SnapDoor is different from property auction sites in three ways:
1. SnapDoor transactions are transparent. The key terms of all offers for properties sold through SnapDoor are made available online to sellers and buyers. This transparency leads to efficient real estate transactions. No private information that reveals the identity of the buyer or their agent is disclosed. With SnapDoor, no one is in the dark. Sellers know the status of offers that have been submitted for their homes. Buyers know where they stand relative to other buyers. Since transparency rules, there is no guesswork. Sellers and buyers benefit.
2. Offers are evaluated not just on price. Most property auctions are straightforward price auctions. Potential buyers offer a price to buy the property AS IS. With SnapDoor, price is not the only consideration when evaluating and ranking (i.e., scoring) offers. Non-price terms of an offer are also taken into account. For example, an offer that waives the home inspection contingency is valued more than one with a lengthy home inspection contingency period. An offer from a buyer who is able to meet the seller's desired closing time frame of 30 days is valued more than one where the closing date is 60 days after ratification.
SnapDoor's proprietary algorithm weighs different factors, including the offer price, to calculate a Snap Score for all offers. The Snap Score calculation for a sample offer is shown below.
3. The process is fair to all buyers. The SnapDoor process is similar to the typical residential property transaction, except that it is conducted mostly online. Buyers conduct home inspections or not, waive financing contingencies or not, and ultimately put forth the best offer. What makes it different, open, and fair is the fact that all buyers are able to know where they stand relative to other buyers.
In most cases, the buyer with the highest Snap Score, i.e., the measure of how close an offer is to the seller's preferred terms (including price), will be successful in their bid. However, state and local real estate laws require final seller approval and acceptance of offers. As a result, SnapDoor cannot guarantee that the seller will accept the offer with the highest Snap Score. Matching seller preferences with buyer ability and willingness is what SnapDoor does as the online marketplace for buying and selling residential homes.
Snap Score for Sample Offer