CapRelo Blog

A Buyer Value Option Program Can Benefit Both Employees and Employers

Posted by Amy Mergler on Thu, Mar 10, 2016

v--crs-kristins-blog_posts-blog_photos-sold-resized-600.jpgA Buyer Value Option (BVO) program is designed to aid transferring employees in the quick sale of their homes, with no obligation to pay real estate commission or closing costs. A BVO program offers benefits for employees and employers, as transferring employees will want a quick and easy sale of their current homes and the employer will want their employees’ focus to be on productivity rather that the hassles of trying to move and sell a home at the same time. Here’s how a BVO program works.

Our relocation policy guide can help you develop an effective relocation policy that incorporates a BVO program.

The Sale of the Home is in the Employee’s Hands

Your relocating employee is connected with qualified, approved real estate agents and home marketing professionals to help expedite the sale of the home. Once the employee, working with the approved agent, finds a verified buyer, the company purchases the property from the employee at the approved price. The company then re-lists the home to negotiate and close the sale with the approved buyer

Advantages of Buyer Value Option Programs

  • BVOs can fit in well with tiered relocation programs.
  • If the company normally directly reimburses home sale costs to relocating employees, they can avoid tax-gross up costs with a BVO program.
  • Your relocating employee is given a strong incentive to work toward a quick home sale at a fair price.
  • Unlike a guaranteed buy-out program, a BVO keeps the home out of the company’s inventory.

When a BVO is handled optimally, the employee enjoys a quick sale of their home and the employer doesn’t carry the inventory of ownership for an extended period of time, to the benefit of both parties. The faster a home sale can be finalized, the sooner the transferee can complete their relocation and return their focus to their work in the new location, increasing productivity and significantly reducing stress on both the employer and the employee.


Topics: relocation packages, Tiered relocation packages, Buyer Value Option

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