Homeward is a real estate service that offers multiple ways for homeowners to leverage their cash to buy a new home — especially in a competitive market, similar to a bridge loan. The company’s products include:
- Get a cash offer: Homeward pays you a significant portion of your home value upfront, plus the additional upside (minus its program fees and carrying costs) once your sells your home on the MLS
- Buy before you sell: Homeward fronts you the cash to buy a new home before you sell, giving you the freedom to move when you're ready
- Make a cash offer: Find a home you love and make an offer backed by Homeward's cash — no financing contingency required
Homeward's cash offer products are designed to boost buying power in competitive markets and increase sellers' freedom to move when they're ready, regardless of how long it takes their old home to sell — but those perks don’t come free of charge.
To take advantage of Homeward's services, you'll pay up to 7% in program fees, on top of any realtor commissions. You'll also pay fix-up costs and carrying costs (taxes, utilities, lawn maintenance, etc.) while your old house sells. While Homeward has decent reviews overall (many of them from partnering agents), a subset of customers have complained that fees end up being significantly higher than anticipated.
"I’d only recommend buy-before-you-sell programs (Knock, Homeward, etc.) if the market is hyper competitive and you need to move now to secure a property you intend to keep," says Darren Robertson, founder and realtor at Northern Virginia Home Pro. Otherwise, the fees and contracts just aren’t worth it. iBuyers and the like are much more straightforward and guarantee better timing."[2]
If you're looking for the certain of a cash closing, be sure to weigh Homeward against more predictable options, such as iBuyers and even local investors providing firm cash offers upfront. You might find that one of these alternatives offers a better fit for your situation.
An offers marketplace like Clever Offers can save you time sourcing offers and figuring out your best options. Past sellers who compared offers with Clever saw an average price gain of +$66,735. Compare the highest cash offers for your home and sell when you're ready — it's free, secure, and you're never locked in.
Homeward overview
| ⭐️ Average customer rating | 4.48/5 (1,404 reviews) |
| ✅ Pros | Unlock equity to buy a new home Chance for a second payout following upfront cash Choose your own agent |
| ❌ Cons | Added fees Full realtor commission No control over repair and carrying costs |
| 🧰 Core services | Sell for cash Buy-before-you-sell Make a cash offer |
| 💵 Fees* | Sell to Homeward: 7% Buy Before You Sell: 3.5% Make a Cash Offer: 1.9% |
| 📍Locations | Statewide in AZ, CO, DC, GA, MD, NC, OR, SC, TN, TX, VA, WA |
What is Homeward?
Homeward is a real estate company that helps homeowners sell their homes and purchase a new property with more convenience. The company provides three core service offerings, which include:
Sell to Homeward. Homeward makes an upfront cash offer on your home, with up to 80% of its value. If you accept, the company lists your home with an agent and sells it on the open market. You recoup any remaining upside after realtor commissions and program fees.
Buy Before You Sell. Homeward purchases your new home before selling your old one. Then, you move into your new home, list it on the open market, and pay Homeward back for your new home after it sells.
Make a Cash Offer. Homeward backs your new home purchase with cash. You can either close with traditional financing or let Homeward buy on your behalf. If Homeward buys, you pay rent until you secure funding.
Brett Ringelheim, a real estate agent at Compass in New York, sums up the core appeal of Homward's products: "If you find your dream home and need to sell, but don't want to lose out on a home while waiting to sell yours first, the programs allow you to purchase your dream home."[4]
The ability to unlock cash for your next home purchase comes with a significant drawback — higher fees.
Homeward pros and cons
Homeward makes selling and buying a new home easy, but is working with the company worth it?
Pros
✅ Unlock your home’s equity to buy a new property
The Buy-Before-You-Sell program helps you unlock your home’s equity by putting a cash-backed, non-contingent offer down on a new home. This cash offer can make the difference between winning your new home and losing the deal.
✅ Make full listing price on a cash offer
Most cash buying companies only offer about 70% of a home’s after-repair value (ARV). When you sell to Homeward, Homeward pays cash upfront and helps customers unlock their home’s full value by selling on the open market at full price after accepting the cash deal — passing on any remaining proceeds after its fees and selling costs are deducted.
✅ Choose your own agent to work with
Homeward's fees are somewhat higher than competitors offering similar home trade-in services. However, unlike some of the alternatives, Homeward lets you choose your own agent — which can give you both savings (if you shop round for competitive commission rates) and peace of mind while navigating a complicated trade-in process.
