Do you know, you can save enough money by selling your home alone, and even keep the real estate commission in your pocket? When a home owner sells or buys a home without contacting a real estate agent, the commission he or she was to pay to a real estate agent is saved. By using the “for sale by owners” method for selling you house or home quickly, for a better price, using all the marketing strategies.
If you know the procedure to sell your property using the “For Sale by Owners” method, then you are going to save the huge sums of money that real estate agents take as commission from home owners. if you look critically you will discover that, this real estate agents are normal people just as home owners, who have not gone for any formal training for the buying and selling of homes. You don’t need to be a licensed real estate agent before you sell your own home or go to college. But, you have to be vested with the following points.
1) How to determine the price, and make maximum profit.
2) How to show you home to buyers and save time.
3) You have to know where to place you’re for sale sign.
4) How to negotiate for the best deal.
5) You can also work with a local advertiser to advertise your home.
6) Make sure you know all the documents which will be need for the selling process.
If you can follow the points above very well, there is no need going for a real estate agent.
Truly speaking, being a real estate agent or selling a real estate, you don’t need a college qualification. You just need to be honest and treat your buyers fairly. After all, the home owner knows all the features of the home so; they can even explain to buyers how their homes look like more than real estate agents. It will be good to avoid these mistakes that are always made by home owners, when they want to sell their homes themselves. The mistakes are as follows:
1) They over price their homes.
2) Some price their homes lesser than the required amount.
3) Some don’t inspect their homes if they are clean, before selling.
4) Some waste their advertising budget on local advertisers.
5) They don’t know how to advertise.
6) Some don’t know real estate terms to sale.
If you want to sell your home as fast as possible, based on the local market conditions, the step-by-step instructions be low is going to guide you on what to do.
1) How to advertise effectively for free or low cost.
2) How to call buyers to your home.
3) How to negotiate and seal the deal.
Why give thousands to real estate agents you can sell your home alone and keep the money but you must be prepare to learn the strategies such as: how to arrive at the perfect price. How to prepare your home for sale. Some tricks to help your sell your home faster and for more money. The best way to advertise should be used. You must know how to stage your home for sale.
Many people have attempted to sell their homes privately without success. They later call for real estate agents and paying them the high commission after all. The home owners fail because, most of them are not willing to learn the techniques, which are involve in the selling of a home by the home owner. It can be done, if you have good marketing and negotiation skills and the time commitment.
Friday, February 29, 2008
Monday, February 25, 2008
Friday, February 22, 2008
How to Buy a Home for Sale by the Owner
Sellers who want to save the brokerage fee by selling their home themselves put the house on the market as FSBO - For Sale by Owner. When working with FSBO sellers, keep these steps in mind
Things You’ll Need:
Inspectors
Real Estate Attorneys
Pads Of Paper
Pens
Personal Organizers
Step 1:
Get comparable prices for other homes in the neighborhood from a local real estate company to ensure the home is not overpriced. (Firms usually do this at no charge.)
Step 2:
Question the owners about the asking price. How did they arrive at the price? Request to see copies of comparable sales they are using or a copy of the appraisal.
Step 3:
Ask the owners specific questions about the property: How long has the home been on the market? Are there any defects or conditions that the buyer should be aware of (sellers in many states are required to fill out a transfer disclosure statement that lists the condition of the property - ask to see one)? Why are the sellers selling and are any nuisances or negative conditions in the property?
Step 4:
Hire your own home inspector, one not recommended by the seller.
Step 5:
Make an offer that's based on comparable prices in the neighborhood, not on the listing price.
Step 6:
Have an attorney look over contracts and agreements before signing.
Things You’ll Need:
Inspectors
Real Estate Attorneys
Pads Of Paper
Pens
Personal Organizers
Step 1:
Get comparable prices for other homes in the neighborhood from a local real estate company to ensure the home is not overpriced. (Firms usually do this at no charge.)
Step 2:
Question the owners about the asking price. How did they arrive at the price? Request to see copies of comparable sales they are using or a copy of the appraisal.
Step 3:
Ask the owners specific questions about the property: How long has the home been on the market? Are there any defects or conditions that the buyer should be aware of (sellers in many states are required to fill out a transfer disclosure statement that lists the condition of the property - ask to see one)? Why are the sellers selling and are any nuisances or negative conditions in the property?
Step 4:
Hire your own home inspector, one not recommended by the seller.
Step 5:
Make an offer that's based on comparable prices in the neighborhood, not on the listing price.
Step 6:
Have an attorney look over contracts and agreements before signing.
Thursday, February 21, 2008
Spring is in the air FSBO signs are popping up in my neighborhood
Thought you might be interested in the number of for sale by owner properties I've noticed while driving thorough my neighborhood. I aways get a good feeling when I see others who have decided to take matters into their own hands and say No to outrageous real estate commissions. I truly believe in the process of selling privately and have spent a generous amount of my time dedicated to helping spread the word about FSBO. It's very gratifying to see the sand in the hour glass slowly running out for a backwards industry that has refused to change with the times and have let greed lead them to what I hope will soon be their demise. Talk soon see ya.
Wednesday, February 20, 2008
Creative Advertising for FSBO
It's true that in this day and age, there really is information overload. Every outdoor surface seems to be plastered with advertising messages of some sort. So how do you tell folks in your neighbourhood that your home is for sale?
I saw one creative neighbour the other day who had obviously contacted the people who lived on the corner of a busy street, and put a for sale sign on their lawn - with a big red arrow markered on it. You followed in that direction down the street, and again you found another home with a FSBO sign on the lawn and another arrow directing you down yet another street. About 6 houses down this road, there was the ACTUAL for sale sign on the front lawn of a lovely home.
I thought this worked pretty well as it created a bit of a "treasure hunt" feel to finding the home. The other aspect of this creative solution was that because the other signs were on private property, there was no issues of infringing on any city sign bi-laws. Genius.
Enlisting the help of your friends and neighbors is a great way to increase interest, traffic and hopefully offers to your FSBO home. Be creative and get sold.
I saw one creative neighbour the other day who had obviously contacted the people who lived on the corner of a busy street, and put a for sale sign on their lawn - with a big red arrow markered on it. You followed in that direction down the street, and again you found another home with a FSBO sign on the lawn and another arrow directing you down yet another street. About 6 houses down this road, there was the ACTUAL for sale sign on the front lawn of a lovely home.
I thought this worked pretty well as it created a bit of a "treasure hunt" feel to finding the home. The other aspect of this creative solution was that because the other signs were on private property, there was no issues of infringing on any city sign bi-laws. Genius.
Enlisting the help of your friends and neighbors is a great way to increase interest, traffic and hopefully offers to your FSBO home. Be creative and get sold.
Tuesday, February 5, 2008
For Sale By Owner Stats & Information
For Sale By Owner (abbreviated as FSBO; IPA pronunciation: (fizzbo) is a real estate term which describes the situation in which a property is offered for sale directly by its owner and without that owner having solicited the help of a real estate broker, implying that no real estate commission is associated with the sale. In recent years, the term has been used more broadly to describe the process of marketing, buying, and selling of real property without the representation of a real estate broker.
Many sellers who choose to sell via FSBO do so to avoid paying a commission to a broker, typically 6% of the selling price of the property in many parts of the US [1]. Commissions can range between 5% and 7% in different markets across the U.S. as well as in Canada.
According to a press release by the National Association of Realtors (NAR) regarding their most current annual survey of real estate consumers, 2005 Profile of Home Buyers and Sellers: [2]
12% of 2006 US real estate transactions were FSBO.
13% of 2005 US real estate transactions took place via FSBO (down from 14% in 2004).
The record percentage of 20% of US real estate transactions (since tracking started in 1981) took place in 1987.
Some FSBOs, who are willing to pay a reduced fee, may contract with a broker to list their property on the Realtors' local Multiple Listing Service for a flat fee. This may be one of the fastest growing segments of the real estate industry.
According to the Canadian Real Estate Association, which claims that 75% to 80% of homes in Canada were sold through brokers, it would appear that "Sale by Owner" accounts for some 20% or 25% of the remainder.[3].
For Sale by Owner within Australia accounts for less than 2% of all properties sold. (source: Zeroagents 2006) Commission rates within Australia are typically 2.5% of the selling price. The FSBO market within Australia has been restricted with major property portals only allowing property advertisements through real estate agents.
Many sellers who choose to sell via FSBO do so to avoid paying a commission to a broker, typically 6% of the selling price of the property in many parts of the US [1]. Commissions can range between 5% and 7% in different markets across the U.S. as well as in Canada.
According to a press release by the National Association of Realtors (NAR) regarding their most current annual survey of real estate consumers, 2005 Profile of Home Buyers and Sellers: [2]
12% of 2006 US real estate transactions were FSBO.
13% of 2005 US real estate transactions took place via FSBO (down from 14% in 2004).
The record percentage of 20% of US real estate transactions (since tracking started in 1981) took place in 1987.
Some FSBOs, who are willing to pay a reduced fee, may contract with a broker to list their property on the Realtors' local Multiple Listing Service for a flat fee. This may be one of the fastest growing segments of the real estate industry.
According to the Canadian Real Estate Association, which claims that 75% to 80% of homes in Canada were sold through brokers, it would appear that "Sale by Owner" accounts for some 20% or 25% of the remainder.[3].
For Sale by Owner within Australia accounts for less than 2% of all properties sold. (source: Zeroagents 2006) Commission rates within Australia are typically 2.5% of the selling price. The FSBO market within Australia has been restricted with major property portals only allowing property advertisements through real estate agents.
Have You Considered For Sale By Owner
If you are in a tough real estate market and are looking to sell your home quickly, you might want to consider doing a For Sale By Owner. My wife and I recently bought a new house and after trying unsuccessfully to sell our existing house through a real estate agent for several months decided to try For Sale by Owner. We found a buyer within four days and closed on the house three weeks later. However, through our experience we discovered a few things. Here are a few tips if you are considering a FSBO in a less than ideal real estate market.
1. Consider paying to have your home placed in the MLS(USA only). There are several companies out there that will do this for a few hundred dollars. With sales down, real estate agents are desperate to earn a commission. By putting the house in the MLS you are agreeing that if an agent brings a buyer to you that you will pay the agent their part of the commission (you still save the listing agents commission). If you can sell the house on your own with no agent then you won't have to pay an agent. However, in a tough market you want as many possible eyes on your property as possible.
2. Get the word out to as many places as possible about your house. One of the best places to do this is on the internet. There are dozens of free websites that will allow you to post your house for free. Consider starting with craigslist since it has so much traffic and then spread out to the other sites on the net. It will probably take you an entire evening to get the house posted on all the sites and you will want to keep a spreadsheet with your usernames and passwords so that you can go back later and remove the listing once the house sells.
3. Design a professional looking flyer and put out for sale by owner signs and a flyer box. If you aren't the artistic type and don't know that much about designing things like flyers consider a site like vflyer which will give you templates for designing a flyer. Take some good pictures of the house with your digital camera and put them on the flyer. If you use Vflyer or a program like it you can probably use the same template to post the house to craigslist and ebay (if you decide to pay for a listing).
4. Be creative. When we put our house on the market we ordered an eight foot full color printed banner to put on our fence. Our house backed to a major street and we were able to get some major exposure from the banner. I have heard of people offering free vacations, big screen tvs, cash bonus' to the listing agent and even a free car. I have also heard of people giving away a cool prize at their open house. These things can help get your house noticed which is the first step to getting it sold.
5. Make sure that your price is competitive. Consider using the money that you are saving on real estate commissions to cut the price of your house so that it is more competitive. In tough markets it is going to be very important that your house isn't priced too high or people will find another option. In our area there were a ton of houses on the market and most of the houses that were selling were 5% or more undervalued. If that is what it takes you might need to swallow hard and cut the price of your house.
Of course all of these things are just suggestions. Still, when things get tough and you need to sell your house these could be an option for you. They worked for us.
1. Consider paying to have your home placed in the MLS(USA only). There are several companies out there that will do this for a few hundred dollars. With sales down, real estate agents are desperate to earn a commission. By putting the house in the MLS you are agreeing that if an agent brings a buyer to you that you will pay the agent their part of the commission (you still save the listing agents commission). If you can sell the house on your own with no agent then you won't have to pay an agent. However, in a tough market you want as many possible eyes on your property as possible.
2. Get the word out to as many places as possible about your house. One of the best places to do this is on the internet. There are dozens of free websites that will allow you to post your house for free. Consider starting with craigslist since it has so much traffic and then spread out to the other sites on the net. It will probably take you an entire evening to get the house posted on all the sites and you will want to keep a spreadsheet with your usernames and passwords so that you can go back later and remove the listing once the house sells.
3. Design a professional looking flyer and put out for sale by owner signs and a flyer box. If you aren't the artistic type and don't know that much about designing things like flyers consider a site like vflyer which will give you templates for designing a flyer. Take some good pictures of the house with your digital camera and put them on the flyer. If you use Vflyer or a program like it you can probably use the same template to post the house to craigslist and ebay (if you decide to pay for a listing).
4. Be creative. When we put our house on the market we ordered an eight foot full color printed banner to put on our fence. Our house backed to a major street and we were able to get some major exposure from the banner. I have heard of people offering free vacations, big screen tvs, cash bonus' to the listing agent and even a free car. I have also heard of people giving away a cool prize at their open house. These things can help get your house noticed which is the first step to getting it sold.
