Michael Alladawi, CEO and founder of Revive Real Estate, at the company headquarters in Irvine on Thursday, Feb. 29, 2024. “Consumers usually leave about 15-20% of the money on the table … when they sell,” Alladawi said. But some owners would rather sell their home as-is than face the hassle of getting it into turnkey condition.
If the homeowner needs cash fast, Revive will buy the home at 80% of its value, using the remaining equity to cover renovation costs. After the home sells, Revive gives the owner a second check, handing over all the profits minus renovation costs, closing costs and a 6% fee. Consumers usually leave about 15-20% of the money on the table by not maximizing the value of their homes when they sell them.
Essentially, we can be the consumer-facing entity that takes care of all the front- and back-office tasks of a contractor, letting the contractor focus on one thing, which is man-powering that job.First of all, what the after-renovated value of a home could be and what the as-is value of the home is today.Sometimes there isn’t. Maybe you already have a really nice house. And sometimes that delta is very big.
And Revive only takes on projects in a market where homes move in 60-90 days or less, and we only take on renovations that can be completed in a maximum of 60-90 days. The only guy that gets hired is the cheapest guy. So, contractors have figured out how to manipulate their bids to appear cheaper by excluding things that they know will need to be added in later.