I love this article I just read! It makes my head spin when I hear people say, they see no value in a realtor and can just do it themselves. Studies have shown 97% of For Sale By Owner's aka as FSBO's eventually enlist in the help of a professional. After all, it is often times your biggest investment to get the most money out of, why would you not hire a professional negotiator. If you had cancer or were being sued, it is highly unlikely you would simply "Google" how to cure yourself without the help of a physician and modern day medicine or would represent yourself, right? Our team can get you 98%-100%+ of your list price. For Sale by Owner's statistically get 91% of list price. Unless you are prepared to fully understand and execute a contract, be ready and available for any and all showings, inspections, appraisal, appointments. Then you will need to negotiate through your inspections repairs, appraisal value if comes in low, and not to mention stay on top of the buyer's financing and title work to ensure everything can close on time. See this great article below:
FSBO
Woes: Why It's So Hard to Sell Your Own Home
For most people, a for-sale-by-owner (FSBO) transaction
simply isn't in the cards.
By Marcie Geffner
Granted, some people are able to sell
their own homes without the services of a real estate agent. Some of these successful
do-it-yourselfers are very experienced home sellers. Others are transferring
ownership of their home to a child, a coworker or a tenant who's already living
in the home. These circumstances are the exception, not the norm, however. For
most people, a for-sale-by-owner (FSBO) transaction simply isn't in the cards.
Here are five reasons why.
1. FSBOs can't list their home in
the MLS. FSBOs aren't permitted to put their home in the multiple listing
service (MLS) because these industry membership organizations are open only
to licensed real estate brokers and agents. FSBOs are also locked out of many
home search engines and Web sites, including the gigantic Realtor.com. Sure,
a determined FSBO can put a for-sale sign in his or her front yard and run a
tiny advertisement in the local newspaper, but the home won't receive nearly
as much exposure as it would through the MLS.
2. Agents won't show FSBO homes.
In a typical home sale, the buyer's agent receives a percentage of the commission
that the seller pays the listing agent. Without a listing agreement, there's
no guarantee that the buyer's agent will be compensated for his or her services,
unless the buyer has signed a buyer's brokerage agreement that specifically
provides for such compensation. Even if a FSBO offers to pay the buyer's side
of the commission, most agents won't want to go through a transaction with an
unsophisticated self-represented seller across the table. That means the pool
of potential buyers for FSBO homes is limited primarily to unrepresented and
probably unqualified prospects.
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3. FSBOs usually overprice their
home. Like most homeowners, most FSBOs honestly believe their own home is
worth more than comparable homes in the same neighborhood. Usually, they're
wrong. A real estate agent can provide an update on market conditions, an assessment
of the likely selling price of the home and tips for improving the home's buyer
appeal. Overpricing a for-sale home is a sure way to deter potential buyers.
4. Buyers will feel intimidated.
Potential buyers will spend less time in a for-sale home if the owner is present
during the showing, and they'll be shy about discussing its pluses and minuses
with their own agent if the owner is within earshot. Buyers will also be less
inclined to make an offer if they know they'll be negotiating directly with
the seller. Having an agent on each side creates an effective emotional buffer
between the seller and buyer.
5. FSBOs are likely to stumble into
legal trouble. Real estate transactions are fraught with potential liability
for unwary sellers, particularly in states that have extensive disclosure requirements
(e.g., California). A FSBO who overlooks even one required form or legally mandated
disclosure could face a protracted and expensive buyer lawsuit after the transaction
closes.
Copyright © 2000 Marcie Geffner. All rights reserved.
Call us when you are tired of the hassle of trying to sell on your own OR you see the value in your bottom dollar before you even start the process! Schroder Group's average days on market are 12. We get TOP $$$, in the shortest amount of time! Ranked Top 3% among 3,700 Realtors, we get the job done!!! Call today! 405-408-3699