5. Make sure that your price is competitive. Consider using the money that you are saving on real estate commissions to cut the price of your house so that it is more competitive. In tough markets it is going to be very important that your house isn't priced too high or people will find another option. In our area there were a ton of houses on the market and most of the houses that were selling were 5% or more undervalued. If that is what it takes you might need to swallow hard and cut the price of your house.
Of course all of these things are just suggestions. Still, when things get tough and you need to sell your house these could be an option for you. They worked for us.
Friday, February 1, 2008
Can I really do it myself?
FSBO is easier than you think. It's the truth.
Let's address a couple of the major concerns here.
Let's address a couple of the major concerns here.
- It's not legal - or I don't know how to handle the legal aspect...
The paperwork end of things is always handled by a legal expert - your lawyer or attorney handles the transaction and ensures that all your "t's" are crossed and your "i's" are dotted. It is their responsibility to make sure that all forms are filled out correctly and filed properly. Your job is to agree to terms (ie. price, inclusions, closing date, etc.) on paper and then hand it over to him/her. A real estate agent would go through the same process. You are simply a FSBO sale and are just representing yourself. - I don't know how to negotiate the offer
We'll assume you've done your homework, and you have a reasonable listing price. If the price is in the correct range based on your findings, then you must determine your priorities. Is getting the most for your home the most important factor, or is selling it quicker more important? You must, ahead of time, determine your lowest acceptable offer - and then stick to it. Unless there are extenuating circumstances, then this is the number you won't go below. At some point in your life, you've negotiated for something, so the same principles apply. If you're confident in your home, and the value the home buyer will be getting, then negotiate firmly. If it's worth it, they will spend it.
We really are trying to educate readers as to exactly how simple it is to sell your home privately. We're not saying there's no work in it, but through education, you will see how simple the process can be, how much you can save, and the satisfaction you'll receive by selling FSBO.
Wednesday, January 30, 2008
The Definition of FSBO
For Sale By Owner (abbreviated as FSBO and pronounced fzbo) is a real estate term which describes the situation in which a property is offered for sale directly by its owner and without that owner having solicited the help of a real estate broker, implying that no real estate commission is associated with the sale. In recent years, the term has been used more broadly to describe the process of marketing, buying, and selling of real property without the representation of a real estate broker.
Some real estate professionals in the United States use short word fizber (noun) to describe home owners who sell their homes and land by themselves and don't use a realtor. The word fizber was formed by means of agglutination from the word fizbo (pronunciation of FSBO) by adding affix -er to it.
Many sellers who choose to sell via FSBO do so to avoid paying a commission to a broker, typically 6% of the selling price of the property in many parts of the US.[1] Commissions can range between 5% and 7% in different markets across the U.S. as well as in Canada
When homeowners decide to sell their home without a real estate agent, they enter the world of the FSBO sellers or fizbers. If a seller markets a home as a FSBO, and a buyer who is not working with an agent wants to buy this home, the seller pays no commission because no real-estate agents are involved. If a buyer who is represented by an agent is interested in a FSBO home, that buyer's agent may request that a fizber pays him or her a commission or finder's fee for bringing the buyer.
In many states, brokers have appropriate pre-printed forms in place for agents to pre-negotiate a "one time showing" with a negotiated commission rate. This ensures that agents can represent their clients' best interests and consider all available homes in the decision-making process.
In order to protect themselves, sellers typically arrange to have the necessary forms at hand or have them drawn up for them. Lawyers will normally draw up an agreement for a fixed fee often as part of legal representation for the purchaser. In parts of Canada (e.g. Ontario), office supply stores carry legal kits that can also be used.
Monday, January 28, 2008
Smart "For Sale By Owner" Selling
If there is one truth about the FSBO market it is that you need to be smart about the sale to make any money from it. In order to gain the right amount of attention for your home you need to try to think like a realtor. How should the home be shown? Showcased? Displayed? These are things that your average home seller does not think about, they leave the specifics up to their agent and just worry about keeping the home clean and presentable.
One of the first things you should consider is having a CMA done on your home by a few different realtors. Of course after having them do this they will want your business but simply let them know you were just interested in finding out your home's value. Or you can do the research yourself although it will take some time to find the information. The CMA is a comparative analysis of similar homes that have sold or been listed on the market in your area. It details what price the homes were listed at and what they sold for. This is designed to give you a good idea of what to list your home for, based on the advantages that your home offers. The price that you list at must be competitive with other homes of similar design and size. Pricing your home too high is one mistake that many FSBO sellers make as there is a definite emotional connection to a home for any owner. Unfortunately a buyer will not have that same connection nor will they be agreeable to paying more money for it. In an FSBO sale, more than any other type of sale you really need to remove yourself emotionally from the process.
Pictures are worth a thousand words so find some high-quality camera equipment and take pictures of your home under the best conditions possible. Sunny days are perfect for this activity as the home looks its best with bright sunshine illuminating all of its assets. Be sure to spend some time cleaning the yard before you begin photographing anything. Also make sure that you use current pictures that detail you home as it currently is. If you make any changes to the home during the sale then make sure you retake the pictures. Be sure to get pictures of every room in the home so that buyers know what to expect when they arrive to view the home.
The idea here is to set your home apart from others on the local market, including those being sold by realtors. You will need to consider as many angles as possible to get the right kind of buyers interested in your property so don't be afraid to take some time and try different things to attract the right buyers.
One of the first things you should consider is having a CMA done on your home by a few different realtors. Of course after having them do this they will want your business but simply let them know you were just interested in finding out your home's value. Or you can do the research yourself although it will take some time to find the information. The CMA is a comparative analysis of similar homes that have sold or been listed on the market in your area. It details what price the homes were listed at and what they sold for. This is designed to give you a good idea of what to list your home for, based on the advantages that your home offers. The price that you list at must be competitive with other homes of similar design and size. Pricing your home too high is one mistake that many FSBO sellers make as there is a definite emotional connection to a home for any owner. Unfortunately a buyer will not have that same connection nor will they be agreeable to paying more money for it. In an FSBO sale, more than any other type of sale you really need to remove yourself emotionally from the process.
Pictures are worth a thousand words so find some high-quality camera equipment and take pictures of your home under the best conditions possible. Sunny days are perfect for this activity as the home looks its best with bright sunshine illuminating all of its assets. Be sure to spend some time cleaning the yard before you begin photographing anything. Also make sure that you use current pictures that detail you home as it currently is. If you make any changes to the home during the sale then make sure you retake the pictures. Be sure to get pictures of every room in the home so that buyers know what to expect when they arrive to view the home.
The idea here is to set your home apart from others on the local market, including those being sold by realtors. You will need to consider as many angles as possible to get the right kind of buyers interested in your property so don't be afraid to take some time and try different things to attract the right buyers.
FSBO - Selling Your Home Realtor-Free
Ever considered selling your home without using a real estate agent? It may seem like a huge undertaking but if handled correctly and with the proper guidance, the process can be quite rewarding. If you have any friends that are realtors, try to pick their brains about the kind of things that they do when preparing a home for sale. They may try to get you to list with them but stick to your guns. Its going to be a good idea to make a list of things that need to be done in order to keep yourself on track.
Perhaps the most important thing that you are going to have to deal with will be the marketing process. Most realtors have a huge advertising budget that places homes in prominent view to local buyers. It can be difficult to compete with, but a smart FSBO seller can compensate for this by flat fee MLS listings, and proper newspaper coverage. Also try to find a national FSBO web site and list your home there. This is will not only give your home exposure to a national audience, but it will also make your home known to realtors. It is likely that you will end up dealing with agents in some capacity as buyer's agents will undoubtedly have clientele interested in your home.
The next section of preparations are one that you would be doing yourself anyway. However, when representing yourself they become more important. This is the time for staging your home. Go on a cleaning spree and bring the kids with you! It's important to get the house into ship-shape condition if buyers are going to be interested in making an offer. Be mindful of things like aromas in the house. Pets can be a major cause of odors in the home, so burning some scented candles during showings is a good idea. Also, before the showings start try to de-odorize the house as much as possible by getting rid of the source of the smells. This may mean leaving pets outside or better yet, with a friend or relative for the duration of the showing.
It also might be in your best interest to get a professional hand with the closing contracts and financial concerns. These can be tricky if you are not used to dealing with them. You want to be sure that you are not left hanging with unreasonable contracts or conditions on the sale.
Perhaps the most important thing that you are going to have to deal with will be the marketing process. Most realtors have a huge advertising budget that places homes in prominent view to local buyers. It can be difficult to compete with, but a smart FSBO seller can compensate for this by flat fee MLS listings, and proper newspaper coverage. Also try to find a national FSBO web site and list your home there. This is will not only give your home exposure to a national audience, but it will also make your home known to realtors. It is likely that you will end up dealing with agents in some capacity as buyer's agents will undoubtedly have clientele interested in your home.
The next section of preparations are one that you would be doing yourself anyway. However, when representing yourself they become more important. This is the time for staging your home. Go on a cleaning spree and bring the kids with you! It's important to get the house into ship-shape condition if buyers are going to be interested in making an offer. Be mindful of things like aromas in the house. Pets can be a major cause of odors in the home, so burning some scented candles during showings is a good idea. Also, before the showings start try to de-odorize the house as much as possible by getting rid of the source of the smells. This may mean leaving pets outside or better yet, with a friend or relative for the duration of the showing.
It also might be in your best interest to get a professional hand with the closing contracts and financial concerns. These can be tricky if you are not used to dealing with them. You want to be sure that you are not left hanging with unreasonable contracts or conditions on the sale.
FSBO Pointers
In the world of FSBO home sales there are some distinct things that you should keep in mind. This is a time consuming and complicated process, so planning is of utmost importance. Here are some tips for keeping your wits about you and on track throughout the whole process.
- Don't do it alone - There are some people that you are going to need on your side during the sale of a home. Perhaps the most important one is a title/escrow company or a real estate attorney. Which you need will depend on which state you are in. You may also want to consider forming a relationship with a mortgage broker or lender. This will help in narrowing down the interested viewers to those who can actually afford to purchase your home. Have them get pre-approved by the lender before you show the home.
- Know what your home is worth - Some people when selling their own home will simply "shoot from the hip" on deciding a price for their home. Typically this never works out well. It is quite easy to get a CMA from any number of realtors in your area. They can provide these quickly and easily over the phone or via the internet, no meeting is necessary. The best way to find out the value of the home is to have it appraised by a professional appraiser.
- Get your home noticed - There are several ways of doing this. You will of course, have a front yard sign, also advertising in the classifieds is a good method. One great way to get coverage is the internet. Even though you are not using a realtor, you can still list your home on the MLS. This will give your home a huge amount of coverage.
- Get ready - Staging your home will ensure that when people see it, they love it. Take some time and peruse the staging articles are resources online for some great ideas on improving the show quality of your home. Most of the staging steps are simple things that you can easily do yourself with little time and money.
- Don't do it alone - There are some people that you are going to need on your side during the sale of a home. Perhaps the most important one is a title/escrow company or a real estate attorney. Which you need will depend on which state you are in. You may also want to consider forming a relationship with a mortgage broker or lender. This will help in narrowing down the interested viewers to those who can actually afford to purchase your home. Have them get pre-approved by the lender before you show the home.
- Know what your home is worth - Some people when selling their own home will simply "shoot from the hip" on deciding a price for their home. Typically this never works out well. It is quite easy to get a CMA from any number of realtors in your area. They can provide these quickly and easily over the phone or via the internet, no meeting is necessary. The best way to find out the value of the home is to have it appraised by a professional appraiser.
- Get your home noticed - There are several ways of doing this. You will of course, have a front yard sign, also advertising in the classifieds is a good method. One great way to get coverage is the internet. Even though you are not using a realtor, you can still list your home on the MLS. This will give your home a huge amount of coverage.
- Get ready - Staging your home will ensure that when people see it, they love it. Take some time and peruse the staging articles are resources online for some great ideas on improving the show quality of your home. Most of the staging steps are simple things that you can easily do yourself with little time and money.
FSBO Pointers
In the world of FSBO home sales there are some distinct things that you should keep in mind. This is a time consuming and complicated process, so planning is of utmost importance. Here are some tips for keeping your wits about you and on track throughout the whole process.
- Don't do it alone - There are some people that you are going to need on your side during the sale of a home. Perhaps the most important one is a title/escrow company or a real estate attorney. Which you need will depend on which state you are in. You may also want to consider forming a relationship with a mortgage broker or lender. This will help in narrowing down the interested viewers to those who can actually afford to purchase your home. Have them get pre-approved by the lender before you show the home.
- Know what your home is worth - Some people when selling their own home will simply "shoot from the hip" on deciding a price for their home. Typically this never works out well. It is quite easy to get a CMA from any number of realtors in your area. They can provide these quickly and easily over the phone or via the internet, no meeting is necessary. The best way to find out the value of the home is to have it appraised by a professional appraiser.
- Get your home noticed - There are several ways of doing this. You will of course, have a front yard sign, also advertising in the classifieds is a good method. One great way to get coverage is the internet. Even though you are not using a realtor, you can still list your home on the MLS. This will give your home a huge amount of coverage.
- Get ready - Staging your home will ensure that when people see it, they love it. Take some time and peruse the staging articles are resources online for some great ideas on improving the show quality of your home. Most of the staging steps are simple things that you can easily do yourself with little time and money.
