Saturday, June 24, 2006

Is FSBO a good idea for you?

Why For Sale By Owner May Not Be The Best Option For You

Many people believe that they can easily sell their home without the help of a realtor, and they can, but most don’t realize exactly how difficult it is to sell your home without the proper knowledge of real estate law. Almost 25% of the homes that are sold each year are sold by the homeowner, yet half of those that sold their homes on their own said that they would hire a professional if they could do it over again. Thirty percent of the people that sold their home on their own said that they were not happy with the results. While it is possible to save money by selling your home on your own, it is a difficult undertaking and not one that everyone is capable of.

Not only does selling your home take time, it takes a real understanding of the real estate market in and around your area. If your house is priced too low you can end up losing money on the deal, if it’s priced too high it can sit on the market and develop a reputation of being a property with problems. There are some serious questions that every homeowner should ask himself or herself before they attempt to sell their home themselves.

Do You Have The Time?

You need to seriously consider whether or not you have the time to sell your home on your own. Most people do not realize how much time it actually takes to sell a home. Most homes that are for sale by owner sit on the market much longer than they need to because the owner cannot give interested parties the accessibility to the home that they need to decide whether or not the home is right for them. If you work or have children, you might find that you simply cannot find the time to accommodate those that express interest in the home.

Are You Prepared For The Stereotypical Low Bids You’ll Receive?

Many buyers think that homeowners that are selling their homes on their own simply need out of the home. This means that the seller will only offer a really low price, meaning the home can sit on the market much longer than it needs to. Homeowners need to know the value of their home, as well as how they can properly screen unqualified individuals. Knowing how much you will minimally sell your home for is a good idea, as is trying to spot those that don’t intend to give you a serious offer.

Do You Understand The Legal Aspects of Selling Your Home?

While you don’t have to be a lawyer to sell a home, there is a certain amount of legalese that you need to acquire. Do you have this information presently, or is there a way that you can obtain the correct information so that you can sell your home properly? Homeowners often struggle with incomplete or incorrect paperwork, lack of inspections, and disclosure laws. If you do not know how to properly tackle all of these aspects you are well advised to hire a realtor to help you out.

One must also consider if they know how to hire all of the appropriate professionals such as a title company, an inspector, an attorney, as well as an escrow company. Hiring the wrong professionals or failing to hire all of the correct professionals can end up costing those that fail to sell their home within the law. If you are offering financing options, you’ll also need to consider whether you have all of the information you need and if you can provide the buyer with all of the information that they need to feel comfortable with any or all of the options that you offer.
The bottom line is that if you are a homeowner and you don’t know what you are doing, you actually stand to lose more money than you would pay a real estate agent or broker in commission for the sale of your home. There are a lot of details, big and small, that normal people just do not realize need to be in place with the sale of a home. If you know that you have all of your ducks in a row, it’s not a bad idea to try to sell your home on your own. If you aren’t sure whether you can pull it all together, you will likely be better off selling your home with the help of a real estate agent.

Thanks to for the article.