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Greatest Gold-Mine Of Easy "For Sale by Owner" (FSBO) Advice Ever Crammed Into One Site

by Evelyn Grazini

Before deciding whether to attempt to sell your home and keep the commission you would pay a real estate agent, consider these important details.

Consulting a Real Estate agent about placing your home For Sale By Owner will probably result in their advising you against it, and they will tell you that it will take you twice as long to sell the home than if they helped you do it.

Despite this advice, consider the course of events that occurred when you purchased your home. Most agents show the property to the buyer, give them forms to complete, and then have the buyers wait while they complete the transaction and take the commission of 5 to 6 or more percent.

I'm not saying the Real Estate Agent has an easy job, but do your homework and you will be in a very good position for a FSBO quick sale.

The first step is to decide: is it a buyers or sellers market? The presence of more buyers and fewer sellers result in a buyers market, and houses sell faster. Sellers markets, however, may require the seller to make two or three extra mortgage payments during the time that it takes to locate a buyer, and the faster process of using an Agent might be a more desirable alternative.

Look at other homes in your neighborhood. How long have they been on the market? If they are not selling, you might want to decide to wait before you move out of your house until a buyer is found - giving you more time to sell, but also less time to move.

Secondly, do the necessary research. Potential buyers have numerous questions, and knowing the answers is important to minimize your frustration - and theirs! Locate a Broker online to do a valuation of your home, which is usually free, to offer proof of your home's worth. A Real Estate Attorney can identify the required legal papers and assist with the closing process. Check with the State Real Estate Commission to determine what documents are required to complete the transaction.

Locate a reliable Escrow company that can be recommended to hold the good faith deposit, and initiate negotiations with a Title Company. Although the buyers are responsible for locating a Mortgage Broker, as well as a company that will perform Escrow and closing functions, they may not be familiar with any companies who offer these services. Being able to make these suggestions is a kindness that will further your likelihood of appearing experienced, as well as of closing the sale.

Cut advertising costs by identifying and advertising on the days when Real Estate Ads are most prominent in the local paper, and offer an open house during an interval when other agents are conducting them for other homes in the same neighborhood.

If you have done all of these things and still are not encountering potential buyers, you may need to contract with a Discounted or Medium Service Broker, or possibly with a low cost Real Estate Broker (these resources may provide their services through the Internet). By using these agents, a seller might be able to advertise with a Multiple Listing Service. The extra cost required for contributing a picture of the house is well worth the investment. A written advertisement is completely inadequate to effectively list your home.

As a last resort - You might also consider working with a Buyers Agent. These Agents work for a buyer, and normally split the commission with the Sellers Agent. Since you are sellers agent in this case, you may get some help, and a quicker sale for 2.5 to 3 percent of the selling price.

In summary, consider the cost of paying an agent versus that of taking longer to sell your home. While a Buyers Agent will perceive a 3 percent commission for a $300,000 house as $9,000 in profit, remember that you are saving another $9,000 by not using an Agent to sell your home as well.

Evelyn Grazini has written a variety of For Sale By Owner (FSBO) advice to help you sell your home fast! - Find resources, articles and a free report on "What to Repair and What to Remodel to Obtain TOP DOLLAR when you sell! www.fsbotactics.com/asale.htm

Published March 13th, 2008

Filed in Business, Real Estate

 

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