EasyKnock CEO Jarred Kessler defines EasyKnock as a proptech company that is not trying to make a transaction. He’s clear that EasyKnock isn’t in the flipping business and wants to be the largest single-family rental company in the United States. EasyKnock is currently in all 50 states and has a goal of owning 2,000 homes by the end of 2020. That’s a relatively small number compared to Invitation Homes, which had over 80,000 homes in its portfolio as of its third-quarter earnings report.
The company works with homeowners who want to either stay in their home but cash out or eventually move on to another home. Like iBuyers, EasyKnock makes an offer on your home. Unlike many iBuyers, EasyKnock will work with owners of townhouses and condos.
The website collects information on your home and on your plans, including how long you plan to stay in the home. EasyKnock offers two products:
- Sell and Stay, which allows owners to sell their home and rent it back.
- MoveAbility, which helps owners sell and move into another property.
Both products require that a seller have significant equity in their home. With Sell and Stay, you enter into a year-long lease at market rates that renews automatically with a 2.5% increase but can be ended at any time when you are ready to leave. With MoveAbility, the first lease term is six months and you can only renew for a total of 18 months before the home is sold and you have to move out. In either case, if you fail to pay your rent, you can be evicted.
The Bottom Line for Owners
If you want to sell your home and stay in it or move on within a set period of time, EasyKnock is an option that may work for you. Unlike iBuyers, EasyKnock makes an offer at market value because it isn’t planning a quick flip to make a profit. This can make it a good option for move-up buyers or for those who are uncertain about whether they want to stay or go. However, if you don’t need all of the equity in your home and still want the future benefits of ownership, then another option such as a HELOC or home equity loan might be a better choice.