- Don't do it alone - There are some people that you are going to need on your side during the sale of a home. Perhaps the most important one is a title/escrow company or a real estate attorney. Which you need will depend on which state you are in. You may also want to consider forming a relationship with a mortgage broker or lender. This will help in narrowing down the interested viewers to those who can actually afford to purchase your home. Have them get pre-approved by the lender before you show the home.
- Know what your home is worth - Some people when selling their own home will simply "shoot from the hip" on deciding a price for their home. Typically this never works out well. It is quite easy to get a CMA from any number of realtors in your area. They can provide these quickly and easily over the phone or via the internet, no meeting is necessary. The best way to find out the value of the home is to have it appraised by a professional appraiser.
- Get your home noticed - There are several ways of doing this. You will of course, have a front yard sign, also advertising in the classifieds is a good method. One great way to get coverage is the internet. Even though you are not using a realtor, you can still list your home on the MLS. This will give your home a huge amount of coverage.
- Get ready - Staging your home will ensure that when people see it, they love it. Take some time and peruse the staging articles are resources online for some great ideas on improving the show quality of your home. Most of the staging steps are simple things that you can easily do yourself with little time and money.
FSBO Selling & Low-Ball Offers
There are some particular things that happen when selling a home by yourself. You will have to be able to deal with them in a professional manner in order to receive the best price for your home and not be taken advantage of. One of the first things that you will have to deal with is the abundance of calls that you will likely receive from local realtors wanting your business. They will tell you that they can sell your home quickly and for more money, but of course, there is a commission attached to this so it's in their best interest to get your business. However, if you have planned properly for your sale and have done the necessary market research and are confidant that you can sell your home yourself and save the commission fees then stick to your guns!
Another thing that you may have to deal with is low-ball offers from buyers who think they can get a reduced price simply because you aren't being represented by an agent. As agents are usually experienced at negotiating, people expect to pay more and have more trouble with getting a lower price. If you have priced your home properly then there should be no need to cut your price down, buyers should realize the value of your home and be willing to meet your price. Be ready for people making low offers in an attempt to find out what your bottom line is. If you receive an offer that is too low for your liking, make a counter-offer that is acceptable to you. Whatever you do, don't be desperate to move the property. In all likelihood the buyer's agent will identify this quickly and you will end up losing money in the end.
Don't sell yourself short in this process, and never settle for an offer that is less than you know the home to be worth. FSBO selling is tricky and there are people out there who will prey on uneducated FSBO sellers. Make sure that you are not one of them.
Another thing that you may have to deal with is low-ball offers from buyers who think they can get a reduced price simply because you aren't being represented by an agent. As agents are usually experienced at negotiating, people expect to pay more and have more trouble with getting a lower price. If you have priced your home properly then there should be no need to cut your price down, buyers should realize the value of your home and be willing to meet your price. Be ready for people making low offers in an attempt to find out what your bottom line is. If you receive an offer that is too low for your liking, make a counter-offer that is acceptable to you. Whatever you do, don't be desperate to move the property. In all likelihood the buyer's agent will identify this quickly and you will end up losing money in the end.
Don't sell yourself short in this process, and never settle for an offer that is less than you know the home to be worth. FSBO selling is tricky and there are people out there who will prey on uneducated FSBO sellers. Make sure that you are not one of them.
Saturday, January 26, 2008
FSBO - The Benefits of a For Sale By Owner
Obviously, one of the most apparent FSBO benefits, at least to many home owners, is that the act of sticking that 'For Sale By Owner' sign in their front yard says that they might save some money and have some control over the selling of their home. However, what are some of the other benefits of an FSBO home sale, and how do you go about doing it.
While not a necessarily a 'benefit', one of the first things to remember when contemplating an FSBO home sale is that no matter where you are, it can seem somewhat daunting and complicated. Adding to the complications is the fact that not only are there all kinds of legal forms required (and if you have ever bought a home you know what I mean), but that requirements may vary state by state. A California 'for sale by owner' home sale might be be different from a Wisconsin FSBO transaction.
If taking the 'for sale by owner' route is so complicated and messy, why am I including this comment in an article for someone who is contemplating putting up their home in a 'for sale by owner' offering?
Let's talk about those benefits.
1. The FSBO Kit - There are many companies which offer what can be called an FSBO kit of one kind or another. Depending on the company, this kit will provide the homeowner with the FSBO legal forms, and hopefully some guidance on preparation and filing of the 'for sale by owner' documents. These kits may range from simply the basic or most common forms needed with some instructions on how to fill them out and where to file them, to very complete FSBO kits which include ALL the legal forms needed, instructions on how to fill them out, where to file them, instructions on how to prepare your home for sale, how to advertise your home for sale effectively, and, in some cases, contact with a listing service which will put the home out in front of prospective buyers.
2. Growing Public Acceptance of the Process - Not too many years ago, most people would have been wary of a home with an FSBO sign in the front yard. However, since more and more people have opted in for this type of home sale, not only are many more people actually looking for those signs, but an entire support industry seems to have sprung up to assist the homeowner who has decided to try the 'for sale by owner' route. Newspapers offer advertising packages and guidance, for example, and even some realtors have jumped on the bandwagon by offering assistance and guidance to the homeowner - for a fee, of course.
3. Control Over The Home Sale Process - I hinted at this earlier in the opening paragraph. Many people just want to have some control over the process and not feel a pawn in the hands of the real estate agent. Additionally, some people want to be involved in showing the house, explaining its values and even such simple things as 'how nice the next door neighbor is' to prospective buyers. Some people feel that this more personal approach may do more to sell the house than a realtor's remark about how the owner mentioned that it was a nice neighborhood to live in.
4. Savings - Actually, I do not necessarily consider savings to be the main reason that ALL people choose to go with an FSBO home sale. Many of us simply believe that we don't mind paying if we know what we are paying for. When that realtor walks off with a large commission, we often wonder what he or she did to earn it. While 'for sale by owner' will certainly very often offer savings, ranging from small to large amounts, many of us are just happy to know where our money is going. While there is almost no concrete way to measure how much money is actually saved in an FSBO home sale, there will almost always be some savings, if the process is done correctly and efficiently.
For most homeowners, and buyers as far as that goes, the FSBO home sale can be a rewarding experience if done properly. If you are not an experienced home seller, probably the best way to be successful is to do your homework and get your hands on the best FSBO kit you can find
While not a necessarily a 'benefit', one of the first things to remember when contemplating an FSBO home sale is that no matter where you are, it can seem somewhat daunting and complicated. Adding to the complications is the fact that not only are there all kinds of legal forms required (and if you have ever bought a home you know what I mean), but that requirements may vary state by state. A California 'for sale by owner' home sale might be be different from a Wisconsin FSBO transaction.
If taking the 'for sale by owner' route is so complicated and messy, why am I including this comment in an article for someone who is contemplating putting up their home in a 'for sale by owner' offering?
Let's talk about those benefits.
1. The FSBO Kit - There are many companies which offer what can be called an FSBO kit of one kind or another. Depending on the company, this kit will provide the homeowner with the FSBO legal forms, and hopefully some guidance on preparation and filing of the 'for sale by owner' documents. These kits may range from simply the basic or most common forms needed with some instructions on how to fill them out and where to file them, to very complete FSBO kits which include ALL the legal forms needed, instructions on how to fill them out, where to file them, instructions on how to prepare your home for sale, how to advertise your home for sale effectively, and, in some cases, contact with a listing service which will put the home out in front of prospective buyers.
2. Growing Public Acceptance of the Process - Not too many years ago, most people would have been wary of a home with an FSBO sign in the front yard. However, since more and more people have opted in for this type of home sale, not only are many more people actually looking for those signs, but an entire support industry seems to have sprung up to assist the homeowner who has decided to try the 'for sale by owner' route. Newspapers offer advertising packages and guidance, for example, and even some realtors have jumped on the bandwagon by offering assistance and guidance to the homeowner - for a fee, of course.
3. Control Over The Home Sale Process - I hinted at this earlier in the opening paragraph. Many people just want to have some control over the process and not feel a pawn in the hands of the real estate agent. Additionally, some people want to be involved in showing the house, explaining its values and even such simple things as 'how nice the next door neighbor is' to prospective buyers. Some people feel that this more personal approach may do more to sell the house than a realtor's remark about how the owner mentioned that it was a nice neighborhood to live in.
4. Savings - Actually, I do not necessarily consider savings to be the main reason that ALL people choose to go with an FSBO home sale. Many of us simply believe that we don't mind paying if we know what we are paying for. When that realtor walks off with a large commission, we often wonder what he or she did to earn it. While 'for sale by owner' will certainly very often offer savings, ranging from small to large amounts, many of us are just happy to know where our money is going. While there is almost no concrete way to measure how much money is actually saved in an FSBO home sale, there will almost always be some savings, if the process is done correctly and efficiently.
For most homeowners, and buyers as far as that goes, the FSBO home sale can be a rewarding experience if done properly. If you are not an experienced home seller, probably the best way to be successful is to do your homework and get your hands on the best FSBO kit you can find
FSBO - Pro's & Con's
Many people want to sell a home themselves to avoid paying a commission to a real estate professional on the sale of their home. I mean, if you've worked hard to gain equity, it is understandable to not want to lose any of it. However, a professional has a lot of experience, and it isn't like you are giving away money for nothing. Here are some pros and cons to taking on the sale of your home all by yourself.
Not only do you save money, but you get to do the marketing yourself. To some people, this is a fun process. Also, you know the home, so who better to sell it? Also, if your home has a niche market that you recognize, you are free to exploit that, and market to that target audience. Finally, you negotiate all your own terms. If you don't have legal experience, this can be daunting, but to some people who really prefer total creative control, this is a benefit.
However, marketing your home can be expensive. Also, you will need to deal with a lot of inquiries that don't turn into serious sales. Doing it all yourself means you need to deal, politely, with everyone that calls about your home. You will also need to show it to everyone that wants to see it. And while you may know a lot about your home, you don't really know what the buyers are looking for. For this reason, you may neglect to tell them something about the home that would turn out to be a selling point for them. Alternatively, you may stress aspects that you love, but they despise. You will also need to put up with criticism from viewers who don't like the home, or are pointing out all its flaws so they can negotiate a cheaper rate.
There is also evidence that homes for sale by owner sell much slower. Partly, this is because truly motivated buyers usually find a Realtor® to work with. Many people meandering about checking out FSBO homes probably don't have their current home listed yet, and are essentially just browsing.
Everyone needs to decide for themselves what is right for them. If you do decide to sell your home on your own, here's some advice. Keep in mind that you will need to price your home yourself. This can be challenging to do accurately. It is important to do your research to be sure your price isn't too low or too high.
Finally, consider your security risk when opening your home to strangers. Keep records of people's names and always tell a friend or family member when you will be showing your home, just in case something unpleasant happens.
Not only do you save money, but you get to do the marketing yourself. To some people, this is a fun process. Also, you know the home, so who better to sell it? Also, if your home has a niche market that you recognize, you are free to exploit that, and market to that target audience. Finally, you negotiate all your own terms. If you don't have legal experience, this can be daunting, but to some people who really prefer total creative control, this is a benefit.
However, marketing your home can be expensive. Also, you will need to deal with a lot of inquiries that don't turn into serious sales. Doing it all yourself means you need to deal, politely, with everyone that calls about your home. You will also need to show it to everyone that wants to see it. And while you may know a lot about your home, you don't really know what the buyers are looking for. For this reason, you may neglect to tell them something about the home that would turn out to be a selling point for them. Alternatively, you may stress aspects that you love, but they despise. You will also need to put up with criticism from viewers who don't like the home, or are pointing out all its flaws so they can negotiate a cheaper rate.
There is also evidence that homes for sale by owner sell much slower. Partly, this is because truly motivated buyers usually find a Realtor® to work with. Many people meandering about checking out FSBO homes probably don't have their current home listed yet, and are essentially just browsing.
Everyone needs to decide for themselves what is right for them. If you do decide to sell your home on your own, here's some advice. Keep in mind that you will need to price your home yourself. This can be challenging to do accurately. It is important to do your research to be sure your price isn't too low or too high.
Finally, consider your security risk when opening your home to strangers. Keep records of people's names and always tell a friend or family member when you will be showing your home, just in case something unpleasant happens.
FSBO - Open House Advice
If you are a For Sale By Owner or if you have your home listed with a real estate agent you will probably want to conduct several open houses so people can view your home. You only get one shot at every potential buyer that views your home so you want to do it right the first time.
The best time to have an open house is Saturday and/or Sunday from 1:00pm to 4:00pm. Make sure you have advertised the open house in all the local papers and that you have plenty of open house signs and flags set up through out the neighborhood. You may need permission for the placement of some of your signs so do your homework before the day of the event. It's a sad thing to go to the bother of an open house and have no one show up. Sign placement is very important.
Of course by this time you have already put new paint where it was needed, you've cleaned thoroughly and removed all the clutter form your home, garage, and yard. On the day of your open house these additional small details can really make a difference: Turn on lights in all rooms and open blinds to let in as much light as possible. Have soft background music playing. Light the fireplace if you have one. Park the cars away from your house and out of the garage. Water the lawn front and back just prior to the open house starting. Keep pets secure and out of sight. Bake a batch of cookies during an open house or put a drop of vanilla on the oven rack and turn on the oven to 350 degree.
Have a guest register set out upon entry and have every potential buyer and/or warm body that comes through the door fill it out. You need this information. It is a good idea to call each one later to get feed back, inquire about their intentions, or incase you later change the terms of your sale.
