Guarantee-Sale Program Q&A's
Q: Does the Homestead REALTOR® work for us or for the Builder?
A: During the listing period the REALTOR® works for the Seller. The REALTOR® has knowledge of the terms and conditions of the Seller's Guarantee-Sale Contract they have executed with Homestead.
Q: Does Homestead have to visit our property before a guarantee offer is made?
Q: Will Homestead visit our property before we have signed a contract to purchase a new home with our Builder?
A: Yes, however Homestead will not pay for an appraisal unless a contract has been signed with the builder.
Q: How soon will we receive a guarantee offer from Homestead?
A: Within 7-10 days from date of appraisal.
Q: Are we assured of receiving a guarantee offer from Homestead?
A: No, Homestead reserves the right not to extend a guarantee buyout offer.
Q: What expenses will we incur to pursue a guarantee offer from Homestead?
Q: What expenses will we incur if we accept Homestead's guarantee offer?
A: A home inspection fee of $395.00
Q: What expenses will we incur if we sell our home to Homestead pursuant to the guarantee?
A: The same as would be incurred by other Sellers who list their home with F.C. Tucker. Total expenses will approximate 9% of the guarantee sale price, consisting of a real estate commission 7% of the sale price, prorated real estate taxes the cost of obtaining owner's title insurance, a charge for a survey, a fee for preparation of a deed and affidavit, and closing fee. See Example
Q: Will the expenses associated with the possible sale of our home to Homestead be established up front?
A: Yes, the expenses are itemized in the Guarantee-Sale Contract.
Q: What property tax liabilities are we responsible for if Homestead acquires our home?
A: Property taxes are prorated to the date of closing.
Q: If our home sells for more than the guarantee, do we retain the extra sale proceeds?
Q: If we receive an offer on our home that nets us at least the guarantee amount prior to mortgage repayment, are we required to accept the offer?
A: Yes, unless the offer has to be countered for other reasons, or unless Homestead agrees to allow a counter-offer.
Q: What is the appraisal value of our home and will that be the price that Homestead guarantees?
A: The appraisal value of your home is a value established by a professional appraiser that they believe the home will sell for within 90-120 days. The appraised value is one of several factors considered by Homestead in formulating the guarantee offer.
Q: Why must we reduce our list price every 30 days?
A: The Guarantee-Sale Contract requires a list price reduction every 25-30 days to protect and maximize your equity in your home.
Q: If the inspection report discloses a repair concern, are we required to take corrective measures?
A: Homestead has the right to require an amendment to the Guarantee-Sale Contract requesting the repair or replacement of items disclosed by the inspection report. You have the right to decline any repair and/or replacement request. In the event you decline any request, Homestead has the right to cancel the Guarantee-Sale Contract.
Q: Are we responsible for maintaining the condition of our property and the functionality of all mechanical equipment, systems and appliances until the date we give up possession?
Q: If we do not provide access to our home for showing requests, or if we do not keep our home in a presentable manner, can Homestead terminate our Guarantee-Sale Contract?
Q: If we sell our home before our new home is completed, do we have to move to temporary housing?
Q: If our home is currently listed with another REALTOR®, may we still pursue a Guarantee-Sale Contract with Homestead?
A: No, Homestead will not pursue any part of the guarantee-sale program process if your home is currently listed.