraisal Gap exists only if the planned offer exceeds the Threshold Offer. In this case, to use Leadoff, buyers must deposit an amount equal to the difference along with their earnest money. Appraisal Gap deposit funds are credited in full to buyers at closing.

Where is the Leadoff cash offer program available?

The Leadoff cash offer program is currently available to eligible home buyers in every state, with the exclusion of Hawaii and Alaska.

What property types qualify for the Leadoff cash offer program?

Leadoff cash offers are currently available to eligible borrowers for the purchase of single family homes and condominiums and townhouses with 2-4 units. In the near future we hope to expand the program to include other property types.

How much does it cost a buyer to participate in the Leadoff cash offer program?

Buyers pay nothing upfront to submit cash offers, and there's never a charge unless the Leadoff cash offer wins and a purchase agreement is finalized. In other words, if Leadoff doesn't help a buyer win, they don't pay a dime. When a buyer does win with Leadoff, they pay one-time program fee of $499.

How long does it take Leadoff to approve new buyers to make cash offers?

Leadoff works together with participating lenders to make Leadoff registration as seamless as possible. The process is fully digital, and most buyers are approved for Leadoff less than 24 hours after being pre-approved by their lender.

Do Leadoff participating lenders offer competitive rates?

Participating lenders are selected based on their expertise, reliability and reputation. Each has access to a broad suite of products and will deliver the lowest available rate for each buyer. Our goal is an on-time closing every time, and working with the best lenders ensures we achieve this goal.

Who manages negotiations with the seller?

The offer and negotiation process is fully managed by the buyer and the buyer's agent, just like in a traditional purchase. Leadoff does not interact directly with the seller or the listing agent. Our sole job is to make buyers more competitive with the power of cash offers.