Your Agent Says He/She Will Buy Your Unsold Home? Ask These Questions First
When you're getting ready to put your home on the market for sale and are looking to hire a real estate agent who will help you through this process, you'll occasionally encounter agents who pledge to buy your home if it doesn't sell. This statement can be music to your ears — it's a huge comfort to know that if your home somehow doesn't garner any interest from prospective buyers, you'll still be able to fall back on selling it to your agent. It's a good idea to ask each agent who makes this commitment a series of questions that will help you to evaluate which agent will offer the best deal. Here are some questions to ask.
What Percentage Of The Listing Price Will You Pay?
It's imperative that you know how much the agent will pay you for your home if it doesn't sell. Your agent will suggest an original listing price when you're about to put your home on the market and will pay a percentage of this listing price if he or she ends up buying your home. You'll want to weigh the various percentages that different real estate agents offer so that you can ideally hire the agent who will pay you the most in the event that your home doesn't sell to another buyer.
How Long Do I Wait Before You'll Buy The House?
Different real estate agents have different timeframes for buying your home if it doesn't sell. For example, one agent may advertise that he or she will buy your home if it doesn't sell within 100 days of its original listing date. Ask each agent this question and compare the answers. If you're in a big hurry to sell, which could be the case if you're moving out of town to start a new job, you'll likely want to heavily consider the agent who can offer you the least amount of days to wait.
What Restrictions Are There?
You should always make sure that you have a clear understanding of the restrictions that may apply to an agent's guarantee of buying your home if it doesn't sell. For example, some agents may disclose that they will not buy the home if it fails an inspection. In this scenario, you could have an interested buyer who makes an offer that is conditional on the inspection. If the inspector turns up numerous problems, the buyer will likely walk away. This may mean that the agent will no longer buy your home, too. To get around this risk, the agent may pay for a home inspection before signing on to represent you.
