Guaranteed Home Sale Programs: Legitimate or Gimmick?

By: Joshua Campbell

Guaranteed Home Sale Programs: Legitimate or Gimmick?

Tags: Real Estate, renting, buying, selling, real estate tips, residential, rent, Ontario, tenant, moving, guaranteed home sale, home sale programs,

2 minute read.

Selling your home can be a stressful and overwhelming task. Guaranteed Home Sale Programs are designed to make this process much easier but what exactly are the guarantees and is there a catch?
What are Guaranteed Home Sale Programs?
Guaranteed Home Sale or “I Buy” programs are a marketing technique used by real estate agents to try and get your business. Essentially if your home does not sell within a certain time frame, the agent or brokerage will purchase it from you.
As such, this selling strategy could entice many sellers to consider it. It sounds like the perfect safety net to relieve you from stress and financial worry.

So What’s the Catch?

If these Guaranteed Home Sale Programs seem too good to be true it’s because they are – at least in my opinion. We at Knowledge Broker call these the “Asterix” programs.  Sellers must take the time to carefully read through the fine print of the contract to truly understand what they are getting into.
Here’s the inside scoop: 
So in the end, if you can still agree to all the rules and limitations, the Guaranteed Home Sale program could work for you.  Just remember that if someone else is taking the risk and guaranteeing to buy your home, there is a hefty price to be paid for that type of security.

The Real Deal

Of all the agents that market a “Guaranteed Sale Program”, they only end up getting “stuck” with one or two over their entire career.  Yes, I said stuck because that is what they refer to it as. Think about it. Do you really think you are going to end up utilizing the guarantee when you will end up losing that much money? The straight-up answer is NO.
Let’s dive even deeper. If you did decide on an agent because of this program, you chose one that is more concerned about your home selling versus getting the highest price possible. How can an agent work to get you the highest price possible when they are trying to avoid buying it themselves? These mixed motivations are too conflicted.
In our opinion, it’s just a gimmick to distract you from selecting the best agent for the job. Instead, our suggestion is to find an agent that has the appropriate skill set to represent you and your home. For what is typically the largest asset you will ever own, hire someone who keeps your best interest as the top priority.

My goal as your Realtor and Knowledge Broker is to cultivate an open source of information between us. Knowledge is power and creates experts and understanding. Connect with us here on the website or on social media at “@knowledgebrkr”.

My knowledge becomes your asset and my hard work is your vehicle to success.”

JOSHUA CAMPBELL (@knowledgebrkr)
Real Estate Broker
Coldwell Banker The Real Estate Centre, Brokerage
249 Avenue Road • Newmarket, ON L3Y 1N8
Phone 289.231.0001


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