It's not designed to cure home with unpleasant smell (7)
I believe the answer is:
placebo
'it's not designed to cure' is the definition.
'home with unpleasant smell' is the wordplay.
'home' becomes 'place' ('place' can be a synonym of 'home'**).
'with' is a charade indicator (letters next to each other).
'unpleasant smell' becomes 'bo' (informal abbreviation for body odour).
'place'+'bo'='PLACEBO'
(Other definitions for placebo that I've seen before include "memorial service" , "Psychosomatic remedy" , "Medicine given for its psychological benefit alone" , "drug for clinical trial" , "innocuous dose" .)