Cons
❌ Homeward’s services come with significant fees
Customers pay extra for the convenience that Homeward offers. While most home sales cost sellers between 5% and 6% in agent commissions (plus closing costs), you can expect to pay these fees on top:
- 7% for the cash buying program
- 3.5% to buy before you sell, plus carrying costs (2.5% if you use Homeward Mortgage)
- 1.9% to use a Homeward Offer, plus carrying costs (0.9% if you use Homeward Mortgage)
❌ You'll also pay carrying costs on your old home
The extra fees charged by Homeward don’t cover any realtor commission. This means you may pay up to 6% in commission, plus any program fees.
❌ No control over repair and carrying costs
Once you're under contract, Homeward decides which repairs are "necessary" before your old home can sell — and charges the full costs to the seller. You're also responsible for carrying costs like utilities, taxes, and upkeep until the home resells, which can drag on if it lingers on the market. These unpredictable, seller-borne charges are among the most common themes in negative Homeward reviews.
Homeward reviews
| Source | Average Rating | Review Count |
|---|---|---|
| BBB | 1.0/5 | 7 |
| 4.7/5 | 1,037 | |
| Trustpilot | 3.9/5 | 360 |
| Weighted Average: | 4.5/5 | 1,404 |
Homeward has a decent reputation with clients, with a 4.48 out of 5 average across BBB, Google, and Trustpilot reviews. However, it should be noted that many recent reviews are from agents who partner with Homeward and not from home sellers themselves.
Past reviewers praise the company's programs for giving them the ability to make a strong offer on their new homes and move on their timeline —without having to live in their old home while it's being marketed and shown. However, a handful of unhappy customers claim that Homeward's fees are both excessive and unpredictable, leaving them with far less of a payout than they had expected.
✅ ‘This option was a GREAT choice for my clients’
Many recent Homeward reviews are from partnering agents, who praise the company's ability help their clients keep more of their equity. Some people report making significantly more money on top of the first cash deal on their homes.
This option ended up being a GREAT choice for my clients. The GOAL was to get them a good second check, and we did. Their second check was almost $59K over what they had already made on their first closing, and they were VERY happy.
✅ ‘We were able to move into the home that we love’
Having a Homeward Offer makes it easier for people to place an offer on a new home. Many reviewers cite the company’s services for the ability to make a purchase.
…Homeward helped us by giving us the opportunity to bring a cash offer to the table when purchasing our home. It allowed us to have the flexibility to sell our home while living in the home we hoped to buy, and made the process incredibly organized and smooth while leading us step by step in this whole process.
❌ 'This is a scam'
One of the biggest complaints among Homeward customers is that their final proceeds are far less than what they were initially led to believe — often as a result of hidden or tacked-on fees.
This is a scam. DO NOT USE THIS COMPANY!!! They lie about the second check coming. Our house sold for $200,000 more than the first initial sale. WE were supposed to get a 2nd check for $70,000. Our check was $1738. They make up fake expenses and fees. Total SCAM!!!
❌ ‘Incredibly large fee’
Several customers also complain that repair and maintenance costs far exceed the initial estimates given, with some going so far as to accuse Homeward of deliberately inflating expenses in order to lessen their second payout.
If you are considered an investor and are going to offer money on a house to buy, then BUY the house. Stop holding sellers accountable for making sure the house will resale after they leave. What is this incredibly large fee (I think 7%) that you take off the top for anyway? And then they make the sellers pay for septic inspections, septic repairs, electrical inspections, foundation inspections, and the list goes on. They also make you keep utilities on until after they sell the house to someone else...and sellers have to do all repairs that Homeward deems is "necessary" for an extremely large price. That is absolutely ridiculous.
Homeward vs. other buy-before-you-sell options
| Company | Program Fee | Use your own agent? | Locations | Avg. customer rating |
|---|---|---|---|---|
| Homeward | 3.5% (2.5% w/ Homeward Mortgage) | ✅ | Multi-state | 4.48/5 (1,404 reviews) |
| Clever Offers | Varies by partner | ✅ | Nationwide | 4.9/5 (4,542 reviews) |
| Knock | 2.25% + $1,850 | ✅ | Multi-state | 4.78/5 (961 reviews) |
| Flyhomes | ~2.5% loan origination + ~9.990% APR* | ✅ | Multi-state | 4.87/5 (1,675 reviews) |
| Orchard | 1.9–2.4% + 3–6% brokerage fees | ❌ | Multi-city | 4.06/5 (823 reviews) |
*Flyhomes advertises no program fees, but you pay variable loan origination fees and APR with Flyhomes Mortgage
Clever Offers: Compare your options all in one place
Rather than a direct bridge loan provider, Clever Offers is a free, no-obligation service that helps you compare a variety of selling solutions to find the right fit.