When your guests sign the register you should at that time give them the flyers for your home. This is critical. You must have two flyers. One quality flyer about your home and it should have pictures. The other flyer should contain financing options. You can actually have both on one sheet by using the front and back. You must have both and here is why.
Home flyer. When people shop for a home by viewing open houses on a Saturday or by traveling with a real estate agent, after the third home, they get details confused between the homes they have viewed. It is a fact. That is why you need a quality home flyer and it should have pictures of both the inside and outside.
Financing options flyer. People in the market to buy a home are interested in two things: how much their payments will be and how much cash they need for the down payment and closing costs. If you are a For Sale By Owner you can get free help from a mortgage broker. Many have free FSBO programs and will actually create both flyers for you.
There is just one more thing you should be aware of. It doesn't happen often but it does happen. Be aware of thieves. Put your valuables away and keep them out of sight. Even better, keep them at a friend or family members home.
Holding an open house can be productive so just roll up your sleeves and do it, but do it right. Enjoy.
The best time to have an open house is Saturday and/or Sunday from 1:00pm to 4:00pm. Make sure you have advertised the open house in all the local papers and that you have plenty of open house signs and flags set up through out the neighborhood. You may need permission for the placement of some of your signs so do your homework before the day of the event. It's a sad thing to go to the bother of an open house and have no one show up. Sign placement is very important.
Of course by this time you have already put new paint where it was needed, you've cleaned thoroughly and removed all the clutter form your home, garage, and yard. On the day of your open house these additional small details can really make a difference: Turn on lights in all rooms and open blinds to let in as much light as possible. Have soft background music playing. Light the fireplace if you have one. Park the cars away from your house and out of the garage. Water the lawn front and back just prior to the open house starting. Keep pets secure and out of sight. Bake a batch of cookies during an open house or put a drop of vanilla on the oven rack and turn on the oven to 350 degree.
Have a guest register set out upon entry and have every potential buyer and/or warm body that comes through the door fill it out. You need this information. It is a good idea to call each one later to get feed back, inquire about their intentions, or incase you later change the terms of your sale.
When your guests sign the register you should at that time give them the flyers for your home. This is critical. You must have two flyers. One quality flyer about your home and it should have pictures. The other flyer should contain financing options. You can actually have both on one sheet by using the front and back. You must have both and here is why.
Home flyer. When people shop for a home by viewing open houses on a Saturday or by traveling with a real estate agent, after the third home, they get details confused between the homes they have viewed. It is a fact. That is why you need a quality home flyer and it should have pictures of both the inside and outside.
Financing options flyer. People in the market to buy a home are interested in two things: how much their payments will be and how much cash they need for the down payment and closing costs. If you are a For Sale By Owner you can get free help from a mortgage broker. Many have free FSBO programs and will actually create both flyers for you.
There is just one more thing you should be aware of. It doesn't happen often but it does happen. Be aware of thieves. Put your valuables away and keep them out of sight. Even better, keep them at a friend or family members home.
Holding an open house can be productive so just roll up your sleeves and do it, but do it right. Enjoy.
For Sale by owner - yes you can!
Need to sell your home? In today's market "for sale by owner" may be the best way to sell. Trust me, it doesn't take a rocket scientist to be successful at selling your own home. The information in this article may provide you with in-site you may not have had before. You can do it yourself!
Prepare your home for buyers. New paint helps and is not expensive. Make sure it is clean, clean, clean. Most important and most over looked by sellers, you need to get rid of the clutter, inside and out. Less is more! Rent a storage facility or have a garage sale but get rid of the clutter. Less furniture makes a room look larger. Over stuffed closest are a real turn off to buyers who ALL want plenty of storage space. Get rid of all the nick knacks.
We all know how important curb appeal is. Get those yards cleaned up, front and back! Remember, an appraisal has pictures of the back yard as well as the front. I know this sounds silly but a junky back yard tells an underwriter a lot about your home's interior and maintenance routine. A buyer may over look it but the appraiser and lender do not.
Next, get a home inspection performed. An inspector will check the structure and systems in your home. He may find things you are not aware of. It is better to find and repair these issues before the buyer's inspector does.
Make sure you price it right. Spend the money to get a professional appraisal performed by a HUD approved appraiser. Do not rely on a real estate agent's market analysis. These are seldom accurate and many times an agent will just blow smoke by telling you what they think you want to hear.
Go sit down with your local mortgage broker. He has a wealth of knowledge you need to take advantage of. Most mortgage brokers have free FSBO programs that will help you immensely. It is important that you know what your costs will be based on the type of loan the buyer acquires. Did you know that a VA loan could cost you much more in closing costs PLUS home repairs that probably are not required by other loans? Will your home qualify for a FHA loan without making very costly repairs? If you are on a tight budget and need every possible dime out of the sale of your home you may want to negotiate in the contract that the buyer gets conventional financing.
A mortgage broker will also teach you the critical areas you need to watch in the sales contract. He may even provide you with blank contracts and other state mandatory disclosures required when you sell your home. Most brokers will even create your home flyer and more important, your financing options flyer. Perspective buyers want to know two things: how much will my payments be, and how much money do I need to pay down plus closing cost.
You should list your home on a "For Sale By Owner" web site. I want to caution you here. A lot of these sites try to charge you a lot of money for things that do not/will not help sell your home. Homebuyers DO NOT spend hours searching "For Sale By Owner" web sites. They work with real estate agents, read the papers, and drive on the streets in the neighborhoods they want to live in.
The advantage you get by listing your home on the Internet is that you put the URL in your newspaper ads, your flyers, and on your yard sign. Then when a buyer drives by your house or sees your ad they can go on the Internet and see pictures, amenities, and the price. If your house fits their needs and their budget, they will call you. If not, it is less of a bother for you. It can be very frustrating to let lookey-loo's in your home week after week. Don't you really only want truly interested buyers at your door? There are many free FSBO websites on the net. Check it out.
With all this said, the rest is just common sense. You Can Sell It Yourself!
Prepare your home for buyers. New paint helps and is not expensive. Make sure it is clean, clean, clean. Most important and most over looked by sellers, you need to get rid of the clutter, inside and out. Less is more! Rent a storage facility or have a garage sale but get rid of the clutter. Less furniture makes a room look larger. Over stuffed closest are a real turn off to buyers who ALL want plenty of storage space. Get rid of all the nick knacks.
We all know how important curb appeal is. Get those yards cleaned up, front and back! Remember, an appraisal has pictures of the back yard as well as the front. I know this sounds silly but a junky back yard tells an underwriter a lot about your home's interior and maintenance routine. A buyer may over look it but the appraiser and lender do not.
Next, get a home inspection performed. An inspector will check the structure and systems in your home. He may find things you are not aware of. It is better to find and repair these issues before the buyer's inspector does.
Make sure you price it right. Spend the money to get a professional appraisal performed by a HUD approved appraiser. Do not rely on a real estate agent's market analysis. These are seldom accurate and many times an agent will just blow smoke by telling you what they think you want to hear.
Go sit down with your local mortgage broker. He has a wealth of knowledge you need to take advantage of. Most mortgage brokers have free FSBO programs that will help you immensely. It is important that you know what your costs will be based on the type of loan the buyer acquires. Did you know that a VA loan could cost you much more in closing costs PLUS home repairs that probably are not required by other loans? Will your home qualify for a FHA loan without making very costly repairs? If you are on a tight budget and need every possible dime out of the sale of your home you may want to negotiate in the contract that the buyer gets conventional financing.
A mortgage broker will also teach you the critical areas you need to watch in the sales contract. He may even provide you with blank contracts and other state mandatory disclosures required when you sell your home. Most brokers will even create your home flyer and more important, your financing options flyer. Perspective buyers want to know two things: how much will my payments be, and how much money do I need to pay down plus closing cost.
You should list your home on a "For Sale By Owner" web site. I want to caution you here. A lot of these sites try to charge you a lot of money for things that do not/will not help sell your home. Homebuyers DO NOT spend hours searching "For Sale By Owner" web sites. They work with real estate agents, read the papers, and drive on the streets in the neighborhoods they want to live in.
The advantage you get by listing your home on the Internet is that you put the URL in your newspaper ads, your flyers, and on your yard sign. Then when a buyer drives by your house or sees your ad they can go on the Internet and see pictures, amenities, and the price. If your house fits their needs and their budget, they will call you. If not, it is less of a bother for you. It can be very frustrating to let lookey-loo's in your home week after week. Don't you really only want truly interested buyers at your door? There are many free FSBO websites on the net. Check it out.
With all this said, the rest is just common sense. You Can Sell It Yourself!
Wednesday, January 23, 2008
Fsbo Tips For The Average Joe
Many people consider selling privately when they realize the ski high commission structure realtors are currently using. Much of their hard earned equity will be handed over and let me be perfectly clear here to a useless Real Estate Agent with only one goal in mind, your fooling yourself if you think your agent is keeping your best interest in mind. The only thing on an agents mind is where they are going to find the next sucker! willing to pay them outragous amounts of money for very little effort. Take a look at the vehicle your realtor is driving and the home they live in. That luxury car payment and expensive mortage I guarantee does not have your best interest in mind. I guess if I could put my mourals and ethics aside and start ripping off hard working families to the tune of twenty to thirty thousand dollars or more to put their house on a website and fill out some paperwork I would drive a benz too.
That brings me to the point and I hope your angry enough at this stage to take it to hart. Don't be fooled by all the garbage the real estate industry puts out there it's just scare tactics to discourage you from looking for an alternative. Bold statement? I think not, what does a angent really do for you to earn that kind of money. They advertize your home - big deal who can't do that these days with whats available to everyone on the internet. They show your home to buyers - Who cares! who could'nt show their home to someone who was interested in buying it, do you need somone to show your car for you if you decide to sell it??? They complete the paper work, ok I can understand that this is the part that scares the average joe so what can you do? A few things all the documents can be downloaded free from various sites with complete instructions. Remember all the paper work has to be approved by a real estate lawyer so it does not matter if an agent is involved or not the lawyer is who makes it safe and legal not the realtor. If your the type of person who is just more comfortable having someone hold your hand and walk you through the entire process you still have options and can save big! use a seller assistance company they can advertise your home provide you with all the paper work and will give you advice along the way, unlike realtors these companies cost a fraction of what you would pay with an agent and usally have complete pkgs between $299.00 to $999.00 in fact I recently visited a local franchise show and was happy to see a company by the name of Home SellerPak a seller assistance company showcasing their franchice at the show. They stated they offer a full service personal consultant package for one flat fee of $599.00. These are the types of companies I'm talking about.
The basic tips are easy:
- Make sure your house is clean! - I don't care if you like living like a fithly pig but if someone is dropping by to potentially buy your home CLEAN UP!
-Make repairs befor you advertise - People don't want to here that this can be fixed or I'll get that done befor you move in when walking through your home. You want them to feel like you have taken care of your home and maintence is up to date.
Curb Appeal - How your home looks from the outside is just as important as the inside so give it an equal amount of attention when preparing your home for sale.
Advertise - This is the most important so take some time to way your options, a rule of thumb is 1% of the sale price should be put into a solid advertising campaign. Don't just pick up the phone and call the local paper it can be expensive and maybe not as effective as you might think. Exlpore the advertising benifits of using a seller assistance company they have done this befor and know what works. They can also provide a professional lawn sign that looks better than a cheap for sale sign bought at the local hardware store. That company I mentioned I saw at the franchice show had the biggest sign I had ever seen nobody driving by would miss it and it's that type of over exposure you want to take advantage of. The more people who see your home the higher the chances of one of them buying it.
Do your Home Work - Make sure your home is priced right for your neighborhood, check and see what other homes are selling for and what the overall market is doing, get too greedy and you just wont sell.
Be prepared and get your paper work in order it might take months to sell or you might sell it to the first person through the door so it pays to be prepared. Have confidence in yourself, sell your home privatley and say good bye to the B$#@!% of high commission and traditional real estate. Lets see if these low lifes can survive in the real world without 20k paychecks. Information is power pass on your private real estate knowlage and help free your family and friends from what I personaly consider a crime. LONG LIVE FSBO!!!! Cheers
That brings me to the point and I hope your angry enough at this stage to take it to hart. Don't be fooled by all the garbage the real estate industry puts out there it's just scare tactics to discourage you from looking for an alternative. Bold statement? I think not, what does a angent really do for you to earn that kind of money. They advertize your home - big deal who can't do that these days with whats available to everyone on the internet. They show your home to buyers - Who cares! who could'nt show their home to someone who was interested in buying it, do you need somone to show your car for you if you decide to sell it??? They complete the paper work, ok I can understand that this is the part that scares the average joe so what can you do? A few things all the documents can be downloaded free from various sites with complete instructions. Remember all the paper work has to be approved by a real estate lawyer so it does not matter if an agent is involved or not the lawyer is who makes it safe and legal not the realtor. If your the type of person who is just more comfortable having someone hold your hand and walk you through the entire process you still have options and can save big! use a seller assistance company they can advertise your home provide you with all the paper work and will give you advice along the way, unlike realtors these companies cost a fraction of what you would pay with an agent and usally have complete pkgs between $299.00 to $999.00 in fact I recently visited a local franchise show and was happy to see a company by the name of Home SellerPak a seller assistance company showcasing their franchice at the show. They stated they offer a full service personal consultant package for one flat fee of $599.00. These are the types of companies I'm talking about.
The basic tips are easy:
- Make sure your house is clean! - I don't care if you like living like a fithly pig but if someone is dropping by to potentially buy your home CLEAN UP!
