A common practice to sell a home, is to try to sell yourself, without the assistance of a Realtor. This process is called "
For Sale By Owner" (FSBO).
Selling FSBO can save the homeowner a huge amount of money, IF the home is listed for sale at the correct amount, and the homeowner has an advertising method to get exposure. The home must be effectively presented to the home buying public. There are several exposure assistants that the homeowner can use including the Internet, Local Newspapers, etc. A recent survey indicates that 70% of the home buying public uses the Internet to search for homes.
A frequent mistake that the selling homeowner makes, is to list his/her property, at an unrealistic listing price. This can cause several potential problems. If the listing price is lower than Market Value, he/she stands to lose a great deal of money. If the listing price is excessive (much higher than Market Value), the potential buyer may find that their chosen mortgage companies appraiser will not appraise the property high enough for a sufficient mortgage to be placed on the property. This has ruined MANY deals of the FSBO transaction.
Specific Suggestions:
Have a pre-listing appraisal completed to determine the correct listing price. The appraisal can also be used as a great marketing tool for the FSBO Owner to show to potential buyers.
Be sure to have a real estate attorney prepare the transaction and closing papers for you.
