For Sale By Owner… why not, right? WRONG… When considering putting your home on the market FSBO (really you’re an unrepresented seller — think about that for a moment) you may encounter several difficulties you didn’t count on. It sounds nice and easy – stick a sign in the ground with your phone number on it and the hoards and masses will come, right? Here’s a thought, and this data comes straight to us from the National Association of Realtors:
“Did you know?
. . . the typical FSBO home sold for $187,200 compared to $247,000 for agent-assisted home sales”
WOW — obviously these are national statistics – we can tell this from the price, but the message is that when you’re not using the expertise of a qualified REALTOR, you can put yourself at a significant disadvantage! They go on to illustrate some of the more difficult challenges that unrepresented sellers face:
Most Difficult Tasks for FSBO Sellers:
Getting the right price . . . 11%
Understanding paperwork . . . 16%
Preparing/fixing up home for sale . . . 18%
Attracting potential buyers . . . 9%
Having enough time to devote to all aspects of the sale . . . 9%
Have some people been successful in their attempts to sell their properties themselves? OF COURSE they have! Could they have improved their situation by using a competent real estate agent? Probably so…
Let’s look at the situation from the other side as well… I am currently working with a couple who, with my representation, decided to write a contract on a FSBO. The sellers received 2 contracts (they had priced themselves nicely AND were willing to pay a buyer’s agent commission – something very important, but for another blog post) and decided to accept ours because they felt I was very professional, competent, fair, etc… (so it’s nice to have a good agent on your side 
) We were thrilled because we had been looking in this community for some time and knew the market and knew 
what we were after. But guess what – that seller had no clue about selling their property – and lucky for them, I am honest, ethical, fair, etc… They are NOT my client and I have no duties to them except to be honest as I would to any member of the general public. However, they could have found themselves in a situation with financing issues with their prospective buyers, not understanding the process well enough to know about contract deadlines, etc… They were really at risk for a failed transaction. Fortunately for all of us, this has gone as smooth as silk and I full expect to close on time with all happy parties involved.
When considering a FSBO – no matter which side of the equation you’re on, be careful and consider the benefits of using the services of a qualified real estate agent to represent you. You can find yourself better off financially and better protected during the contract process. Oh, and by the way, I’d like to apply for the job!
If you have any questions about this or other real estate related topics, I’m always here – just a few clicks away!
Happy (stormy) Thursday
Jennifer Klaussen
It’s amazing how many people believe that they are saving money when they sell a house on their own. Most buyers immedately expect to share the wealth by lowering their offer since the seller is saving on the commission. That doesn’t count the loss in time it takes for a FSBO seller to market the property. It is a losing deal.
Great Blogs- really coming together!
It is always better to have an agent. An agent that will help you sell your property and get the most for you.