-Make repairs befor you advertise - People don't want to here that this can be fixed or I'll get that done befor you move in when walking through your home. You want them to feel like you have taken care of your home and maintence is up to date.
Curb Appeal - How your home looks from the outside is just as important as the inside so give it an equal amount of attention when preparing your home for sale.
Advertise - This is the most important so take some time to way your options, a rule of thumb is 1% of the sale price should be put into a solid advertising campaign. Don't just pick up the phone and call the local paper it can be expensive and maybe not as effective as you might think. Exlpore the advertising benifits of using a seller assistance company they have done this befor and know what works. They can also provide a professional lawn sign that looks better than a cheap for sale sign bought at the local hardware store. That company I mentioned I saw at the franchice show had the biggest sign I had ever seen nobody driving by would miss it and it's that type of over exposure you want to take advantage of. The more people who see your home the higher the chances of one of them buying it.
Do your Home Work - Make sure your home is priced right for your neighborhood, check and see what other homes are selling for and what the overall market is doing, get too greedy and you just wont sell.
Be prepared and get your paper work in order it might take months to sell or you might sell it to the first person through the door so it pays to be prepared. Have confidence in yourself, sell your home privatley and say good bye to the B$#@!% of high commission and traditional real estate. Lets see if these low lifes can survive in the real world without 20k paychecks. Information is power pass on your private real estate knowlage and help free your family and friends from what I personaly consider a crime. LONG LIVE FSBO!!!! Cheers
FSBO funny
Just thought I'd share this one...
FSBO
When a real-estate agency hadn’t sold our house, we decided to do it ourselves. I placed ads in the local papers, spray painted a “For Sale” message on a sign board and posted it outside.
When my husband came home that evening, he told me, laughing, that my sign was the most truthful one he had ever seen. Confused, I rushed outside to take a look. In my haste I had printed - “For Sale by Ower.”
:-)
FSBO
When a real-estate agency hadn’t sold our house, we decided to do it ourselves. I placed ads in the local papers, spray painted a “For Sale” message on a sign board and posted it outside.
When my husband came home that evening, he told me, laughing, that my sign was the most truthful one he had ever seen. Confused, I rushed outside to take a look. In my haste I had printed - “For Sale by Ower.”
:-)
Tuesday, January 22, 2008
Magic words in your FSBO listing
Do you believe in magic words?
Is there magic in these words? Does the concrete, visual nature of "landscaping," for example, fire a buyer's imagination?
Stella Frize, a real-estate agent in Cerritos, Calif., believes so. But for her, the magic word is "turnkey."
"Any time I see the word 'turnkey,' I expect that house is in immaculate condition," she says.
Frize's business partner has his own favorite turn of phrase: "He always writes, 'This could be the best buy in town.' He believes in this wholeheartedly. We put it on every listing. It's like good karma for us. We have sold 100% of our listings."
What surprises Anglin is that some hot words not only speed a sale but also seem to raise the closing price. "If a house is described as 'beautiful,' everybody expects it to sell for a higher price," he says. "The thing that surprised me is that it sells for a higher price -- and faster. ... I don't have a good explanation for it."
Maybe, he says, buyers' idea of beauty includes features such as structural integrity, a good neighborhood and excellent upkeep, qualities agents call "curb appeal," which allay the fears buyers usually bring to big transactions.
The right words pay off in speed and money*
Term | Effect on time until sale | Effect on list price | Effect on selling price |
Beautiful | -15% | +5% | +5% |
Move-in condition | -12% | Insignificant | Insignificant |
Good value | -5% | -6% | -5% |
Must see | Insignificant | +4% | Insignificant |
Starter home | -9% | -10% | -10% |
Vacant | Insignificant | -5% | -8% |
Rental property | +60% | -7% | -9% |
Handyman special | -50% | -30% | -30% |
Moving | Insignificant | -1% | -1% |
Motivated | +30% | -6% | -8% |
Landscaping | -20% | +5% | +6% |
Source: "House Prices and Time-till-sale in Windsor," Professor Paul Anglin, University of Guelph, Ontario *The study examined roughly 20,000 listings in Windsor and Essex counties, Ontario, from between 1997 and early 2000. The effects shown are averages; wide variations appeared within categories.
| |||
Language + price = sale
None of this is to suggest that opting for "must see" over "must sell" is all it takes to sell your house quickly and garner a higher list price. The hot words have to be used accurately, and they must be combined with the right price.
"The single most important message that a seller can send to a buyer is their choice of list price," Anglin's study says.
Thus, the study does not illustrate a triumph of style over substance, Anglin says, but how certain words, used accurately, can boost a listing's power. Although "beautiful" seems to make a house sell faster, using the term dishonestly can offend buyers and create distrust that will backfire on a seller.
"The basic idea is that you are trying to find the one buyer who is going to buy the house. As a seller, you hope they'll pay a high price and quickly find your house. But usually it does not work that way," Anglin says. "It takes some time to find a buyer, and usually the buyer does not want to pay a high price. The purpose of the listing information is to attract not just any buyer but the buyers who would like the house that you are trying to sell."
That's why, although "handyman special" may sound negative -- "most people do not want to go anywhere near that place," Anglin notes -- it's an efficient, positively framed means of isolating such properties for the specific buyers interested in tackling fixer-uppers.
Size matters
Home size, too, is another important factor. The smaller the property, the quicker the sale. One-bathroom homes sold 13% faster. Homes with three bathrooms took 50% longer to sell. Homes with two stories or more took more than 20% longer.
The size-speed relationship makes sense to real-estate agent Joe Dobson of Coldwell Banker Schneidmiller Realty in Coeur d'Alene, Idaho. Smaller homes usually cost less, and there's more competition in lower price ranges, he says.
For the most part, Dobson says, his experience bears out Anglin's research, with a couple exceptions. "'Motivated,' that's been beat to death. In a slowing market, every seller is 'motivated,'" Dobson says.
But sometimes, he says, desperate language can work when accompanied by an emotion-laden explanation such as "must sell due to health reasons" or -- a phrase Dobson likes but has found occasion to use only three times in his 36-year career -- "divorce dictates dumping."
Some great advice when wording your FSBO ad...
What's 'beautiful' worth? About $12,500
The right phrasing in real-estate listings can speed a sale and even boost the final price, a Canadian study says. And here's a tip: If you must sell, don't put "must sell" in your ad.
By Marilyn Lewis, MSN Real Estate
In real-estate listings, what's the difference between describing your home as "beautiful" versus "move-in condition"? About $12,500 on a $250,000 home.
Professor Paul Anglin, a real-estate economist in Guelph, Ontario, says that homes described as "beautiful" in real-estate listings sell for 5% more while "move-in condition" has no effect on sale price.
Anglin and his colleagues from the University of Windsor and researchers from Canada Mortgage and Housing examined about 20,000 real-estate listings and sales data in Windsor and Essex counties, Ontario, from between 1997 and early 2000. Among other things, they studied how listings' phrasing affected sale prices and the length of time it took for the listings to close.
When speed is of the essence
Listings with the words "beautiful" or "gorgeous" sold 15% faster. "Landscaping" in a listing hastened a sale by 20%. Describing a property as in "move-in condition" quickened the sale by 12%. Calling a home a "handyman special" cut sale time by half (researchers excluded listings that used the term to describe a workshop or hobby area).
Other familiar jargon, such as "must see" or "vacant," or including the information that a seller was moving, had virtually no effect on the time before a sale.
The kiss of death appears to be language that reeks of desperation -- words such as "motivated" and "must sell." These slowed sales by 30%. The term "ranch" house slowed sales by 10%. Properties described as rentals (income-producing) took 60% longer to sell.
Though Anglin assumes the basic effects he identified are universal, the size of their impact will vary by locale, he says.
Sunday, January 20, 2008
Considering FSBO?
Selling your home privately is the way to go these days. With markets that are flooded with homes, and real estate commissions through the roof, taking matters into your own hands is becoming more mainstream. There are a few things to consider though, when considering selling FSBO.
Setting your price.
You've probably already been doing your homework on this one. You need to know what the market will bear. What have comparable homes in your area been selling for (these are referred to as "comps"). What upgrades have you put into the home? Does your home have any features that make it more appealing than others - ie. bigger lot, better location, etc. You could also hire in an independent home appraiser to come up with a professional, unbiased listing price for you. The most important advice to be had here is "don't be greedy". Do your homework and set yourself a fair price that will allow you to sell your home easily. Homes priced to high often sit on the market longer, and then look "stale".
Staging.
Have someone else walk through your home as if they were the buyer. What are the things that you've been living with that you no longer notice? Clutter is the biggest culprit and makes your home look smaller and more unkept than if you had a clean sweep of your home first. Consider smells as well. A little cinnamon on a baking sheet in a warm oven creates a homey atmosphere. It won't mask a dirty house though.
Your sign
Go big or go home. If you're going to do it, do it right. Have it done professionally. This will give buyers the confidence that you know what you're doing. First impressions are paramount, so don't put up the cardboard sign with the markered phone number. A seller assistance company might also be the way to go here. They can provide you with all your signs PLUS advice, support, paperwork, advertising and more - often for less than what you'd pay to have the signs alone made.
Advertising
This is often the biggest hurdle for private home sellers. You put your ad in a local paper and when nothing happens, then what do you do? Do you keep continually advertising with no end in sight? Check around - where would you start your search for a home? Over 76% of folks start with the internet. If that's where they're looking, then that's where you should be advertising. Again, a seller assistance company might be the answer, as most will provide you with a flat fee cost, meaning you pay once and advertise until it's sold. That at least gives you a budgetable cost to sell. You know what you're getting into before you get started. Also seller assistance companies are able to pool resources, create interest in a number of homes and generate more eyeballs on your home than if you put your home up individually to advertise.
Get started. If selling with a seller assistance company is what you're looking for, then do your homework. There are a lot out there, but check their listings, see who's sold with them previously and look for testimonials. There will be some work involved, but the payoff of selling FSBO could easily be in the tens of thousands for you. It's worth a little elbow grease.
Saturday, January 19, 2008
So You Got an Offer On Your Home. . . Now What?
You worked hard on your house so it could show well for your first open house. The rooms are freshly painted, everything is neat and tidy, the yard is free of clutter, the grass is green, everything is perfect. People are coming in and out, and raving about your home. Finally, someone gives you an offer for your home. This is what you've been waiting for, but what do you do with an offer? Here are some tips to keep in mind when the time comes to deal with an offer.
Buyers who are willing to put in an offer for your house should have some type of lender letter with them. If they do not, but are still interested in putting in an offer for your house, there is another route you can go through in order to not allow them out of the house before making an offer. Set up with some willing lenders if they can send someone to your house to be there for the open house to assist potential homebuyers with their lender letters, and to help them figure out if they can afford it or not. You can greet your potential buyers at the door and introduce them to the lender willing to help out, and they can direct all financial questions to them. This way, that burden is taken off of you and put somewhere else so you can concentrate on the task at hand, which is showing off your lovely home.
You also want to discuss with a homebuyer who gives you an offer how you want to handle the contract after the fact. If you have an attorney, or if they want to use their own attorney, you need to settle on this in order to draw up the contract to both parties' liking. Figure out how you want to handle it before the offer is even made, especially if the buyer is confused with the whole situation.
This is just one piece of the extra large pie that is selling your home leading up to the open house. But by doing this piece of very important homework, you will be prepared to take the step from open house to being under contract for the home, and then completing the transaction.
Buyers who are willing to put in an offer for your house should have some type of lender letter with them. If they do not, but are still interested in putting in an offer for your house, there is another route you can go through in order to not allow them out of the house before making an offer. Set up with some willing lenders if they can send someone to your house to be there for the open house to assist potential homebuyers with their lender letters, and to help them figure out if they can afford it or not. You can greet your potential buyers at the door and introduce them to the lender willing to help out, and they can direct all financial questions to them. This way, that burden is taken off of you and put somewhere else so you can concentrate on the task at hand, which is showing off your lovely home.
You also want to discuss with a homebuyer who gives you an offer how you want to handle the contract after the fact. If you have an attorney, or if they want to use their own attorney, you need to settle on this in order to draw up the contract to both parties' liking. Figure out how you want to handle it before the offer is even made, especially if the buyer is confused with the whole situation.
This is just one piece of the extra large pie that is selling your home leading up to the open house. But by doing this piece of very important homework, you will be prepared to take the step from open house to being under contract for the home, and then completing the transaction.
How Having Pets Can Affect Your Home Sale
There is nothing wrong with owning and caring for a pet, or pets, in your home. However, having pets around during the sale of your home can easily negate your chances of a quick sale, or a profitable sale, if you don't take precautions and see things through the eyes of the homebuyer. Here are some things to keep in mind if you have pets and you are selling your own home.
Potential homebuyers are looking to be able to see themselves in your home. You may have loving, wonderful pets, but if the buyer doesn't, it may be even harder for them to see themselves in your house. If you have big dogs at the house while showing it off, it may deter the buyer from focusing since they are so nervous about the dog. Or you could just have someone who genuinely doesn't like pets. Some people also have issues with cat, dog, or bird allergies, and having the pets there can make it much worse for them to be able to feel comfortable in your home. Besides, who is comfortable with puffy, watery eyes while sneezing constantly?
Now picture it similarly as if you were a non-smoker walking into a smoker's house that is for sale by owner. It's uncomfortable to begin with considering you pretty much always smell the cigarette smoke, but imagine if they were actually smoking while taking you around. This is pretty much the same thing, as you're trying to navigate through the clouds to try to see yourself in that house. Frankly, you're just going to give up and move to the next one. This is the same case with having pets in the house.
