What Are the Advantages of CPO?

How can you help your home stand out in the marketplace? One of the best strategies we use is getting the home “certified pre-owned.”

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A home purchase falls apart for one of two reasons. Do you know what they are? Either the home does not appraise or it does not inspect well.

When you have a house under contract, you want to ensure it closes. What if you could bulletproof your transaction from any hiccups? You can, by making your home a certified pre-owned home.

Let me ask you this, which is worth more: a car or a house? It’s not a trick question. Yes, obviously the house is worth more, probably twenty times more. So why would you treat it with less respect? You’d get your car looked at by a mechanic before you sold it, so it only makes sense to utilize the CPO program to get your home sold faster and for more money.

Whether it’s a resale or new home, you have a competitive advantage over other homes with a CPO home. It reduces stress, gives peace of mind, and gives you the contract to close security that your transaction will actually go through to the end.

The CPO program is a triple-pronged strategy. First is the inspection, then we have the appraisal, and finally the home warranty.

The idea of having your property or asset pre-inspected is widely accepted. Statistically, it’s proven that buyers and agents love CPO homes. Agents would much rather show a CPO home than one that isn’t. A CPO home is a win-win for buyers and sellers. Buyers pay more appropriately, and sellers make more money.

There’s much less stress with a CPO home. All the negotiation is done up front because there’s nothing you are hiding about the home and nothing for the buyer to uncover. Now let’s talk about step two, the appraisal.


Bulletproof transactions are the way to go.


The No. 1 fear of most sellers is that they are giving their property away. Having a CPO home prevents that from happening because an appraiser is going to give their honest and fair opinion of the home’s value, which you will then share with the buyer. Typical sellers don’t have hard evidence for their home’s market value like an appraisal, so it protects you from lowball offers as well.

Most agents and sellers use what’s called a CMA, a comparative market analysis. It’s a document that compares the home to other recent sales and helps explain why a home is priced where it is. However, the fact that the home’s value is still an opinion leaves the negotiation door wide open.

Appraisals are used by courts, banks, and lawyers as legal proof. Realtor CMAs, on the other hand, are informational and not defendable in a court of law. An appraisal always trumps a CMA because it is done by a state certified appraiser. This puts you in the driver’s seat and gives you the evidential advantage.

Finally, stage three in the CPO process is the home warranty. Now that your buyer has the appraised price and the inspection report, the home warranty ties up any loose ends in a nice little bow. In the first year the buyer owns the home, they will have peace of mind with a home warranty that covers the major systems in their house from any expensive repairs.

If you’re thinking about selling your home, is this the kind of sale you want? Bulletproof marketing and bulletproof transactions are the way to go, in our humble opinion. If you have any questions for us or want our help getting your home CPO before you sell, give us a call or send us an email. We would love to hear from you.

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