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HomeLight BBYS Updated January 2026

The Real Costs: What HomeLight Buy Before You Sell Actually Costs in Los Angeles

HomeLight Buy Before You Sell charges a 2.4% program fee based on your departing home's final sale price. For a $1.2 million Los Angeles home, that's $28,800. But the fee is only part of the equation-the program often generates savings that exceed the cost through non-contingent offer advantages, vacant staging premiums, and avoided expenses. Here's the complete financial picture.

The Base Fee: 2.4% of Your Sale Price

HomeLight charges a flat 2.4% program fee calculated on your departing home's final sale price. The fee is the same whether you sell in 30 days or use the full 120 days.

Home Sale Price	Program Fee (2.4%)
$800,000	$19,200
$1,000,000	$24,000
$1,200,000	$28,800
$1,500,000	$36,000
$2,000,000	$48,000

Important

The fee is collected at closing when your departing home sells-it's deducted from your proceeds along with standard closing costs and agent commissions. You don't pay upfront.

Additional Potential Costs

Beyond the base fee, you may encounter one additional cost:

• If you don't use HomeLight Closing Services: +$1,500
• Solution: Use HomeLight's closing services for at least one transaction to avoid this fee

There are no other BBYS-specific fees. Standard transaction costs (agent commissions, title, escrow) are the same as any sale-you'd pay those regardless of using BBYS.

What You're NOT Paying

Unlike bridge loans or HELOCs, Buy Before You Sell does NOT charge:

• Interest on equity unlock: The equity advance is not a loan with interest
• Origination fees: No points or origination like traditional financing
• Monthly payments: No payments while selling your home
• Prepayment penalties: No penalty if you sell quickly

This is a crucial distinction. A traditional bridge loan at 10% APR costs approximately $4,200/month in interest on a $500,000 loan. Over 6 months, that's $25,200 in interest alone-plus origination and closing costs.

The Hidden Savings: Where BBYS Pays for Itself

1. Non-Contingent Offer Advantage

In competitive LA markets, sellers prefer non-contingent offers because they're certain. Buyers making contingent offers often pay MORE or lose out entirely.

The advantage: Non-contingent offers typically save 1-3% on purchase price. On a $1,000,000 purchase, that's $10,000-$30,000 less paid for your new home.

2. Vacant Staging Premium

HomeLight data indicates homes sold vacant and staged can sell for up to 10% more than occupied homes. Even a conservative 3-5% improvement is significant.

Why vacant homes sell for more:

• Professional staging without your furniture limitations
• Flexible showing schedule (no coordinating with your life)
• Buyers can envision themselves in the space
• No pet smells, personal clutter, or "lived-in" feel

On a $1,200,000 home: 5% improvement = $60,000 higher sale price

3. Avoided Costs

Without BBYS, you often incur costs the program eliminates:

Cost You'd Otherwise Pay	Typical Range
Temporary housing (3 months)	$9,000 - $18,000
Moving twice instead of once	$6,000 - $10,000
Storage (3-6 months)	$600 - $3,000

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The Complete Math: A Real Scenario

$1.2M Pasadena Home → $1M Purchase in Arcadia

BBYS Program Fee (2.4%) $28,800

Non-contingent purchase advantage (2%) -$20,000

Vacant staging premium (5%) -$60,000

Avoided temporary housing -$12,000

Avoided double-move -$6,000

Avoided storage -$1,500

Net Benefit +$70,700

Even with conservative estimates on staging premium and purchase advantage, the math heavily favors BBYS in this scenario.

When the Math Doesn't Work

Buy Before You Sell isn't always the right financial choice:

Low equity position: If you have minimal equity, the 2.4% fee represents a larger portion of your proceeds. With only $100,000 in equity, a $14,400 fee (on a $600K home) is 14.4% of your equity-a significant bite.

Slow market: If homes in your area aren't selling quickly, the 120-day timeline may feel tight. The backup offer (which protects you from being stuck) is below market value-you don't want to need it.

Unrealistic expectations: If your expected sale price doesn't align with market data, you may end up triggering the backup offer.

Comparing to Alternatives

Option	Cost on $1.2M Home (6 months)
HomeLight BBYS	$28,800 (fixed)
Bridge Loan (10% + fees)	$45,000 - $55,000
HELOC (8%)	$25,000 - $30,000
Contingent Offer	$0 (but rarely wins in LA)

BBYS is more expensive than a HELOC but eliminates the contingency problem. It's less expensive than bridge loans and provides guaranteed exit protection.

Ready to See Your Real Numbers?

I'll calculate your Equity Unlock Amount and show you exactly what BBYS would cost vs. what you could save.

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FAQ

Is the 2.4% fee negotiable?

No. HomeLight's program fee is standardized at 2.4% of the departing home sale price. The fee doesn't vary by transaction or agent.

When is the fee paid?

The fee is collected at closing when your departing home sells. It's deducted from your proceeds-you don't pay anything upfront.

What if my home sells for less than expected?

The fee is based on actual sale price, not expected price. If your home sells for less, your fee is proportionally lower.

Are there hidden fees?

The main additional cost is $1,500 if you don't use HomeLight Closing Services. Otherwise, the 2.4% is the complete BBYS-specific fee.

How does this compare to a bridge loan?

Bridge loans charge 9-11% interest plus origination fees. Over 6 months, bridge loan costs typically exceed BBYS fees, plus you bear the risk if your home doesn't sell.

Related Guides

→ How to Buy Before Selling Your Home in Los Angeles → Who Qualifies for HomeLight Buy Before You Sell? → HomeLight vs. Bridge Loans: Comparing Your Options

JB

Justin Borges

HomeLight Partner Agent | DRE# 01940318

Disclaimer: This article provides general information about HomeLight Buy Before You Sell costs. Fees are subject to change. Savings estimates are illustrative and will vary based on your specific market, property, and circumstances. Consult with a qualified agent for projections specific to your situation.