FSBO For Sale By Owner Help & Tips
FSBO For Sale By Owner Help & Tips
Selling your home yourself can be a challenge, but it can be done. The biggest factor I've seen in determining success with FSBO is location. If you are in a metro area where putting a sign up in the yard where several people can see it (busy street), it can work well. But if you are in a rural area without much exposure it can be a lot harder. This obstacle can also be beaten with the internet.
Anytime you are willing to work with a buyer's agent, it is a big plus. There are very few FSBO sales I am aware of where family or an agent wasn't involved. I cannot discuss what to offer, I want to stay in the legal area. The thing to keep in mind is that when there is an agent for the buyer involved, be patient. You may think you are handling everything a listing agent would handle, but in almost every scenario there is more work than normal for a buyer's agent.
Market your home on the internet. More than (statistics vary) 90% of people begin their home search on the internet. Use every site you can think of, you never know what site a buyer might prefer using. There are 75 sites we make sure properties appear on, and yes, we've gotten buyer leads from all 75 sites. I haven't found specific buyers using specific sites, it's a hit and miss if you guess.
Print advertising? It's your call. I only do print advertising to appease sellers so they think their home is being marketed, and because they think it works. I've been involved in hundreds of sales and never hasÂ the buyerÂ been from print advertising. Internet is my preference, and it is cheaper. Why spend more money on something that works less? Those magazine racks with magazines... Realtors pick them up to see who is doing what. If you don't believe me stand by a rack at King Soopers and every time someone grabs a real estate magazine ask for a business card. I guarantee you 4 out of 5 will be Realtors. Sometimes they are taken just to throw away, I'm just being honest.
Open Houses/Showings. You will hear "Do you really want people you don't know coming into your home?" and other things meant to scare you. Let me ask you, do you know the people the realtor is bringing into your home? Sometimes realtors meet these people for the first time at your home. There are always risks, but one step to take is to make sure a buyer is preapproved before letting them into the home. Just ask for a letter and call the lender to verify. Homes we list we require agents to provide proof of approval for the buyer because there are too many agents working with non qualified buyers and this just wastes time. Do you really want to clean the house for someone who has no chance of buying it? I wouldn't!
Saving money. It's hard to say whether or not you save money selling FSBO, because you don't know what the home would have sold for had it been listed. You will feel like you saved money. The only real way you don't feel good is if you hit the scenario where you worked with a buyer's agent and paid 3%, but the neighbor with the exact same home as you sold 2 months later for a price 8% higher than yours, and believe me this happens right here in El Paso County.
If you try to sell and it doesn't work out, you can always put it on the market and all you've lost is time (most cases). Please be aware that if you need to sell or ifÂ the foreclosure process is near or started, time is precious, and many times the agent comission will not hurt the chances of a sale for you. If you try to sell and it works out, congratulations! Do you need an agent to represent you in finding your next home? Give us a call!
Here is whatÂ we do with all FSBOs if they areÂ considering listing their home with a Realtor. We offer all sellers a free home warranty until the home sells, and also give the buyers a home warranty. You can cancel anytime with no hassle or fees. This warranty we provide can eliminate a lot of hassles just before closing, but theÂ best part is that statisticallyÂ the buyer makes an offerÂ 4% higher and the home is on the market forÂ around 25 less days (that's almost a full house payment!). In this way FSBOs end up saving money by listing with our team vs. selling to a buyer being represented by a buyer's agent.
If you have any questions, please call us!
Higher Living Team
ERA Herman Group Real Estate