Please note employer assisted guaranteed home sales plans are light years removed from the following. Employer plans are designed to actually assist and benefit the employee.
Guaranteed home sales plans are not the good deal for the seller proponents advertise them to be. They are a gimmick to give a sales representative a foot in the door. Once at the "kitchen table" the plan is explained and the conditions detailed and more often than not the seller rejects the plan.
BEWARE 'Guaranteed Sale' Programs.
A NOTE ABOUT 'GUARANTEED SALE' PROGRAMS
From: Zillow.com
If the real estate agent or broker you're interviewing offers you a 'guaranteed sale' program as an enticement to list with them, ask yourself three questions:
1) How much below what your home is really worth will they have to price your home to get it sold in the timeframe they are promising? And if the super-low price doesn't net a buyer in the allotted time,
2) How much of your equity are you giving up when the broker 'buys' you out at the sales price THEY picked? Finally,
3) How will you feel if your home sells for tens of thousands of dollars more than you received shortly after your broker buy-out?
If you've thought through this and are willing to potentially leave that kind of money on the table, then a guaranteed sale program may be right for you. But if you're not, your best bet is to get the finest representation available in your marketplace.
Pick the agent that you feel is the most professional, competent and compatible with you. AFTER you've picked your agent, THEN price your home.
There are future consequences for every decision you make with regards to selling your home. Let us show you how our second-to-none listing consultation can prepare you to tackle these consequences head on and with your eyes 'wide open.'
Be Wary of GUARANTEED HOME SALE Programs
Thanks to: Al Maxwell Coldwell Banker-Marietta Georgia
You may have seen the ads..."YOUR HOME SOLD IN 90 DAYS OR WE BUY IT!" or "IF I CAN'T SELL YOUR HOME, I'LL BUY IT!"
It sounds like a great offer and certainly worth checking out, right? Well, most ads that sound too good to be true usually are. Some consider a Guaranteed Home Sale Program to be a scam. Programs like these are used by some agents to get their foot into the door (and your living room) and then lay out the many strings that are attached.
Here's a basic scenario and rules for these programs:
YOU MUST BUY ONE OF THE AGENT'S OTHER LISTINGS: Odds are you probably won't want to buy one of his/her few homes that they currently have. Most agents carry 1-10 listings. You have to like & buy one of these homes to qualify.
THE "GUARANTEED PRICE" WILL BE PRE-DETERMINED: The "Guaranteed price" may be much lower than what you want for it. You may list it to the general market for $425,000, but the price that is "Guaranteed" may be significantly less (usually 75% or 80% of the original list price). This Guaranteed price will be put in writing.
GUARANTEE PROGRAM FEE: Once you agree on a price (above), there may be a FIVE PERCENT GUARANTEED SALE "FEE" which will come off the (low) price that you agreed upon! This nets you 5% less than even the agreed upon price.
MAXIMUM ALLOWED PRICE: Many times, they will not take a house priced over $300,000 or $400,000.
As mentioned, the attractive sell line "Your Home Sold In 90 Days Or We Buy It" gets an agent into many homes to lay out the GUARANTEED PLAN. Most home sellers don't go for it once they see the details, but they go ahead and list under a normal agreement.
