Well, all we can say about guaranteed sales programs is this: if those agents really went around buying every overpriced home they listed after it didn’t sell for 60 to 90 days they wouldn’t be in business long.

Let us tell you how they usually work.

You agree to list your home on a guaranteed sales program. The program requires you to make certain repairs and upgrades before you list your home.

In fact, often times they will require that you buy a home inspection and fix everything that is deficient.

Then you will agree to a listing price. Your home will then automatically drop in price to predetermined prices every 30 days or two weeks whatever the agent decides.

Then if your house doesn’t sell they will buy it from you at the lowest price or below.

You usually pay a higher commission for these programs sometimes 9%.

At the end of the day, if the agent ends up buying your house, they get the full commission, both the buyers side and the sellers side plus the additional rate commission because you are in the guaranteed program, and the house they buy is fully repaired and updated and ready to be listed as a rental right away.

Seems like a pretty good deal for them, maybe not so much for you.