For Sale By Owner
We offer an excellent resource for home owners who prefer to sell their homes without enlisting the services of a Realtor®. Feel free to make use of any of the following forms located on the left navigation bar.
(pronounced "fizz-bo") stands for For Sale By Owner. It describes anyone who sells property - usually homes - without using a real estate agent.
FSBO empowers home owners to take control of the home sale process and to save a lot of money by not paying commissions. The homeowner sells the home through signs, web listings, newspaper classified ads, flyers, word of mouth, and open houses. The homeowner may also handle the close, or hire a real estate attorney to take care of the paperwork.
- The FSBO seller determines the price
- When and how to advertise the home
- Whether to hold open houses or see buyers by appointment
- Negotiating the sale
- Managing the close whether through the title company or a real estate attorney
- Everything is done on your terms
- The price of homes sold by an agent are inflated to cover the agent's commission.
- By selling FSBO, the homeowner can reduce the home's price enough to make it attractive to buyers for a quicker sale.
- The amount saved from paying a commission can be used to reduce the price; serve as a negotiation tool; or be extra profit to the home seller.
- When the buyer makes an offer, you negotiate directly rather than having to go back and forth between the agents.
- You decide when to show the home rather than keeping the home in picture perfect condition at all times in case the agent calls and wants to show it immediately.
- By scheduling prospective buyers yourself, you have time to prepare for the visits and you don't have to leave the home as you would with an agent.
- You determine whether you want to show your home by talking on the phone first with the buyer.
- You know your home better than anyone. -- You can highlight the home's advantages and discuss its faults.
- You can discuss the work that went into the beautiful lawn, or talk about the noisy furnace.
- You know the neighbors, the school district, the churches, and the shopping.
- A home that's priced well and is well maintained can virtually sell itself. But you are the closer with the extra information only you can provide the buyer.
- You are the one who meets the prospective buyer so you can judge how serious the buyer is, rather than relying on an agent's opinion.
- You get direct feedback which helps immensely in the negotiation.
The selling and buying agents get a combined commission of about 6% of the home's sale price.
Calculate how much that is worth.
A recent nationwide survey of agents showed that no matter the price of the home, the agents spend an average of $1,000 to market the home.
Are you willing to give an agent thousands of dollars to do something you can do yourself?
If your answer is no, then selling FSBO is the way to go.
Quick Tips:
- Do your homework.
Read a couple of books on home selling, go through the real estate section of the local newspaper and attend some Open Houses in the your area. - Get the house ready.
Take a hard, objective look at your home. Prioritize what needs to be done, and decide how much you can spend in time and money to make it look its best before opening it up to buyers. Get rid of all clutter and put some of your stuff in storage to make the rooms and closets roomier. Put together an information packet on local amenities, your utility bills and other helpful information. - Consider finding a reliable real estate attorney.
The attorney can help review all the paperwork. See our Professional Services Page to find Real Estate Attorneys or Closing Services in your area. - Keep on top of the process.
Stash some quick clean-up supplies close at hand, and do a fast run-through before letting a prospective buyer preview your home. Also, keep a notebook handy with a record of everyone who has come through.
- Overpricing or under-pricing.
By setting the price too high, you turn away the best prospects for your home. By asking too little, you'll probably sell faster but net less from the sale. We can do a comparative market analysis and help you set the best price for your home.
- Your home should be in "move-in" condition
Selling "as is" in the competitive home sale marketplace, you need to show your house at its best. Your home should be in "move-in" condition from the first day it's listed. - Over-improving.
While clearing out clutter, cleaning and repairs are important ways to get your home ready for sale, undertaking a major project could cost more money than you would recover from the sale. However, some major repairs, like replacing a roof, should be done if they are needed.