09 Mar 2008 07:34:29 | Steve Gillman
My Number one FSBO Tip? Don't sell it yourself! A "FSBO," or
house "for sale by owner" can sell fast, and for as much as it
would have if listed with a real estate agent. Sometimes - but
not normally. Consider the following ten points.
1. Buyers work with agents. Most look at MLS listings. Sell it
yourself, and they won't see or hear about your home. How do you
find that "right" buyer or get top dollar when you're invisible
to most of the market?
2. Your FSBO will get lower offers. Naturally, the buyer thinks
you'll take less because you're saving the commission! Save a
$10,000 commission, get $10,000 less - where's the advantage in
that?
3. Advertising is expensive. The costs the real estate office
normally pays are yours if you sell it yourself. How much could
you spend on ads if it takes a a year to sell? 4. They have the
resources. And you don't. Agents have books of sold properties
to look at, for example, to determine the best price for your
home. You can dig through county records, but you do have to
value your time too, right?
5. They know the market. What's the target market for your
house? Young couples, retirees? What features do they want? You
should know these things before you write your ads. An
experienced real estate salesperson will know.
6. They know the laws. What about written disclosures, and who
pays for the real estate transfer tax? When you sell it yourself
you don't get to ignore the laws.
7. Are you a good salesperson? Can you develop rapport and
properly answer objections? Could your defensiveness scare off a
buyer who criticizes your home? Think back on your own
purchases, and you'll realize that a good salesperson makes a
difference.
8. Paperwork. Will you help the buyer properly fill out an
offer to purchase? An agent would. Do you have the other closing
documents ready?
9. Agents negotiate for you. When did you last learn a new
negotiating technique? Can you counter-offer without scaring off
a buyer? A good salesperson is trained in these skills.
10. You may not save anything. The documents, newspaper
advertising, signs for the yard - it's all your expense when you
sell it yourself. After your hard work, you may get low offers
and negotiate poorly. Honestly, sellers often net less money
from the sale when they try to save the commission.
Most "FSBO" sellers eventually turn to a real estate agent for
help. You could learn the things an agent does, but is it worth
it to spend all that time and maybe not even save any money?
Don't sell it yourself unless you really know what you're doing.
That's my number one FSBO tip.
About Author :
Steve Gillman has invested in real estate for years. See a photo
of a beautiful house he and his wife bought for $17,500 on his
home page, or go straight to the section on Investing In Real Estate:
http://www.HousesUnderFiftyThousand.com