Broker partners with fintech zavvie can now take advantage of “Cash Offer” and “Buy Before You Sell” solutions, the company announced in a press release.
The white-labeled solution, “zavvie Power Buyer” is currently available to 14 partner brokerages in eleven states and Washington D.C.
Zavvie’s goal is to help lenders increase their mortgage capture rates through solutions geared toward the housing market correction.
Brokers may be concerned about owning homes they can’t sell because of Power Buyer programs, but Hornung says zavvie has not owned even one home since it soft-launched last year.
“When brokerages use zavvie Power Buyer, they are seeing between a 10% and 15% increase in their mortgage capture business because we connect clients directly to the brokerage’s preferred lender,” zavvie CEO and co-founder Lane Hornung said.
The program is available at brokerages including The Keyes Company in Florida, Home Pros in Texas, RE/MAX Professionals in Colorado, and Berkshire Hathaway HomeServices Stouffer & Preferred in Pennsylvania, among a handful of others.
“Immediately empowering buyers with Cash Offers, or sellers with a Buy Before You Sell solution, can create more transactions and open up more inventory. As a bonus, adding our in-house mortgage company as the ‘go to’ for all solutions – traditional and modern – has increased our capture rate,” said Christina Pappas, President of The Keyes Company.
Hornung noted that power buying may see an upswing in 2023 as struggling first-time buyers turn to cash offers to secure a home. Cash offers are four times more likely to be accepted than financed offers and close faster.
“Research shows how cash offers have surged, with about one in three transactions being all cash. Helping first-time buyers be able to make an offer that is equivalent to cash is a win for everyone,” said Frank Gay, principal and chief executive officer of Home Pros Family of Companies in El Paso, Texas.
Last month, zavvie completed a $3.5 million funding round led by existing investors, including Second Century Ventures, the startup incubator backed by the National Association of Realtors. The company works with more than 75,000 agents nationwide and saw a 400% increase in brokerage-assisted transactions from 2021 to 2022.