Many homeowners choose to sell their homes on their own as a For Sale by Owner.
Do you know how much your home is truly worth? Do you have access to market conditions, recent home sales, comparable market analysis tools? Do you know how to properly market your home, so it reaches potential buyers? Do you have negotiating skills to work with a buyer’s agent regarding a legally binding sale contract? Do you know the laws and liabilities involved in the sale of a home? Do you have E&O insurance to cover you, if anything comes up in the future you were not aware of? If your answer is yes to all these above questions, you might consider selling your own home. If not, you might want to consider a few other points before you launch out on a quest to sell property that you have likely invested hundreds of thousands of dollars into:
Many FSBO homes sell for less than agent-assisted home sales. An underpriced home is a loss of equity to the seller. Also, an overpriced home may not sell, costing you time and ultimately more money in negotiations. You may end up with less money than you would paying the commission to a professional who will do the work and get you the most money for your home.
FSBOs oftentimes spend more time on the market. Agents have more marketing tools and more connections to get your home seen online and in person. Agents are also working with buyers and other brokers daily and are able to make connections for buyers that might not have seen your home if it was an FSBO.
A FSBO lacks representation in case of problems or questions. Issues with home inspection findings, inadvertent misrepresentations of your property or damage to your home while it is under contract can lead to legal issues that most people are not ready to handle independently and to the potential loss of thousands of dollars. There are many legal and financial consequences to a real estate transaction that are not always apparent. If you find yourself representing your own property without the knowledge of current laws (as Realtors are required to know), then you may be liable far beyond the monetary commission you are trying to save.
We would be grateful and thankful for the opportunity to be your trusted advisors. If you’ve not already read about our home-selling process, why not Start Here.