Prepping your house after pets is an integral part of being able to show your house to the best of your abilities. Firstly, you need to find another place for your pets during that time. Either board them or find a relative or friend that they can stay with. Clean your carpets and floors, and replace anything that has been damaged from your pets. Replacing carpet might also be necessary since the pet odors may have seeped into it. If there is any damaged furniture, you need to take it out of sight, since damaged furniture doesn't add any appeal, and makes it harder for the buyer to picture themselves in the home. Fix up the lawn if it has been torn up by your pets. This may all be hard for you to do, but just because you love your pets dearly doesn't mean that everyone else will, especially people looking to buy your home.
Potential homebuyers are looking to be able to see themselves in your home. You may have loving, wonderful pets, but if the buyer doesn't, it may be even harder for them to see themselves in your house. If you have big dogs at the house while showing it off, it may deter the buyer from focusing since they are so nervous about the dog. Or you could just have someone who genuinely doesn't like pets. Some people also have issues with cat, dog, or bird allergies, and having the pets there can make it much worse for them to be able to feel comfortable in your home. Besides, who is comfortable with puffy, watery eyes while sneezing constantly?
Now picture it similarly as if you were a non-smoker walking into a smoker's house that is for sale by owner. It's uncomfortable to begin with considering you pretty much always smell the cigarette smoke, but imagine if they were actually smoking while taking you around. This is pretty much the same thing, as you're trying to navigate through the clouds to try to see yourself in that house. Frankly, you're just going to give up and move to the next one. This is the same case with having pets in the house.
Prepping your house after pets is an integral part of being able to show your house to the best of your abilities. Firstly, you need to find another place for your pets during that time. Either board them or find a relative or friend that they can stay with. Clean your carpets and floors, and replace anything that has been damaged from your pets. Replacing carpet might also be necessary since the pet odors may have seeped into it. If there is any damaged furniture, you need to take it out of sight, since damaged furniture doesn't add any appeal, and makes it harder for the buyer to picture themselves in the home. Fix up the lawn if it has been torn up by your pets. This may all be hard for you to do, but just because you love your pets dearly doesn't mean that everyone else will, especially people looking to buy your home.
Friday, January 18, 2008
FSBO - Property for Sale by Owner
FSBO - For sale by Owners Property for sale by Owners - There are some circumstances that could spur people to come up with the decision to sell their homes. People find themselves in situations such as financial difficulties, extreme debt, divorce/separation or any other major turn in life that could make them think of selling their properties. In some cases, homeowners opt to take this action due to a repossession order. This situation can make them realize that it is necessary to free up the capital in their homes in order to pay their creditors back and get themselves out of difficulty before the courts act against them.
As is common practice nowadays homeowners usually employ the services of a real estate agent to sell their propery. But more and more people are looking at selling their homes directly themselves through FSBO sites. Selling properties through For Sale By Owners websites(FSBO) is now becoming a growing trend and is increasing in popularity. In recent years, the percentage of home sales via FSBO in the United States alone is around 12-15% while in Canada, it is higher at 20-25%. Home selling via FSBO is also beginning to gather momentum in the United Kingdom as it reaches the 10% mark of overall property sales..
Today, almost 75% of property buyers globally begin their search on FSBO websites. This increases the potential of selling properties faster without having to deal with realtors or estate agents abroad. Below are some of the benefits of selling your home on your own.
Benefts of selling your home through FSBO Huge Savings on Commission FSBO is a good way to save a huge amount of money as you can avoid the expensive real estate sales commissions. This saving can help you in price negotiation with potential buyers. The disadvantage of FSBO in this regard, as shown by surveys, is that some buyers feel that homes being sold by owners might be overpriced because they do not know the market. However this is a changing attitude as more people become aware of the advantages of selling privately.
Selling can be faster A buyer might not pay the asking price when they know you are using an agent agent because they realise that in some cases there could be a 5% commission involved which they could negotiate off the price of the property if dealing directly with the owner. Hence, they will naturally offer less. The choice is yours between accepting less, losing more equity or waiting for a buyer to pay the inflated price. However, none of these choices are desirable. Always remember that an overpriced home will stay on the market for a longer period of time and what's worse is that buyers will think there is something wrong with the house and that is why it is still on sale.
Greater market immunity Selling by owner makes financial and practical sense in both buyers' and sellers' markets. Lots of similar homes are being sold and the competition is tight. FSBO gives a competitive advantage to that homeowner because they can afford to be more price-competitive than their neighbor who is listed with a real estate agent. The buyer will normally prefer the comparable property which is being offered for a lower cost. On the other hand, buyers' demand for homes outstrips the supply. Therefore, it is not smart to pay a commission and sacrifice any portion of your equity. FSBO will enable you to retain the maximum amount of your hard-earned equity.
Convenience You are in control when you sell on your own property. You can set the schedule of your own appointments with potential buyers. You don't have to rush into making your home spotless and clean just in case an agent decides to bring a client that day to show the property. With FSBO, you are completely aware when people are coming for a visit. Therefore, you can make the necessary preparations.
Less stress and frustration This will make you less stressed because you are in control and could act accordingly based on your schedule. You will also know how much effort you should give in selling your own home. Therefore, you will not be frustrated that the agent you contacted is not doing enough work.
Conveyancing Many agents argue that they offer the liaison between the buyer and seller and know the conveyancing route especially as in the UK the new HIPS (Home Information Packs) packages have been introduced. However, do not be fooled there are many independent HIPS agents that can offer you the same services for a set fee.
Best results Since you are the one personally handling potential buyers, you would easily know who are really interested. Being the owner of the home, you are the one who is very much aware of its features. Therefore, you know how to explain it best.
Disadvantages of selling your home through FSBO On the contrary, a homeowner should know that there is no perfect method in selling a home. There are also risks in FSBO.
One disadvantage is that a homeowner might sell with a price that's too low. This, because the asking price is usually below market value. The aim of FSBOs is to attract buyers who are after bargains and an FSBO buyer usually thinks that he can negotiate for a much lower price because he is aware that there are no agents fees involved in the sales.
One other disadvantage of selling without an agent is that many direct sale transactions never close. Some of these deals are aborted because the buyers aren't properly qualified for financing before they enter into a purchase contract as opposed to this, a good real estate agent will make sure that you won't accept an offer from a buyer who isn't qualified. If you know how to call for assistance especially when it is appropriate to do so, prequalification and pre-approval can be accomplished quickly. One reason why many FSBO deals have not become successful is that no experienced person is working to move the transaction along and resolve problems when they arise of which, negotiations are often involved.
Summary Given these facts, property for sale by owners (FSBO) is considered to be an easier option to sell a home as there is no real secret because the truth is that homes sell themselves. Present your home attractively, give your client a fair price, be consistent with your market, advertise it and then expect offers. It only takes enough knowledge, patience and a little bit of business acumen.
As is common practice nowadays homeowners usually employ the services of a real estate agent to sell their propery. But more and more people are looking at selling their homes directly themselves through FSBO sites. Selling properties through For Sale By Owners websites(FSBO) is now becoming a growing trend and is increasing in popularity. In recent years, the percentage of home sales via FSBO in the United States alone is around 12-15% while in Canada, it is higher at 20-25%. Home selling via FSBO is also beginning to gather momentum in the United Kingdom as it reaches the 10% mark of overall property sales..
Today, almost 75% of property buyers globally begin their search on FSBO websites. This increases the potential of selling properties faster without having to deal with realtors or estate agents abroad. Below are some of the benefits of selling your home on your own.
Benefts of selling your home through FSBO Huge Savings on Commission FSBO is a good way to save a huge amount of money as you can avoid the expensive real estate sales commissions. This saving can help you in price negotiation with potential buyers. The disadvantage of FSBO in this regard, as shown by surveys, is that some buyers feel that homes being sold by owners might be overpriced because they do not know the market. However this is a changing attitude as more people become aware of the advantages of selling privately.
Selling can be faster A buyer might not pay the asking price when they know you are using an agent agent because they realise that in some cases there could be a 5% commission involved which they could negotiate off the price of the property if dealing directly with the owner. Hence, they will naturally offer less. The choice is yours between accepting less, losing more equity or waiting for a buyer to pay the inflated price. However, none of these choices are desirable. Always remember that an overpriced home will stay on the market for a longer period of time and what's worse is that buyers will think there is something wrong with the house and that is why it is still on sale.
Greater market immunity Selling by owner makes financial and practical sense in both buyers' and sellers' markets. Lots of similar homes are being sold and the competition is tight. FSBO gives a competitive advantage to that homeowner because they can afford to be more price-competitive than their neighbor who is listed with a real estate agent. The buyer will normally prefer the comparable property which is being offered for a lower cost. On the other hand, buyers' demand for homes outstrips the supply. Therefore, it is not smart to pay a commission and sacrifice any portion of your equity. FSBO will enable you to retain the maximum amount of your hard-earned equity.
Convenience You are in control when you sell on your own property. You can set the schedule of your own appointments with potential buyers. You don't have to rush into making your home spotless and clean just in case an agent decides to bring a client that day to show the property. With FSBO, you are completely aware when people are coming for a visit. Therefore, you can make the necessary preparations.
Less stress and frustration This will make you less stressed because you are in control and could act accordingly based on your schedule. You will also know how much effort you should give in selling your own home. Therefore, you will not be frustrated that the agent you contacted is not doing enough work.
Conveyancing Many agents argue that they offer the liaison between the buyer and seller and know the conveyancing route especially as in the UK the new HIPS (Home Information Packs) packages have been introduced. However, do not be fooled there are many independent HIPS agents that can offer you the same services for a set fee.
Best results Since you are the one personally handling potential buyers, you would easily know who are really interested. Being the owner of the home, you are the one who is very much aware of its features. Therefore, you know how to explain it best.
Disadvantages of selling your home through FSBO On the contrary, a homeowner should know that there is no perfect method in selling a home. There are also risks in FSBO.
One disadvantage is that a homeowner might sell with a price that's too low. This, because the asking price is usually below market value. The aim of FSBOs is to attract buyers who are after bargains and an FSBO buyer usually thinks that he can negotiate for a much lower price because he is aware that there are no agents fees involved in the sales.
One other disadvantage of selling without an agent is that many direct sale transactions never close. Some of these deals are aborted because the buyers aren't properly qualified for financing before they enter into a purchase contract as opposed to this, a good real estate agent will make sure that you won't accept an offer from a buyer who isn't qualified. If you know how to call for assistance especially when it is appropriate to do so, prequalification and pre-approval can be accomplished quickly. One reason why many FSBO deals have not become successful is that no experienced person is working to move the transaction along and resolve problems when they arise of which, negotiations are often involved.
Summary Given these facts, property for sale by owners (FSBO) is considered to be an easier option to sell a home as there is no real secret because the truth is that homes sell themselves. Present your home attractively, give your client a fair price, be consistent with your market, advertise it and then expect offers. It only takes enough knowledge, patience and a little bit of business acumen.
Selling Your Home FSBO? Three Tips for a Quick Sale!
Tip Number One:
Timing is Everything
Did you know that more homes are sold in the spring than any other time of year? If at all possible, arrange to put your house on the market in early spring for the best chance of a quick FSBO sale. Of course, this will mean that you will need to have your home appraised, or at least estimate an appropriate price for your home in late winter before it hits the market. In fact, much of the legwork of selling your home will need to be done before you put it on the market. Remember, "prepare in late winter -- sell in early spring." Tip Number Two:
Marketing, and Why the Internet is Your Friend
You'll need to establish a marketing plan right away if you're planning on a quick FSBO sale. Without a doubt, the easiest way to get your home out on the market place quickly is online. Face it, simply throwing up a few signs in your front yard with a contact phone number won't cut it these days. There is simply too much real estate competition out there, and the only way to really get the exposure you need is online.
Online FSBO classified ad sites are a great choice. They tend to be inexpensive, even free and can put you in touch with highly motivated buyers in your area. There are even sites with free classified ads online to sell real estate.
But just because you take advantage of the Web to sell your home FSBO doesn't mean you should ignore the "old-fashioned" methods. Local newspaper classified ads can also be a cost-effective method of exposing your home to potential buyers. Using a combination of online and off-line ads is a great strategy for most FSBO home sales.
Tip Number Three:
Prep Your House for the Sale
From the moment a potential buyer enters your home, every detail will make an impression upon them. Think about the old saying, "you never get a second chance to make a first impression." With this in mind, make sure your home is clean and appealing at every showing. A fresh coat of paint on interior walls is one of the most inexpensive ways to give your house that "new home feel."
Additionally, don't forget to ensure that your home smells nice when your potential buyers enter. Real estate agents have long used the technique of baking bread, apples or cinnamon in the oven when a client arrives, giving the home and fresh "homey" scent that is very appealing. It may be a cliche, but it works.
Also, having soft, pleasing music playing at a low volume in the background can add a certain "ambience" to your home. For a really quick FSBO sale, just keep in mind that you need to appeal to all of your buyer's senses, not just their sense of sight.
