Understanding guaranteed sale programs

Have you heard of realtors offering to buy your home if they don’t sell it within a certain length of time? While guaranteed sale programs may seem like a hassle-free way of selling your home, there are a few things you should know about them first.

You need to do your homework
No two programs of this type are the same. Different realtors offer different terms, and you need to look closely at the fine print. Find out what the limiting conditions are and ask for a detailed explanation of the offer and a written agreement that clearly outlines the costs involved.

You need to ask questions
Ask the realtor about their strategy for selling your home and how much you’ll get if they end up purchasing it. Many guaranteed sale programs involve listing a house under its market value to ensure a quick sale.

You should also get a written disclosure outlining any factors affecting property value and the brokerage’s plans for the property.

They’re not for everyone
Outside of ensuring a quick sale, these programs don’t offer many advantages. Some realtors denounce guaranteed sale programs as mere marketing schemes, citing that they rely on listing homes under market value and that anyone could sell a house for cheap.

In any case, make sure to look up potential realtors through the relevant professional real estate association and be careful before signing anything.