“70% of FSBOs said they have significant difficulty selling.”
Selling a home as a For Sale By Owner (FSBO) has its benefits, the clearest being the savings on a realtor’s commission. While I could list out tons of pros and cons of FSBOs, I thought it would be more fun to let this snazzy infographic break down the results for other FSBOs instead.
Click to enlarge!
FSBO Prep and Pricing
Preparing your home for sale can include cleaning, staging, repairs, appraisals, inspections and homes upgrades. A new kitchen or bathroom can add immediate value to your home, while other preparations will make the sale of your home easier. You will be competing with homes in your area where the homeowners are likely represented by and getting advice from a realtor.
Topics to research: Seller appraisals, seller inspections, adding value to your home, home staging, and home cleaning.
Make sure to access the Multiple Listing Service (MLS) and look for properties comparable to your own so you can determine appropriate pricing. Be sure to look at both current homes for sale and recently sold homes. This process is vital to selling a home in a timely fashion. Price it too high and it will sit and scare away buyers. Price it too low and you risk giving away your hard earned money.
There are several professional services available to help price your home, but If you intend to figure it out yourself, a great place to start would be with a professional appraisal.
Topics to research: Home values, home appraisals, how to price my home, homes for sale near me
Marketing Your FSBO
Realtors tap into a network they have set up to market a home. Most home buyers are online shoppers now, so properly listing your home with the MLS and other real estate websites will be key. Did you know there is an art to creating these listings and finding important keywords to use?
You can always get a little help by using a listing service to help with your marketing. FSBO.com is one service that offers listing packages.
Don’t forget, you need some amazing pictures for your listing. Professional photographs will help your property stand out, so shut down your camera app and find a professional photographer.
A sign in the front yard is not marketing. If you would like to discuss the kind of marketing a realtor can offer you, please contact me.
Topics to research: MLS listing keywords, real estate photography, FSBO marketing, real estate marketing online
Realtors are trained in negotiation and have several ways to help their clients pay less and sell for more. Chances are, as an FSBO, you will be negotiating with a seasoned expert so you’ll want brush up on your skills.
You will also need to qualify prospective buyers to see if they will be able to pay for your home. An unqualified buyer can tie up your home in the process, making you miss out on other qualified buyers.
Topics to research: Negotiating a home sale, qualifying home buyers
Remember when you bought your home? All the paperwork? The disclosures and long contracts can be a nightmare. There is a reason why real estate agents have to take classes and pass a test to handle the business.
You basically have two options for dealing with documentation. You can use online resources that explain all the paperwork and have usable forms, or you can hire a real estate lawyer to help with the process. Here is some of the paperwork you should get together first.
The paperwork can make or break a deal. Make sure you have yourself covered from all angles!
Topics to research: FSBO forms, FSBO paperwork, real estate lawyers
Once you have done some research, you will be better prepared to decide if the process of listing your home as an FSBO is worth your time and effort. As you saw in the infographic statistics, the whole process can net you more money or less.
If an FSBO ever becomes too much for you and you need some help, reach out to a local agent. There is no shame in hiring someone that has the training and experience to help with the biggest sale you will probably make in your life.
Do you have any questions about selling your home by yourself? Ask me in the comments.