For Sale By Owner: What you need to know before you sell your home as FSBO
Most sellers who had decided to sell their home as FSBO usually have one thing in common: they are not willing (or not able
) to pay commission to an agent. However, most home buyers want to have a buyer’s agent when buying a home. Here are other things you need to know before you sell your home as FSBO.
Homes for sale by owner could be priced wrong. A real estate agent will provide an accurate home value based on a comprehensive market analysis to help you arrive at the right listing price. So while you don’t pay commission to a realtor by doing
FSBO, you generally get more money from a sale of a home with a realtor.
A realtor has access to the MLS where thousands of other realtors with active home buyers can look at your home. Sellers of FSBO’s cannot get their homes on the MLS; they have to pay out of their own pocket to market their home.
Showings can be a drag. A realtor dedicates their time and energy on selling your home, which includes showings and open houses; while sellers of FSBO usually have limited time showing their home to all potential buyers.
Realtors become the middleman between buyer’s agents, escrow, and title companies, while FSBO sellers must do all negotiation themselves.
A realtor knows the legal ins and outs of a home sale, while preparing your own paperwork as an FSBO can be tricky. Sellers who don’t know the legal parts of a home sale may potentially incur legal losses.
In the end, it is still best to seek assistance from a licensed realtor. Statistics show that selling your home with the assistance of a professional real estate agent will garner you a higher profit, enough to cover the commission as well as put
more money in your pocket.
Sources: (1) Pinterest Infographic, (2) LandmarkHW.com, (3) Realtor.com
Some Text Adapted from: Whitney Bennett (Landmark Home Warranty)
Some Text Adapted from: Cathie Ericson (Realtor.com)