Timing is Everything
Did you know that more homes are sold in the spring than any other time of year? If at all possible, arrange to put your house on the market in early spring for the best chance of a quick FSBO sale. Of course, this will mean that you will need to have your home appraised, or at least estimate an appropriate price for your home in late winter before it hits the market. In fact, much of the legwork of selling your home will need to be done before you put it on the market. Remember, "prepare in late winter -- sell in early spring." Tip Number Two:
Marketing, and Why the Internet is Your Friend
You'll need to establish a marketing plan right away if you're planning on a quick FSBO sale. Without a doubt, the easiest way to get your home out on the market place quickly is online. Face it, simply throwing up a few signs in your front yard with a contact phone number won't cut it these days. There is simply too much real estate competition out there, and the only way to really get the exposure you need is online.
Online FSBO classified ad sites are a great choice. They tend to be inexpensive, even free and can put you in touch with highly motivated buyers in your area. There are even sites with free classified ads online to sell real estate.
But just because you take advantage of the Web to sell your home FSBO doesn't mean you should ignore the "old-fashioned" methods. Local newspaper classified ads can also be a cost-effective method of exposing your home to potential buyers. Using a combination of online and off-line ads is a great strategy for most FSBO home sales.
Tip Number Three:
Prep Your House for the Sale
From the moment a potential buyer enters your home, every detail will make an impression upon them. Think about the old saying, "you never get a second chance to make a first impression." With this in mind, make sure your home is clean and appealing at every showing. A fresh coat of paint on interior walls is one of the most inexpensive ways to give your house that "new home feel."
Additionally, don't forget to ensure that your home smells nice when your potential buyers enter. Real estate agents have long used the technique of baking bread, apples or cinnamon in the oven when a client arrives, giving the home and fresh "homey" scent that is very appealing. It may be a cliche, but it works.
Also, having soft, pleasing music playing at a low volume in the background can add a certain "ambience" to your home. For a really quick FSBO sale, just keep in mind that you need to appeal to all of your buyer's senses, not just their sense of sight.
13 Keys to Sell Your Own Home
Here is what a successful FSBO looks like. Leaving out any one of these, or not doing any one or more of them well, could either kill your transaction or end up in expensive and stressful litigation. Where hypertext is included, you can read an expanded explanation. You must have:
An Accurate assessment of the market and a comprehensive plan;
A good appraisal of the property (or accurate CMA);
A well planned advertising schedule;
In the best available advertising mediums within budget;
Possession of Documents needed to comply with the law for the type of property being sold, including legally required addendums;
A thorough understanding of the common legal issues that create problems for Sellers in order to practice preventive law;
A sufficient understanding of structural, mechanical, and electrical systems in order to practice preventive law and avoid claims of misrepresentation;
A sufficient understanding of who and how to work with key professionals, such as surveyors, appraisers, loan officers, mortgage brokers, title officers, escrow officers or LPOs, possibly the Buyer's attorney or Realtor, septic inspectors, building inspectors, sometimes hydrologists;
The equivalent of an expert's knowledge on contract drafting as well as above-average expertise of the English language and grammar, all required to avoid serious legal problems (ambiguities are a very common area of litigation in contracts);
Possession of expert negotiation skills;
Possession of the patience of Job;
Possession of the ability to pay attention to details and to follow through on numerous details (much more significant than it sounds);
Commitment to be the transaction supervisor, meaning responsibility over all parties involved in getting the transaction funded and closed. Someone needs to make sure everyone is getting their job done on schedule. Do not assume they will without adult supervision.
An Accurate assessment of the market and a comprehensive plan;
A good appraisal of the property (or accurate CMA);
A well planned advertising schedule;
In the best available advertising mediums within budget;
Possession of Documents needed to comply with the law for the type of property being sold, including legally required addendums;
A thorough understanding of the common legal issues that create problems for Sellers in order to practice preventive law;
A sufficient understanding of structural, mechanical, and electrical systems in order to practice preventive law and avoid claims of misrepresentation;
A sufficient understanding of who and how to work with key professionals, such as surveyors, appraisers, loan officers, mortgage brokers, title officers, escrow officers or LPOs, possibly the Buyer's attorney or Realtor, septic inspectors, building inspectors, sometimes hydrologists;
The equivalent of an expert's knowledge on contract drafting as well as above-average expertise of the English language and grammar, all required to avoid serious legal problems (ambiguities are a very common area of litigation in contracts);
Possession of expert negotiation skills;
Possession of the patience of Job;
Possession of the ability to pay attention to details and to follow through on numerous details (much more significant than it sounds);
Commitment to be the transaction supervisor, meaning responsibility over all parties involved in getting the transaction funded and closed. Someone needs to make sure everyone is getting their job done on schedule. Do not assume they will without adult supervision.
Writing the Perfect Ad for Your Home
How are your writing skills? Creating the perfect advertisement for your home can either make or break your sale, and so many advertisements are never read simply because they are written all wrong. Before you even begin to formulate the perfect FSBO (For Sale By Owner) advertisement in your head, realize that an advertisement will either attract or repel potential buyers - you want to make sure that your ad doesn't turn anyone away.
To start, think about all those real estate advertisements out there. How many advertisements do you think are listed on the internet, in your local paper, and throughout your town? Hundreds? Thousands? Maybe even millions. Out of all those other advertisements, yours has to stand out from the crowd, or it will never be read by anyone at all. Scary thought, isn't it? Well, don't fret. There are a few sure fire ways to capture your potential buyer's attention from the start.
The first thing that you will need to do is to make sure that your advertisement only lists pertinent features. Forget about try to convey how important your home is to you through an advertisement. Instead, focus on the facts. Begin by stating those things that make your home immediately stand out. Do you have a lot of land? An in ground swimming pool? A tennis court? Lake front property? Whatever features your home has, these are the things that will gain a buyer's attention.
Of course, with the good comes the bad, which is why you must list everything that is wrong with your property as well. If you know that your foundation is sinking, you must disclose this information. In fact, you must list everything that is wrong with your home from the start, or you could face criminal changes and a recision of the sale. It might be difficult to point out your home's faults, but neglecting to do so is far worse than being upfront about a property.
Every state is different when it comes to those things that must be mentioned within an advertisement, and those things that you can neglect to comment on. Some states require that you disclose any physical impurities (cracking foundation), but there are some states that insist all home sellers list every detail about the home - including the mention of any paranormal incidents! In short, make sure you research your state's laws to the fullest extent to avoid any sort of unnecessary prosecution.
Once you have all of these features carefully described on a piece of paper, you are ready to go to print. Oh, just one more thing - don't forget to spell check! There is nothing worse than an advertisement that is not spelled correctly, so make sure that you take the time to go over your work before you send it out.
To start, think about all those real estate advertisements out there. How many advertisements do you think are listed on the internet, in your local paper, and throughout your town? Hundreds? Thousands? Maybe even millions. Out of all those other advertisements, yours has to stand out from the crowd, or it will never be read by anyone at all. Scary thought, isn't it? Well, don't fret. There are a few sure fire ways to capture your potential buyer's attention from the start.
The first thing that you will need to do is to make sure that your advertisement only lists pertinent features. Forget about try to convey how important your home is to you through an advertisement. Instead, focus on the facts. Begin by stating those things that make your home immediately stand out. Do you have a lot of land? An in ground swimming pool? A tennis court? Lake front property? Whatever features your home has, these are the things that will gain a buyer's attention.
Of course, with the good comes the bad, which is why you must list everything that is wrong with your property as well. If you know that your foundation is sinking, you must disclose this information. In fact, you must list everything that is wrong with your home from the start, or you could face criminal changes and a recision of the sale. It might be difficult to point out your home's faults, but neglecting to do so is far worse than being upfront about a property.
Every state is different when it comes to those things that must be mentioned within an advertisement, and those things that you can neglect to comment on. Some states require that you disclose any physical impurities (cracking foundation), but there are some states that insist all home sellers list every detail about the home - including the mention of any paranormal incidents! In short, make sure you research your state's laws to the fullest extent to avoid any sort of unnecessary prosecution.
Once you have all of these features carefully described on a piece of paper, you are ready to go to print. Oh, just one more thing - don't forget to spell check! There is nothing worse than an advertisement that is not spelled correctly, so make sure that you take the time to go over your work before you send it out.
For Sale by Owner - Can it be Done?
Do you know, you can save enough money by selling your home alone, and even keep the real estate commission in your pocket? When a home owner sells or buys a home without contacting a real estate agent, the commission he or she was to pay to a real estate agent is saved. By using the "for sale by owners" method for selling you house or home quickly, for a better price, using all the marketing strategies.
If you know the procedure to sell your property using the "For Sale by Owners" method, then you are going to save the huge sums of money that real estate agents take as commission from home owners. if you look critically you will discover that, this real estate agents are normal people just as home owners, who have not gone for any formal training for the buying and selling of homes. You don't need to be a licensed real estate agent before you sell your own home or go to college. But, you have to be vested with the following points.
1) How to determine the price, and make maximum profit.
2) How to show you home to buyers and save time.
3) You have to know where to place you're for sale sign.
4) How to negotiate for the best deal.
5) You can also work with a local advertiser to advertise your home.
6) Make sure you know all the documents which will be need for the selling process.
If you can follow the points above very well, there is no need going for a real estate agent.
Truly speaking, being a real estate agent or selling a real estate, you don't need a college qualification. You just need to be honest and treat your buyers fairly. After all, the home owner knows all the features of the home so; they can even explain to buyers how their homes look like more than real estate agents. It will be good to avoid these mistakes that are always made by home owners, when they want to sell their homes themselves. The mistakes are as follows:
1) They over price their homes.
2) Some price their homes lesser than the required amount.
3) Some don't inspect their homes if they are clean, before selling.
4) Some waste their advertising budget on local advertisers.
5) They don't know how to advertise.
6) Some don't know real estate terms to sale.
If you want to sell your home as fast as possible, based on the local market conditions, the step-by-step instructions be low is going to guide you on what to do.
1) How to advertise effectively for free or low cost.
2) How to call buyers to your home.
3) How to negotiate and seal the deal.
Why give thousands to real estate agents you can sell your home alone and keep the money but you must be prepare to learn the strategies such as: how to arrive at the perfect price. How to prepare your home for sale. Some tricks to help your sell your home faster and for more money. The best way to advertise should be used. You must know how to stage your home for sale.
Many people have attempted to sell their homes privately without success. They later call for real estate agents and paying them the high commission after all. The home owners fail because, most of them are not willing to learn the techniques, which are involve in the selling of a home by the home owner. It can be done, if you have good marketing and negotiation skills and the time commitment.
If you know the procedure to sell your property using the "For Sale by Owners" method, then you are going to save the huge sums of money that real estate agents take as commission from home owners. if you look critically you will discover that, this real estate agents are normal people just as home owners, who have not gone for any formal training for the buying and selling of homes. You don't need to be a licensed real estate agent before you sell your own home or go to college. But, you have to be vested with the following points.
1) How to determine the price, and make maximum profit.
2) How to show you home to buyers and save time.
3) You have to know where to place you're for sale sign.
4) How to negotiate for the best deal.
5) You can also work with a local advertiser to advertise your home.
6) Make sure you know all the documents which will be need for the selling process.
If you can follow the points above very well, there is no need going for a real estate agent.
Truly speaking, being a real estate agent or selling a real estate, you don't need a college qualification. You just need to be honest and treat your buyers fairly. After all, the home owner knows all the features of the home so; they can even explain to buyers how their homes look like more than real estate agents. It will be good to avoid these mistakes that are always made by home owners, when they want to sell their homes themselves. The mistakes are as follows:
1) They over price their homes.
2) Some price their homes lesser than the required amount.
3) Some don't inspect their homes if they are clean, before selling.
4) Some waste their advertising budget on local advertisers.
5) They don't know how to advertise.
6) Some don't know real estate terms to sale.
If you want to sell your home as fast as possible, based on the local market conditions, the step-by-step instructions be low is going to guide you on what to do.
1) How to advertise effectively for free or low cost.
2) How to call buyers to your home.
3) How to negotiate and seal the deal.
Why give thousands to real estate agents you can sell your home alone and keep the money but you must be prepare to learn the strategies such as: how to arrive at the perfect price. How to prepare your home for sale. Some tricks to help your sell your home faster and for more money. The best way to advertise should be used. You must know how to stage your home for sale.
Many people have attempted to sell their homes privately without success. They later call for real estate agents and paying them the high commission after all. The home owners fail because, most of them are not willing to learn the techniques, which are involve in the selling of a home by the home owner. It can be done, if you have good marketing and negotiation skills and the time commitment.
For Sale By Owner - You Can Do It!
Need to sell your home? In today's market "for sale by owner" may be the best way to sell. Trust me, it doesn't take a rocket scientist to be successful at selling your own home. The information in this article may provide you with in-site you may not have had before. You can do it yourself!
Prepare your home for buyers. New paint helps and is not expensive. Make sure it is clean, clean, clean. Most important and most over looked by sellers, you need to get rid of the clutter, inside and out. Less is more! Rent a storage facility or have a garage sale but get rid of the clutter. Less furniture makes a room look larger. Over stuffed closest are a real turn off to buyers who ALL want plenty of storage space. Get rid of all the nick knacks.
We all know how important curb appeal is. Get those yards cleaned up, front and back! Remember, an appraisal has pictures of the back yard as well as the front. I know this sounds silly but a junky back yard tells an underwriter a lot about your home's interior and maintenance routine. A buyer may over look it but the appraiser and lender do not.
Next, get a home inspection performed. An inspector will check the structure and systems in your home. He may find things you are not aware of. It is better to find and repair these issues before the buyer's inspector does.
