Buyer Value Option (BVO) Program
In a Buyer Value Option program (BVO), the employee is responsible for listing their home for sale, with marketing assistance from the Relocation Management Company (RMC). The employee must secure an outside buyer willing to purchase the home at a fair market value. A buyer value option program provides all the tax benefits to the employer and employee, but it depends on the employee securing an outside buyer. The employee is funded their equity, if the contract is deemed valid, based on the outside offer amount. The RMC closes the sale with the buyer at a future date. In a BVO home sale scenario, home appraisals are never ordered. Buyer value options are a good way for an employee to oversee the entire process and ensure the best fit for their home. The risk of the home sale falling through falls onto the employee in this home sale option.
the Guaranteed Buyout Option (GBO) Program
What is a Guaranteed Buyout (GBO) program and how does it differ from a Buyer Value Option (BVO)? Under a GBO program, the RMC orders two home appraisals and then averages the two to determine a guaranteed offer, with a fixed acceptance period. If the employee cannot sell their home on their own, the employer takes the home into inventory. The employer must maintain it until the company can resell it. This carries potential risks and additional costs for an employer.
A BVO home sale, on the other hand, minimizes this risk since the employer only purchases the home after the employee has secured an outside buyer. BVO and GBO home sale programs provide tax benefits to the employer and employee. Consider both relocation options, BVO or GBO home sales, to decide which aligns best with your company objectives.
BVO Home Sale versus GBO Home Sale
Buyer Value Option (BVO) Program
- The employee is responsible for listing their home (with marketing assistance from the relocation company), securing a buyer, and then the RMC closes the sale with the outside buyer.
- 適切なマーケティングパラメータを設定するために、2人の不動産業者によるブローカー・マーケット・アナリシス（Broker Market Analysis）を実施。
- Tax advantage for the company & transferee. Offering tax assistance & tax equalization can boost retention.
- 住宅鑑定は行わない。
- The employee is not required to attend the closing.
- Minimizes company costs as the buyer is secured by the employee.
- If the BVO home sale falls through, the home goes into corporate-owned inventory.
- Employee remains financially responsible for their home until an outside offer is accepted which might delay their move to a new work location.
Guaranteed Buyout Option (GBO) Program
- RMC orders two home appraisals and then averages the two to determine a guaranteed buyout offer.
- The GBO offer buyout program expedites the relocation process so that transferees can relocate faster.
- If the employee cannot to sell their home on their own, the employer takes the home into inventory and must maintain it until the company can resell it.
- The company carries the risk of owning and maintaining the home until it is sold.
- 会社と譲受人に税制上のメリットがあります。
- The employee is not required to attend the closing.
Our team of relocation experts at WHR Global can help employers and employees with BVO, GBO, and other home sale program benefits.
- 直接償還
- ホームインスペクション
- ホームセールスボーナス
- 売却損
- レンタルアシスタンス/リース・ブレイクアシスタンス
- デスティネーションサービス（仮住まい、家探し旅行、デスティネーションクロージング費用、借り手デスティネーションサービス）。
- 家財の引越し（＋車両輸送・一時預かり）
- Lump Sum Benefits – view Lump Sum breakdown vs. Managed Budget
- 生活費補助
- ポリシーの例外
- ポリシーティアとコアフレックス特典の比較
Let us know if the experts at WHR Global can help you with your BVO or GBO home sale relocation and other global mobility program needs. Our countless years of BVO Home Sales can help you better navigate your journey. This can include the range of tax implications, relocation variables, benefit payouts/amounts, and marketing work. Start your BVO or GBO home sale process on the right foot, with experts leading the way.
連絡先262-523-2800、sales@whrg.com
