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FOR SALE BY OWNER


 

Thanks for stopping by. So, you’re thinking about selling your home as ForSaleByOwner. Or you already did offer your home as FSBO and are not at all happy about the progress, or should I say the missing progress.

No, I am not going to urge you to hire a REALTOR®. You made the decision to try a FSBO for a reason. What I want to give you are some things to think about. If you decide to hire a great REALTOR® after reading this I would be happy to meet with you and talk in person how I can assist you in the best way possible.

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So, let’s start with your preparation. You’ve already done your research, been looking through Zillow, Trulia and whatever real estate website you could possibly find. You even might have gotten an online estimate.

Did you know that online estimates can be off as much as 35 percent, and they often rely on tax records and date than can be as old as 6 to 12 months?

Now you have some numbers. Of homes in your area that are currently for sale. Of „Zestimates”. Of sold homes. Somewhere in between you estimate the value and price of your home.

Did you know that in buyer's line of thought your FSBO price should be lower than other comparable houses/REALTOR®s listings? After all it's a FSBO. Each and every potential buyer assumes with a FSBO he/she can save money.

So, now you have a more or less fair market price. You can advertise your home by yourself, there are plenty of websites to do it. You don’t need MLS®.

Did you know that 9 out of 10 buyers use a real estate agent, who again use the MLS®

Enter property address, bedrooms, bathrooms. That’s easy. Now description. „Gorgeous house with garage and newer kitchen. Offered at xxx $“.

Did you know that MLS® includes tons of information for potential buyers? So why would they bother to troublesome collect information by calling each and every FSBO? And did you know that buyers generally don't trust information provided by FSBO home owners?

Prepared your home as suggested in my checklist? Next step: pictures. Yes, pictures are a must have. You don’t have to be a professional photographer but basic skills are necessary. Light is an important factor as well as focus, depth of field and resolution. And more.

Did you know that one single picture can decide if a potential buyer clicks away?

Done, your ad is online. Now you sit… and wait… for a call or email. But except for people who want to sell you whatsoever no one calls / emails.

Did you know that certain people search (real estate) websites to collect valid email addresses and phone numbers to sell those to certain companies for advertising and spam?

So you consider an Open House. You lock all your valuables away, clean your house from top to bottom, put an Open House sign in your front yard. And sit… and wait again. Some weekend shoppers might stop by, you note their name and phone. But they never get back to you.

Did you know that only 2 percent of Open Houses actually result in an offer? that includes FSBOs and REALTOR®s Open Houses.

Finally you get a call „I’m right in front of your house. Can I see it?“ …. „uhoh, well, I’m currently not there / at work, but you can come see it tonight“ … „no, I want to see it in daylight. Is there no one there now?“ … Uhoh. This is a complete stranger. Should you let him know there is no one at your house the whole day? What if… Or should you let your wife know and let her show the house? All alone? To a complete stranger? Not a good idea!

Did you know that certain people are checking ads on certain websites in bad faith?

Despite all prior troubles you finally get an offer. But it’s way below your asking price. You start negotiating. The potential buyer tells you about the tiles he doesn’t like, the horrible bathroom decor, the kitchen cabinets have to go, the wall color is out dated and by the way he wants a wider driveway so the front yard (the one your wife planted so nicely with pots and flowers and tomatoes) has to go as well. The home you live in and love, the house you put a lot of effort and money and time in to make it your home, in the eyes of this buyer it looks like a piece of crap. Your mood goes below zero, your willingness to negotiate disappears into thin air.

Despite all emotions you and the buyer finally agree on a price. Inspection, lender inspection, survey. Couple of weeks later the buyer calls you „Didn’t get approved. No financing. Deal canceled.“

This is a short list. Far more can happen and will happen.

Far more to think about and consider.

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Please ask yourself:

♦ do you really have a fair market value of your home?

♦ are you able to show your home within just a couple of hours as of time of request?

♦ are you ready to show your home to complete strangers? Can you make arrangements for your own safety?

♦ are you willing and able to spend a lot of time preparing your ad and pictures, marketing your home, answering calls / emails, providing information, waiting for no shows, getting loan approvals, discussing with inspectors, negotiating with prospects?

♦ are you able to help the buyer getting a loan? What if he/she doesn’t get approved?

♦ are you willing and able to discuss with inspectors, do you know what to do in case inspection reveals defects or lower value?

♦ are you willing and able to negotiate with craftsmen for necessary repairs?

♦ are you ready to complete up to 50 pages contract all by yourself?

♦ are you ready for very stressful, emotional, eventually frustrating and time consuming weeks or even months?

♦ do you think a great REALTOR® is worth his/her commission for doing all that (and more) for you?

After all, your REALTOR® does all this for you in advance and doesn’t get paid until your home is sold. Remember, your REALTOR® gets paid out of the buyers pocket.

While there are certainly people who are qualified to sell their own homes, taking a quick look at the long list of frequently asked questions on most “for sale by owner” websites suggests the process isn’t as simple as many people assume. And when you get into a difficult situation, it can really pay to have a professional at your side.

Contact me for your free CMA