What you should know before selling a home by owner FSBO

For Sale By Owners dropped to only 9% of all home sales in 2013. Many believe they will save money by selling there home without a Realtor. According to The National Association of Realtors NAR. The typical FSBO obtained 184,000 for a home sold compared to 230,000 obtained by a Realtor assisted sale.

FSBO methods used to market home:

  • Yard sign: 36%
  • Friends, relatives, or neighbors: 28%
  • Online classified advertisements: 16%
  • Open house: 14%
  • For-sale-by-owner websites: 13%
  • Social networking websites (e.g. Facebook, Twitter, etc.): 7%
  • Multiple Listing Service (MLS) website: 7%
  • Print newspaper advertisement: 7%
  • Direct mail (flyers, postcards, etc.): 1%
  • Video: 1%
  • Other: 2%
  • None: Did not actively market home: 32%

Most difficult tasks for FSBO sellers:

  • Understanding and performing paperwork: 18%
  • Getting the right price: 13%
  • Preparing/fixing up home for sale: 12%
  • Helping buyer obtain financing: 3%
  • Attracting potential buyers: 3%
  • Selling within the planned length of time: 7%
  • Having enough time to devote to all aspects of the sale: 6%

Why to Sell With a Realtor

Choosing to sell with a professional rather than on your own makes sense for a variety of reasons:

  • A Realtor has access to market data about recent sales and other homes on the market that can be used to price your home appropriately. Studies show that homes priced right when they’re first listed sell more quickly and for a higher price than those that linger on the market.
  • A Realtor can show your home when you aren’t available, can respond to inquiries from potential buyers and their agents, and can get valuable feedback from visitors – all things that save you time.
  • A Realtor can look at your home objectively and suggest ways to improve its appearance – by staging and minor repairs – so it appeals to more buyers.
  • Buyers typically prefer to look at a home without the seller present so they can feel more comfortable exploring the rooms and visualizing themselves in the property. At an FSBO sale, the seller must be present.
  • A Realtor can screen visitors to your home, which provides a measure of safety that FSBO sellers don’t have. In addition, by checking to see if the buyers are legitimate and can afford to purchase your home, a Realtor can help you avoid wasting time showing your home to unrealistic buyers.
  • Realtors have professional marketing expertise, contacts with other Realtors who work with buyers, and the support of a brokerage that can market your home more widely than you can as an individual.
  • A Realtor can help you negotiate a contract that not only garners you an appropriate price for your home, but that meets your needs for a settlement date and perhaps includes a period when you rent back your home from your buyer. In addition, a Realtor can make sure your contract is in compliance with all local regulations.

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