When selling your house, many homeowners may decide to not use the assistance of a real estate professional. Owners know this as For Sale By Owner or FSBO in the real estate industry. We think that FSBO is not the best choice for most homeowners when you factor in the following things…
- There are too many people to negotiate with.
Here is a list of some of the people with whom you must be prepared to negotiate if you decide to FSBO:
- The buyer who wants the best deal possible
- The buyer’s agent who solely represents the best interest of the buyer
- The buyer’s attorney (in some parts of the country)
- The home inspection companies which work for the buyer and will almost always find some problems with the house
- The appraiser if there is a question of value
- Your bank in the case of a short sale
2. Exposure to prospective purchasers.
Recent studies have shown that 92% of buyers search online for a home. That is in comparison to only 28% looking at print newspaper ads. Most real estate agents have an extensive Internet strategy to promote the sale of your home.
3. Actual results come from the Internet.
43% of actual homebuyers come from the Internet. The days of selling your house by just putting up a sign and putting it in the paper are long gone. Having a strong Internet strategy is crucial.
4. FSBO’ing has become more and more difficult.
The paperwork involved in selling and buying a home has increased dramatically as industry disclosures and regulations have become mandatory. This is one of the reasons that the percentage of people FSBO’ing has dropped from 19% to 9% over the last 20+ years.
5. You net more money when using a real estate professional.
Many homeowners believe that they will save the real estate commission by selling on their own. Realize that the main reason buyers look at FSBOs is because they also believe they can save the real commission. The seller and buyer can’t both save the same commission.
The bottom line is, before you decide to put your home on the market, sit down with a real estate professional and weigh out your options.