Options range from direct cash offers from iBuyers like Opendoor to buy-before-you-sell solutions offering cash upfront, plus additional upside at closing. You get multiple solutions to choose from, which allows you to sell fast while getting the best deal for your house.
You can also receive support from Clever's 5-star rated agent network to see how offers compare to traditional listing options.
Knock: Wider coverage and money for repairs, but no rebates
Knock offers a similar buy-before-you-sell program to Homeward, offers up to $35,000 to cover repairs before selling your old home, and is available in several more states. It's also the top-rated buy-before-you-sell product on the market.
Knock’s 2.25% service fee (plus $1,850 loan origination) is also slightly cheaper — although the price gap shrinks for homeowners who take advantage of the discounts offered through Homeward mortgage.
Flyhomes: Spend less, but no freedom with agent selection
Flyhomes is a Homeward competitor with potentially lower fees. The company’s buy-before-you-sell program has no charge, but you pay a loan origination fee of up to 2.5% of the loan amount to the company’s affiliate lender, Flyhomes Mortgage[1]. You'll also pay short-term APR of around 9.99% for each month that your bridge loan is outstanding.
Either company will allow you to work with the realtor of your choice to sell your home, which may allow you to offset some of the costs of your bridge loan.
Orchard: Repair costs and rent covered, but limited service area
Orchard covers repair costs with its buy now, move later service. And customers can enjoy 30 days rent-free to secure financing after moving into their new home — a significant draw over Homeward’s carrying costs that starts on day one.
That said, Homeward’s service area is significantly larger than Orchard’s, and you’ll pay slightly less than Orchard’s service fee when you use Homeward Mortgage.
More Homeward alternatives to consider
Homeward’s programs can help streamline your real estate transactions, but they aren’t the only way to reduce stress when buying and selling simultaneously.
Working with an experienced agent or iBuyer can make the process go smoothly without the significant overhead.
Sell with an experienced listing agent
An experienced listing agent can help you have a smooth buying and selling process by negotiating for a lease-back or closing dates that match your timeline. However, you won’t benefit from a cash-backed offer like with Homeward.
If you want to make the most of Homeward’s buy-before-you-sell program and save money on commission, a low-commission real estate broker or agent matching platform, like Clever, might be the right fit.
Clever negotiates with top agents on your behalf to secure 1.5% commissions from top agents at reputable brokerages like Century 21 and RE/MAX. These discounted rates may offset some of the extra costs of getting a cash-backed offer.
Sell to an iBuyer
Opting for an iBuyer’s upfront cash offer can simplify your selling process and help you get cash on hand when buying a new home — but there are some drawbacks.
While iBuyers like Opendoor pay more than other real estate investors, those offers come with service fees attached. You also miss out on selling your home on the open market to make extra on top of the cash deal, like you do with Homeward.
How Homeward works
Buy Before You Sell
Overview: Homeward's Buy Before You Sell program lets you make a strong, contingency-free offer on your next home before your current one sells — so you can move on your own timeline and list your old home for full market value instead of rushing a discounted sale to free up cash.
How it works:
- Get pre-approved with Homeward to set your budget. The program unlocks up to about 80% of your current home's market value based on your equity and finances. You can opt for a conventional, jumbo, VA, and land loans for your new home, but the program does not work with FHA or USDA financing.
- Make a cash-backed, non-contingent offer on your new home. You can buy through the agent and lender of your choice, then move in — using the unlocked equity to pay off your old mortgage and cover your down payment, avoiding double mortgage payments.
- List and sell your old home. After you move into your new home, you'll work with your agent to sell your old one for full market value. You keep paying carrying costs (and any extension fees) on the old home until it sells, so a slow sale erodes your equity — the program fee covers the first 90 days, after which extensions run 1% per month.
- Repay the equity you borrowed once the old home sells. If it doesn't sell within 180 days, Homeward buys it at a pre-agreed floor price — typically 90–95% of market value, minus a 6% commission — though Homeward says 99% of clients sell on the market first.
