For sell by owner is a popular way to go. "Properties are selling like hotcakes", as Terrence Murphy would say. With properties selling in a few days with multiple offers in some cases, who needs to pay a possible 6% commission to a Realtor? If you feel confident you can get the job done and sell your property yourself, STOP, and ask yourself these few questions:
- Do you have the extra time between working and family activities to sell your property?
- Can you get the price right?
- Can you market your property on several platforms in a timely manner with an eye catching marketing scheme?
- How will you market to a mass of buyers without access to the MLS?
- Are you ready to work with a buyer's agent?
Your time is valuable. How do you plan to split your time with work, family, listing your home, marketing your home, as well as the numerous activities going on in your daily life that I can't possibly list? There is a lot of time and effort that goes into selling a home. Pricing, listsing, marketing, staging, showing, accetpting and managing offers... the list goes on and your time is running out.
Pricing your property at market value is a challenge in itself. How will you do this accurately without access to the MLS? Pricing a property takes research on sold and active listings in the area. You need comparables with all the neccessary data which public records can't always provide.
This is a huge peice to the puzzle! How do you plan to market your property? The local newspaper? There are numerous platforms for marketing your property. How will you choose which ones to place your focus? Realtors have expertise in marketing and in-depth knowledge in gettting homes sold. They know what type of buyers you need and where to place their marketing focus.
What is the MLS? The Multiple Listing Service is a private database created, maintained and paid for by real estate professionals to help their clients buy and sell property. Without access to this system, your property looses a mass of buyers represented by real estate professionals apart of the local MLS.
You may have planned on cutting out a 6% commission to a Realtor. How are you going to handle the buyer's agent? Most buyers looking at your property will be repressented by a Realtor. This agent will expect negotiations on their commission and most likely require a 3% commission. You can decide not to deal with this case scenario, but then you cut out a whole other mass of buyers. If you decide to accept the offer, you then have a buyer who is represented in the negotiation process and you are left without representation. Good luck with all that paperwork.
Still want to go FSBO?
Hopefully this gives you some insight into the home selling process. At least now you can make a more educated decision. Do you still think going FSBO is the way to go?