Safety is a big concern. Strangers come up to your house, and you know nothing about them. With a Realtor, there should be a check to see that the potential buyers are who they say they are. I always get my clients pre-qualified. Timing of showings are controlled with a Realtor. A good Realtor advises their clients neighborhood/area amenities and possible negatives that could effect future house values.
Remember there are so many details, that can be and cause a sale to fall through, not using professional people can be a mistake.Some of those mistakes can come back to bite you as well.
Everyone thinks the Realtor have an easy job, it looks easy because they are professionals.
Selling a property FSBO carries the weight of not closing and possibly getting into a law suite over items that would have been easily handled with a professional running the show.
Web Reference: http://www.GetSoldOKC.com
Odds are the FSBO doesn't know how much his/her home is worth. (Usually, it's overpriced. But it could be underpriced.) So, if it's underpriced, you're starting off with a good deal. But usually, since it's overpriced, you have to get the price down to a reasonable level. The FSBO will be focused on price, so you have to demonstrate (comps, repairs needed) that what you're offering is reasonable. But because the FSBO is fixated on price, that gives you the opportunity to negotiate like heck on other provisions. Example: Maybe the FSBO can afford to offer owner financing. So: Your offer is for full fair-market value, but you negotiate a really great deal on the owner financing portion of it.
Benefits of selling as a FSBO: None, in virtually all cases. Yes, you save part of the commission. But you may not have the benefit of negotiating expertise or someone who knows how to structure the deal that'll work best for you.
Hope that helps.
With a FSBO the seller is trying to get the best deal for his home by eliminating commissions so again, the seller may not know the market and believe his home is worth far more than its actual appraisal value.
A seller of a FSBO needs to be aware of the many documents needed for an offer to purchase. They need to check with an attorney and learn their costs of obtaining and preparing for example, the residential property disclosure. The buyer also needs to check on the price of an attorney completing the offer to purchase. One buyer of a FSBO was very surprised to learn the costs of document preparation which is done by the agents in a traditional sale.
Your question didn't specifiy whether you simply want to sell your home yourself, or if you want to save 100% of the commission. You can certainly save the listing side of the commission, but if you aren't willing to pay anyone who procures a buyer for you - you are eliminating a huge portion of qualified buyers who are working with real estate agents.
Selling your home FSBO can certainly be done with good results. It comes down to how much you value your time and energy. If you don't work, have nothing but time on your hands, and want to devote most of that time to marketing your home, coordinating the showings, and spending money up front to advertise - then I would say definitely go for it.
There will always be a certain percentage of people who want nothing more than to rid the world of real estate agents, lawyers, accountants, etc. etc. etc. These people envision a world where you do everything yourself, and never pay anyone for any type of service. The reality is however, that as long as there are people who don't have the time or desire to sell their own house, do their own taxes, and draft a will or represent themselves in court - there will always be a business need for these service industries.
At the end of the day it boils down to - do you want to try it yourself, save the money, and "maybe" do it right, or do you want to pay to ensure it is done right. The difference with a FSBO is you pay either way, however with a FSBO you pay upfront without guaranteed results.
This never happens of course - because the whole purpose of a FSBO, is to avoid paying the commission. If they don't want to give it to a real estate agent, they likely won't want to pass the saving along to the buyer either. Typically, most FSBO's are FSBO's for a reason. The sellers are often extremely unrealistic with price, and do not understand truly what it takes to get a property sold for the highest price possibly. Do some of them sell? Sure. Is it the "norm" - no.
Besides the commission, I see no benefit to selling your house FSBO - unless you like doing unneccesary work yourself.