What it costs: Homeward's Buy Before You Sell fee starts at 3.5% of your current home's market value and can be as low as 2.5% if you finance your new home through Homeward Mortgage. That's on top of standard realtor commissions (typically 5–6%) and closing costs (typically 1–3%). If your old home doesn't sell and Homeward buys it at the floor price, Homeward deducts a standard 6% agent commission from that purchase to cover real estate and title fees.
Get a Cash Offer (Sell to Homeward)
Overview: Sell to Homeward lets you cash out of your current home upfront and still sell it on the open market for any additional upside. You get speed and certainty now — but Homeward holds back a reserve to cover its fees and your selling costs, and the size of your second payout isn't guaranteed.
How it works:
- Get your offer and cash out. Homeward values your home using public market data plus input from you and your agent, then makes a cash offer for most — not all — of its value. You receive your proceeds at closing (Homeward's valuation minus its program fee, any seller credits, and typical closing costs), can close in as little as 21 days, and may lease back the home for up to 14 days.
- Homeward holds back a reserve. Rather than releasing your full equity, Homeward keeps a reserve to cover its program fee, realtor commissions, closing costs, any repairs it deems necessary before resale, and the carrying costs — utilities, taxes, and upkeep — that you remain responsible for while the home is relisted.
- Your agent relists the home. Homeward works with the agent of your choice to sell on the open market for top dollar.
- The second payout — if any. If the home resells for more than Homeward's offer, you get the difference (your "second check") after the reserve and all deductions. That upside isn't guaranteed, though. Reviewers frequently report final payouts far smaller than projected once repair and carrying costs are subtracted. The flip side is genuine downside protection — if the home sells for less than Homeward paid, or doesn't sell, you keep your initial proceeds and owe nothing more.
What it costs: You'll pay Homeward's program fee — a flat percentage of the sale price that was previously published at 7% — plus standard realtor commissions, closing costs, any repairs Homeward requires, and carrying costs until the home resells. Most of these are drawn from the reserve Homeward holds back, so they shrink your second payout rather than coming out of pocket upfront.
Make a Cash Offer (Buy with Homeward)
Overview: Homeward's Make a Cash Offer program turns your financing into a cash-backed offer so you can compete and win in a hot market. Once you're under contract, you either close with your own financing or have Homeward buy the home on your behalf and sell it back to you at the same price once your loan is ready.
How it works:
- Get approved so you know your price range before you start shopping. Unlike Buy Before You Sell, the cash offer works with jumbo, FHA, and VA loans, and can help you close in as little as 14 days.
- Make a cash-backed Homeward offer on the home you want; if it's accepted, you pay an earnest money deposit and sign a purchase contract.
- Close and move in — either with your own mortgage, or by having Homeward purchase the home with cash and rent it back to you until you secure financing. If Homeward buys on your behalf, you'll pay rent or carrying costs based on the interest Homeward accrues until you buy the home back — so a slow path to financing adds up.
- Buy the home back from Homeward at the same price, using any lender (or Homeward Mortgage for a fee credit).
What it costs: Homeward charges a program fee on the purchase (previously 1.9%, but now no longer publicly disclosed), reduced or waived if you finance through Homeward Mortgage. You'll also pay rent or carrying costs while Homeward holds the home, based on the interest it accrues until you buy it back.
Homeward Mortgage
You can use any of Homeward’s services with any lender, but you receive a credit back when financing through Homeward Mortgage. The mortgage service functions like any other lender — you can use it to apply for a conventional, VA, jumbo, or FHA loan.
There’s only one application to get approved for a Homeward cash offer and a mortgage, streamlining the process. However, Homeward's rates and fees may not be the most competitive, so it's worth it to get quotes from multiple lenders.
Homeward Title
When Homeward buys your new home with its cash, and then you buy it back with your mortgage, there are two real estate contracts and two closings. Using Homeward Title helps you avoid duplicate fees by covering the extra title insurance.
What to watch out for with Homeward
Buy before you sell fees may not be worth it
Selling with a full-service agent already costs 5–6% of your home’s sale value (2.5–3% to the listing agent and 2.5–3% to the buying agent). Homeward’s 3.5% charge for Buy Before You Sell on top of those fees almost costs the same as a third agent.
If you want to offset some of the service fees, using Homeward Mortgage and looking into a low commission real estate agent in your area could save you significant cash.
