Power buyer Ribbon announced Tuesday it has launched services in Ohio, where it will partner with Coldwell Banker Heritage to offer homebuyers throughout the state access to all-cash offers.
“Coldwell Banker Heritage was a natural fit as a partner because they funnel more than 50 years of industry knowledge down to each of their 525 agents in Ohio,” said Shaival Shah, the co-founder and CEO of Ribbon, according to a news release.
In the current low inventory/ high price housing market, buyers wanting to ensure theirs is the successful, accepted offer need to find different ways to compete. All-cash offers are one way to do this, but not all homebuyers are in a position to make them. As a power buyer, Ribbon will purchase a home on behalf of a buyer, regardless of what stage of the mortgage process the buyer is in.
According to the company, RibbonCash Offers come with a guaranteed close and appraisal protection. Ribbon also says it will waive mortgage, appraisal and home sale contingencies. Homebuyers are able to work with their choice of real estate agent and lender when working with Ribbon.
“While homebuyers see the increasing prices of homes as a result of decreasing inventory as a challenge to their own dream of homeownership, institutional investors see the gold mine of giving people no choice but to rent – moving equity out of these communities,” Shah said.
According to Columbus Realtors, 21% of buyers paid all cash in 2021, an increase of 5% from a year prior. And during the first two months of 2022, the share of cash purchases increased to 24.3%. Home prices across Ohio were up 11.7% year over year in February while the number of homes sold grew 1%, and the number of homes for sale fell 26.1%, according to Redfin.
Since Ribbon’s founding in 2017, the company has rapidly expanded. In March, it opened new locations in Virginia, Indiana and Missouri.
Ribbon also operates in North Carolina, South Carolina, Texas, Tennessee, Georgia, Florida, Alabama and Oklahoma. The power buyer says it plans on expanding to the rest of the U.S. by the end of 2022.