Why this is a “cash offer” product and not a mortgage

Legally, the buyer in a power-buyer transaction is the program — not you. The program's purchase contract with the seller has no financing contingency because the program genuinely has the cash to close. The seller sees certainty equal to any other cash offer. You enter the picture on the back end, through a separate purchase contract with the program.

This has a real legal and tax consequence in a handful of states: double-transfer tax, revised title insurance, and in some cases a reassessment trigger. Your power-buyer program will paper around those edges; your own counsel should review the PSA anyway.

ProgramPrimary feeWho holds title at step 1StatesRating
UpEquity2.0% + $500 + 1.25%/moUpEquity145.8Review
Ribbon (revived 2025)1.9% + $895Ribbon75.5Review pending

Right tool when

  • You're competing in a multiple-offer market
  • Your mortgage approval is solid but paperwork takes 45 days
  • Your purchase price ceiling is close to the home's value and any rejection is bad

Wrong tool when

  • You can close conventionally in under 30 days
  • You already have a rate-lock that expires in the reimbursement window
  • Your state has transfer taxes on both legs of the double close

Unsure whether power buyer beats an appraisal-gap guarantee?

Tell us your market. We'll line up both and return the structure with the lower all-in cost to close.

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