Selling for cash eats into your profit
Opting for Homeward’s cash buying program sounds good on the surface — accept a cash offer AND make more money afterward — but you go through two real estate transactions.
That means you’re paying 7% on the first offer from Homeward, plus the 6% that Homeward holds back to cover realtor commissions. Homeward also holds back a significant amount for repairs, utilities, and maintenance (e.g., lawn care and cleaning) while your old house sells and reserves the right to spend even more or offer buyers concessions without your approval.
If you want to sell your house fast, looking into an iBuyer or shopping around for a real estate investor might be a much more predictable route.
Carrying costs can add up
Selling on the open market can take time. If you choose to Sell to Homeward or Buy Before You Sell, you may be stuck paying carrying costs on your old home for an extended period before it sells.
It’s essential to choose a real estate agent with a proven track record of fast sales to ensure you don’t pay more than you need to in carrying costs.
How does Homeward make money?
Homeward makes money by charging service fees on the programs it offers. Depending on the program, these fees range anywhere from 1.9% to 7%, with discounts if you opt to use Homeward Mortgage to fund your next home purchase.
Homeward fees
| Program | Fee | Approx. cost ($600k home) |
|---|---|---|
| Buy Before You Sell | 3.5% (2.5% with Homeward Mortgage) | $21,000 ($15,000 with Homeward Mortgage) |
| Sell to Homeward* | 7% of your home's final sale price | $42,000 |
| Make a Cash Offer* | 1.9% (0.9% with Homeward Mortgage) | $11,400 ($5,400 with Homeward Mortgage) |
*Homeward no longer discloses the fees for its Sell to Homeward or Make a Cash Offer program. Fees are estimated based on last publicly disclosed values and customer reviews. Fees do not include repairs, carrying costs, realtor commissions, or closing costs.
Where is Homeward available?
Homeward is available in the following markets: Arizona, Colorado, District of Columbia, Georgia, Maryland, North Carolina, Oregon, South Carolina, Tennessee, Texas, Virginia, Washington.
Bottom line: Is Homeward worth it?
Homeward’s number one benefit is convenience. For example, you can accept a cash offer on your home and still sell on the open market with a cash deal already in your pocket.
But that convenience comes at a price. In most cases, you’ll pay significant service fees and carrying costs that might offset any upside you make.
Before you choose Homeward, it’s best to look into different platforms. Other buy-before-you-sell platforms may offer lower fees, and requesting a quote is free with no obligation to move forward.
Your realtor may also know of lending programs that help minimize the stress of buying and selling, so ask a few agents before settling on a program.
Want a simpler way to compare your options? Clever Offers makes it easy to find the best path forward for your home sale by helping you compare a variety of options all in one place — ranging from competitive cash offers to buy-before-you-sell solutions providing cash upfront, plus additional upside at closing. Get started with a few quick details about your home and see your best options side-by-side — no added fees or obligation to move forward.
FAQs about Homeward
Is Homeward a legit company?
Yes, Homeward is a legit company that helps homeowners buy a new home before they sell their old one. Its Buy Before You Sell service is available to sellers whose current home is in the following states: Arizona, Colorado, District of Columbia, Georgia, Maryland, North Carolina, Oregon, South Carolina, Tennessee, Texas, Virginia, Washington. Your new home can be anywhere in the U.S.
Founded by Tim Heyl in 2018, Homeward raised a $371 million round of debt and equity in May 2021. Like many "power buyer" companies, it contracted during the 2022 housing slowdown, cutting roughly 20% of staff in August 2022 and about 25% more that November, but it remains in operation today. Homeward is headquartered in Austin, TX, and operates three divisions: Homeward Cash Offers, Homeward Mortgage, and Homeward Title.
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What does it cost to use Homeward?
Homeward's fees depend on the program. Its Buy Before You Sell program starts at 3.5% of your current home's market value and can be as low as 2.5% if you finance your new home through Homeward Mortgage. Homeward also charges a 1.9% fee for its Make a Cash Offer service and a 7% fee for its Sell to Homeward cash-buying service.
On top of program fees, you'll pay standard realtor commissions and closing costs, plus carrying costs (or rent) on your new home until your old one sells — so the all-in cost runs meaningfully higher than a traditional sale, depending on your mortgage choice and agent commission.
Can you buy a new construction home with Homeward?
Yes! Homeward will require information about the new home's specifications, price, proposed completion date, and percentage of completion.
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