It is natural for sellers to think about selling without an agent as they believe this would save on Realtor costs. While it is not impossible to sell on your own, at times it would be a mistake. When a person sells the house on his own, he would skip the listing agent, hence the house is tagged as FSBO or For Sale By Owner. While it is not a crime to sell your home all by yourself, here are certain things you should be aware of:
- The market value of your home in the present circumstances
- You might have to work with a buyer’s agent
- You might have to be prepared for home showings; i.e. learn to market your home well
- You must have the skill to screen the buyers, and recognize the ones that are really interested in buying
- People might criticize your home, you will have to learn to take that well
- You might be prepared to do legwork
- There is no guarantee that you will be able to sell your home
Overpricing your home
Most owners tend to overprice their home, and when the property sits in the market longer than expected, they will wonder what went wrong. As a seller, you can research on the different home sales in your community and find their sales price. You will be able to price your home accordingly and see that more buyers are coming in. You can also hire a certified licensed appraiser in order to gauge the real value of your home. Even if you feel it’s a fair price, buyers would still try to negotiate and lower the price.
Working with a buyer’s agent
In most cases, the buyer will have his own agent to represent him. If there is a listing agent that represents the seller, then the seller will have to pay commission to both the buyer’s agent and the listing agent. As an FSBO, you may decide not to have a listing agent, but you cannot control the decision of the buyer.
Learning to market your home
If you are selling on your own, you must learn to market your home as well. Marketing involves taking videos of your home and its surroundings, so a prospect will not actually have to come down and visit the property unless he is really interested. Marketing also involves listing your home in social media sites, MLS services and placing “for sale” placards in your property.
Screening the buyers
Not all buyers who come down for home-showing are serious buyers. And some may not even be eligible for a loan. You need to find out whether the buyer is eligible for a home loan, or whether he has funds available. You can also ask for a pre-approval letter from the buyer’s lender before accepting the offer.
Take criticism with a pinch of salt
Buyers are notorious for finding faults, and if they find something about your house that they didn’t like, they might point it out tactlessly.Don’t take it personal.
Conclusion
Nobody would be willing to buy a home that has been sitting in the market for so long. So make sure yours doesn’t sit for very long, because that would only reduce its value.