When it comes to selling a house, the first thing that comes to our mind is a real estate agent. A professional real estate agent is someone who can help you maximize your profit while minimizing your time on the market. Despite all these things some sellers prefer not to work with a realtor or broker.
So what can be the possible reasons for not working with a real estate lawyer while selling a home? A possible reason can be the hefty commission fees charged by real estate lawyers or agents. In this article, I will discuss how to sell a house by owner. Be sure to read thoroughly to get the best out of it.
What Is For Sale by Owner (FSBO)?
For Sale by Owner (FSBO) is an acronym used in the real estate market that points to a property that its owner has listed. In addition to this, it also means that it was listed without the assistance of any Realtor or broker. Because the seller wants to avoid paying the commission fees to the realtor or broker.
Let’s see what you need to do if you are selling a house through the FSBO way.
Set a price that seems realistic –
The biggest mistake owners do while selling a house is that they charge extremely high for it than they would be willing to spend. This is called the “endowment effect” which means we think of a property as more valuable the moment we own it. Because you are emotionally attached to your house, no person will pay you extra dollars.
So always set a realistic price for your house. Too high a price can prevent buyers from even considering your property and too low a price will make your profit a loss.
In addition to setting a realistic price, you need to take into account the time of the year, location, and competition.
Try to make your house look more presentable –
The foremost thing to do while selling a house by owner is to clean it thoroughly from floor to ceiling. The Next important thing will require the homeowner to get rid of his items. In this way, the rooms will look much bigger and also represent your house as a blank canvas that the buyers may use to paint accordingly.
Another important thing the Seller can do before online uploading the pictures of his house is to hire a professional real estate photographer. Who will click amazing photos of your house that will also help attract more purchasers?
Promote as much as you can on social media platforms –
Now it’s time to market your house. The best way to do this is to post detailed information about your house with professional photos on every social media platform as far as possible.
Professional photos combined with perfect prices will exponentially increase your home’s demand in the real estate market.
Post detailed information on widely used social media platforms like Facebook, Instagram, and Twitter. You can also post on real estate sites such as Zillow and Redfin. Remember, the more people will know about the listing of your house, the more it will be better for you.
The little things –
Among other things, sellers must pay some attention to these little but important things.
· It’s expected to get an influx of calls because you have posted the house detail on every social media platform possible. It becomes important that you should have your phone nearby as much as possible.
· Listen to the feedback of buyers who tour the home no matter whether positive or negative feedback. This simple practice will let you make the required arrangements.
· Sellers should be proactive and try to re-evaluate or adjust the listing price if you are not able to sell your house at pre-listed prices.
· Know the prospective buyers and weed out those who aren’t even qualified. Ask potential buyers to give their Id and some offer with a pre-approval letter. This will save much of your time.
· Always read the document thoroughly before signing it or hire an attorney while selling your house without a realtor. You need to have this in mind that you are not a professional seller and there is nitty-gritty involved in such matters of which you are not aware. So it’s better to hire an attorney than to ruin your entire deal because you have missed some minute detail.
No matter what, you can never match the professionalism of a realtor –
Regardless of professionalism, it’s better to get the services of a Realtor or real estate agent. Yes, hiring an agent or Realtor will cost you around 6.0% in commission fees, but their services are indispensable. In addition to this, sellers can now feel relaxed knowing that the impending transactions are in safe hands.
Here, I’m not saying that you cannot sell your house without the assistance of a realtor. What I’m saying is that agents are certainly worth every single penny, after all a realtor faster the process and can make your deal more profitable
Let’s have a look at the pros and cons of the FSBO house.
·Realtor charges a commission of 5%–6% of the home’s sale price so those who are going with FSBO can save this and keep with themselves more proceeds.
·FSBO sellers need not worry about scheduling whereas sellers working with agents always face scheduling problems.
·Real estate sector involves a lot of paperwork for selling a house without a realtor and a small mistake can cost you heavily. So, FSBO sellers are always at risk of not having a realtor.
Yes, the realtor charges a real estate commission of 5-6% for the assistance he provides you, but they also benefit you. The seller can trade a house without the assistance of an agent but only if the seller knows exactly what to do otherwise there are plenty of risks associated with FSBO awaiting you.