The How to – For Sale By Owner

  • 1 year ago
  • 1

Why would a Realtor want to help people succeed with for sale by owner? The main reason is I want to help you make the best decision for you and your family.

Some common questions you should think about answers to “Why do I want to sell?”

  • What will a new home offer that my existing home does not?
  • Do I need to sell within a certain amount of time?
  • How much preparation or repair work is needed to sell my home?
  • Do I have enough equity in my home to make a down payment on a new house and/or achieve other financial goals?
  • Is making a profit on the sale of my home a must? If so, how much of a profit?
  • Where will I live next?

Think about your motive for selling and then create a selling strategy tailored to it.

If you are highly motivated sell (ASAP) really think about how you are going to beat your other competitors on the market.

  • Updated Kitchen & bathrooms
  • Small rehab before sale < 2,000 (New Paint, Fixing Existing problems, Landscaping, cleaning)
  • Location
  • and most importantly PRICE

Price

Without a realtor to help guide the pricing of your property, do your homework to come to a competitive price.

  • Comparative Market Analysis
  • Appraisal
  • Paying a buyer’s agent 3%

Marketing

  • Pay to get on MLS
  • Create a professional ad to post on forums and social media
  • Professional pictures
  • How are you going to show the property? Do you work 8-5, are you going to be able to show the property to any interested buyers?
  • Zillow, Trulia, etc.
  • Open houses

Mortgage Payoff

  • Determine what you need to get on the house to secure the right amount of equity
  • Is now a feasible time to sell?

While selling your own property might seem like it can save you a lot of money (roughly 6%) of purchase price, its not a fail-proof plan.

  • 93% of buyers find their home using a realtor
  • 90% of FSBOs do not succeed and later sell with a realtor
  • FSBOs tend to have an emotional attachment to property

5 Reasons FSBOs Fail

  • Price
  • Not enough marketing (if any, cannot just put a sign in the yard)
  • Unable to negotiate
  • Availability
  • Don’t understand how to take offer to close

At the end of the day, using a realtor will in fact save you money and countless hours trying to sell the home yourself. Realty South on average gets a 10% higher sales price then competitors. We have the biggest buyer pool in the entire state of Alabama. We know how to get the job done.

Benjamin Hedden

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