For Sale By Owner, FSBO, is selling real estate without representation of a real estate agent. Most people that sell their property alone just don’t want to pay a real estate agent a commission but the truth is most FSBOs are unsuccessful. There are many reasons not to go FSBO:
Personally, I think the most important reason not to sell your home without an agent is SAFETY. When you list your home FSBO, you are making yourself a target for burglars. Serious and qualified buyers hire real estate agents. We are able to get the buyers’ financial documentation to find out if they are qualified or not. A lot of buyers aren’t comfortable sharing their financial information directly with sellers, but they will work with agents and lenders. This process makes it easy for agents to weed out the people who are not capable of purchasing a home.
Marketing is another reason not to sell alone. You can put a For Sale By Owner sign in your yard, purchase an ad in the local newspaper, or even list your property on websites like Zillow or Trulia, but it will lack exposure. In 2016, the National Association of Realtors® stated that only 8% of buyers found the home they purchased from a yard sign, 1% from the newspaper, 51% from the internet, and 34% from a real estate agent. Realtors® have access to a Multiple Listing Service, or MLS. It is a marketing database that provides accurate data about properties for sale. As an agent, I have many tools that allow me to market my listings to more qualified buyers.
Many homeowners price their home too high or too low because they don’t understand the market. I do. That’s my job! I have the tools to perform a detailed market analysis that will allow me to price your property accordingly.
Another reason why selling your property alone is a bad idea is time. Can you drop everything for a showing? How often will you have to take off work for a potential buyer? I won’t have to take off work to show your house because it is my job.
When listing your home for sale by owner, you are making yourself liable. Any mistakes you make, can cost you. As a Realtor®, I have Errors and Omissions insurance that protects me if I make a mistake in a contract.
How are your negotiating skills? Do you absolutely hate negotiating? Are you prepared to negotiate with buyers, buyer’s agents, attorneys, inspectors, lenders, or appraisers? When you list your home alone, you will attract “low ballers”. They will take advantage of your inexperience. As your agent, I will negotiate until we get the most money possible.
Are you familiar with the contract procedures that take place when selling real estate? There are many timelines, clauses, and contingencies to consider when going under contract. Being a licensed Realtor®, I know how to fill out the proper contracts and keep your best interests in mind.
Here are a few more things to consider when selling your home without a real estate agent:
- Most buyer’s agents won’t show FSBOs.
- Over 80% of FSBOs end up listing with an agent.
- FSBOs sell for less
- Less than 10% of FSBOs actually sell.
- Realtors® won’t make any money unless you do.
Bottom line, if you want to sell your property efficiently, hire a Realtor®. Hire me! (903) 603-2204 or Megan@EXITrealtypro.com.