Make sure you price it right. Spend the money to get a professional appraisal performed by a HUD approved appraiser. Do not rely on a real estate agent's market analysis. These are seldom accurate and many times an agent will just blow smoke by telling you what they think you want to hear.
Go sit down with your local mortgage broker. He has a wealth of knowledge you need to take advantage of. Most mortgage brokers have free FSBO programs that will help you immensely. It is important that you know what your costs will be based on the type of loan the buyer acquires. Did you know that a VA loan could cost you much more in closing costs PLUS home repairs that probably are not required by other loans? Will your home qualify for a FHA loan without making very costly repairs? If you are on a tight budget and need every possible dime out of the sale of your home you may want to negotiate in the contract that the buyer gets conventional financing.
A mortgage broker will also teach you the critical areas you need to watch in the sales contract. He may even provide you with blank contracts and other state mandatory disclosures required when you sell your home. Most brokers will even create your home flyer and more important, your financing options flyer. Perspective buyers want to know two things: how much will my payments be, and how much money do I need to pay down plus closing cost.
You should list your home on a "For Sale By Owner" web site. I want to caution you here. A lot of these sites try to charge you a lot of money for things that do not/will not help sell your home. Homebuyers DO NOT spend hours searching "For Sale By Owner" web sites. They work with real estate agents, read the papers, and drive on the streets in the neighborhoods they want to live in.
The advantage you get by listing your home on the Internet is that you put the URL in your newspaper ads, your flyers, and on your yard sign. Then when a buyer drives by your house or sees your ad they can go on the Internet and see pictures, amenities, and the price. If your house fits their needs and their budget, they will call you. If not, it is less of a bother for you. It can be very frustrating to let lookey-loo's in your home week after week. Don't you really only want truly interested buyers at your door? There are many free FSBO websites on the net. Check it out.
With all this said, the rest is just common sense. You Can Sell It Yourself!
Prepare your home for buyers. New paint helps and is not expensive. Make sure it is clean, clean, clean. Most important and most over looked by sellers, you need to get rid of the clutter, inside and out. Less is more! Rent a storage facility or have a garage sale but get rid of the clutter. Less furniture makes a room look larger. Over stuffed closest are a real turn off to buyers who ALL want plenty of storage space. Get rid of all the nick knacks.
We all know how important curb appeal is. Get those yards cleaned up, front and back! Remember, an appraisal has pictures of the back yard as well as the front. I know this sounds silly but a junky back yard tells an underwriter a lot about your home's interior and maintenance routine. A buyer may over look it but the appraiser and lender do not.
Next, get a home inspection performed. An inspector will check the structure and systems in your home. He may find things you are not aware of. It is better to find and repair these issues before the buyer's inspector does.
Make sure you price it right. Spend the money to get a professional appraisal performed by a HUD approved appraiser. Do not rely on a real estate agent's market analysis. These are seldom accurate and many times an agent will just blow smoke by telling you what they think you want to hear.
Go sit down with your local mortgage broker. He has a wealth of knowledge you need to take advantage of. Most mortgage brokers have free FSBO programs that will help you immensely. It is important that you know what your costs will be based on the type of loan the buyer acquires. Did you know that a VA loan could cost you much more in closing costs PLUS home repairs that probably are not required by other loans? Will your home qualify for a FHA loan without making very costly repairs? If you are on a tight budget and need every possible dime out of the sale of your home you may want to negotiate in the contract that the buyer gets conventional financing.
A mortgage broker will also teach you the critical areas you need to watch in the sales contract. He may even provide you with blank contracts and other state mandatory disclosures required when you sell your home. Most brokers will even create your home flyer and more important, your financing options flyer. Perspective buyers want to know two things: how much will my payments be, and how much money do I need to pay down plus closing cost.
You should list your home on a "For Sale By Owner" web site. I want to caution you here. A lot of these sites try to charge you a lot of money for things that do not/will not help sell your home. Homebuyers DO NOT spend hours searching "For Sale By Owner" web sites. They work with real estate agents, read the papers, and drive on the streets in the neighborhoods they want to live in.
The advantage you get by listing your home on the Internet is that you put the URL in your newspaper ads, your flyers, and on your yard sign. Then when a buyer drives by your house or sees your ad they can go on the Internet and see pictures, amenities, and the price. If your house fits their needs and their budget, they will call you. If not, it is less of a bother for you. It can be very frustrating to let lookey-loo's in your home week after week. Don't you really only want truly interested buyers at your door? There are many free FSBO websites on the net. Check it out.
With all this said, the rest is just common sense. You Can Sell It Yourself!
FSBO Home Staging Tips
Here are my two top picks on FSBO Staging Tips:
The best home staging tip for 'For Sale By Owners' who want to greatly improve their opportunities of making a quick sale at the highest price possible is this; DE-CLUTTER!
That means purge unnecessary "stuff" inside the house and out; children and pet toys, tools, magazines, newspapers, etc. Kitchen counters should be clear of clutter; rooms should be neat and orderly.
This idea is not only great for selling your home, it's a great living tip too. Over the last 6 months, I have greatly decreased clutter in my home (to the point, the workers at GoodWill recognize me). It has made my life much easier. With two grade school aged kids, clutter keeps creeping, so keep it up. You will appreciate it! If you can sense the change in peace in your home, buyers may sense peacefulness too.
The second most important home selling tip is to stage your home as "nonexclusive" or "general". Rooms reflecting family, pet, hobby, or career interests will not be appealing to as diverse an audience of home buyers as decor with a more basic feel. Neutral tones, solid colors, accessorize with fresh flowers. Do away with family photos (for now), religious signage, sports paraphernalia and other personal specific taste decor.
These thing can be done by the homeowner or by a Professional Home Stager. A Professional Stager is trained and objective and can help you sell your home quickly and at top dollar.
NEVER lower your asking price before calling a Professional Home Stager. Staging your home before it goes on the market is a key ingredient in maximizing your selling price.
Accent Home Staging in Woodstock, GA and Metro Atlanta, GA specializes in staging residential properties 'For Sale By Owner' or listed through a licensed Real Estate Agent. Explore our site http://www.accenthomestaging.biz and discover more about how Accent Home Staging can help you sell your home and not the competitions. Call 678-978-1377 or email us today.
The best home staging tip for 'For Sale By Owners' who want to greatly improve their opportunities of making a quick sale at the highest price possible is this; DE-CLUTTER!
That means purge unnecessary "stuff" inside the house and out; children and pet toys, tools, magazines, newspapers, etc. Kitchen counters should be clear of clutter; rooms should be neat and orderly.
This idea is not only great for selling your home, it's a great living tip too. Over the last 6 months, I have greatly decreased clutter in my home (to the point, the workers at GoodWill recognize me). It has made my life much easier. With two grade school aged kids, clutter keeps creeping, so keep it up. You will appreciate it! If you can sense the change in peace in your home, buyers may sense peacefulness too.
The second most important home selling tip is to stage your home as "nonexclusive" or "general". Rooms reflecting family, pet, hobby, or career interests will not be appealing to as diverse an audience of home buyers as decor with a more basic feel. Neutral tones, solid colors, accessorize with fresh flowers. Do away with family photos (for now), religious signage, sports paraphernalia and other personal specific taste decor.
These thing can be done by the homeowner or by a Professional Home Stager. A Professional Stager is trained and objective and can help you sell your home quickly and at top dollar.
NEVER lower your asking price before calling a Professional Home Stager. Staging your home before it goes on the market is a key ingredient in maximizing your selling price.
Accent Home Staging in Woodstock, GA and Metro Atlanta, GA specializes in staging residential properties 'For Sale By Owner' or listed through a licensed Real Estate Agent. Explore our site http://www.accenthomestaging.biz and discover more about how Accent Home Staging can help you sell your home and not the competitions. Call 678-978-1377 or email us today.
FSBO Sellers - What to Ask a Potential Buyer
Do you tend to ask a lot of questions? When you are selling your home there are some things that you should ask a buyer, and some things that you should refrain from asking.
There is nothing more annoying, or more frustrating, than an owner who attempts to show off obvious aspects of a home to a potential buyer. Some owners have a tendency to point out things such as large bay windows, but this sort of information isn't necessary (and it may insult the buyer's intelligence as well). Likewise, asking about a buyer's current occupation or yearly salary is crossing the line. However, there are some questions that every owner should ask a buyer before any offer is made.
One of the first things that you should ask a buyer (with a great deal of tact) is, "when do you plan to buy a home?" Narrowing down some sort of buying time can be a great deal of help when you talk to prospective buyers. The other question that you will want to ask is, "have you applied for a mortgage yet?" If a buyer has not applied for a mortgage yet, gently explain that they will have to do so before placing any sort of a deal on a home (some buyers simply do not know this!). Also, make sure that every buyer you spend your time on has some sort of a feasible plan for buying a home. Take a few moments to talk with potential buyers, but don't start to bully your way into personal details.
If you find that your buyer is starting to look slightly uncomfortable, stop with your line of questioning and leave the buyer alone. So many FSBOs attempt to bombard a buyer with an array of questions that only lead to embarrassment in the end. You merely need to know basic information regarding each buyer, and once you learn this information walk away. Also, it is a good idea to keep valuable information inside of a guest book next to each person's name, and contact those motivated buyers shortly after your open house.
You can lay out all the refreshments in the world, but if your buyer feels intimidated, they will leave your home without a second thought. The entire point of showing your house is to help a buyer see just how "liveable" your home is, and if you think about it, you might not enjoy a hard line of questioning either. Try to be a gracious host, but do not go overboard.
Hosting an open house is a sure fire way to get buyers into your home, but you can just as easily chase them away if you are not careful. Remember to ask only the essential questions, and skip those small details that you really have no business knowing about.
There is nothing more annoying, or more frustrating, than an owner who attempts to show off obvious aspects of a home to a potential buyer. Some owners have a tendency to point out things such as large bay windows, but this sort of information isn't necessary (and it may insult the buyer's intelligence as well). Likewise, asking about a buyer's current occupation or yearly salary is crossing the line. However, there are some questions that every owner should ask a buyer before any offer is made.
One of the first things that you should ask a buyer (with a great deal of tact) is, "when do you plan to buy a home?" Narrowing down some sort of buying time can be a great deal of help when you talk to prospective buyers. The other question that you will want to ask is, "have you applied for a mortgage yet?" If a buyer has not applied for a mortgage yet, gently explain that they will have to do so before placing any sort of a deal on a home (some buyers simply do not know this!). Also, make sure that every buyer you spend your time on has some sort of a feasible plan for buying a home. Take a few moments to talk with potential buyers, but don't start to bully your way into personal details.
If you find that your buyer is starting to look slightly uncomfortable, stop with your line of questioning and leave the buyer alone. So many FSBOs attempt to bombard a buyer with an array of questions that only lead to embarrassment in the end. You merely need to know basic information regarding each buyer, and once you learn this information walk away. Also, it is a good idea to keep valuable information inside of a guest book next to each person's name, and contact those motivated buyers shortly after your open house.
You can lay out all the refreshments in the world, but if your buyer feels intimidated, they will leave your home without a second thought. The entire point of showing your house is to help a buyer see just how "liveable" your home is, and if you think about it, you might not enjoy a hard line of questioning either. Try to be a gracious host, but do not go overboard.
Hosting an open house is a sure fire way to get buyers into your home, but you can just as easily chase them away if you are not careful. Remember to ask only the essential questions, and skip those small details that you really have no business knowing about.
Is Selling Your House FSBO A Good Idea?
Is it a Good Idea to Sell Your Home Yourself? Are you thinking of giving this a try? Have you been thinking of selling yourself instead of hiring a real estate agent? There are several advantages to selling your home yourself, but there are disadvantages as well. We certainly don't want to put someone off from trying to sell themselves, we believe that it can be done if you equip yourself with the right information, expectations and plan. Equipping oneself with the right expectations involves being aware of the pitfalls as well as the benefits. Here are a few things to consider when making the decision whether to go FSBO (for sale by owner).
1. The most important PRO for selling your home yourself is MONEY. Selling your home without the help of an agent means more money in your pocket! By selling it yourself you save the commissions and fees. We are not talking about small change here, we are talking about THOUSANDS of dollars which you would have to pay an agent. Commissions vary by market, but most agents ask for 6% (this is of course negotiable). If you are selling in a high priced market that is a considerable expense.
2. Saving on commissions allows you to price your property at a discount to other properties. The buyer sees an attractive price, yet you as the seller still end up with more in your pocket than if you had got a higher price and sold through an agent. We feel that this is an overlooked aspect of the FSBO process. There is no doubt that through the MLS and agent networks real estate agents have a large advantage when marketing a home. As a seller you certainly can utilize FSBO services and magazines, but they will most likely not have anywhere near the market penetration that an agent can get. Using the commission savings to price your house at an attractive level helps level this. Buyers will notice a well priced house!
3. Another advantage is that you are able to decide the times for open houses and showings. It is also completely up to you where and when you want to advertise.
4. Unlike a real estate agent who is selling many houses, you can focus on YOUR house, because you are only selling your own house.
But as mentioned above there are also disadvantages to selling your house yourself:
1. Good real estate agents earn high commissions for a reason. Selling a home takes a lot of time and energy. Dealing with potential buyers, open houses, closing sales and of course dealing with legal issues. Real estate agents are familiar with all the above and their experience can impact the sale.
2. You will not have access to the networks and listing services that a real estate agent will have.
3. People can call at anytime to see your house. Many of these people will be tire kickers. Will you drop everything to make a showing? This aspect of selling a home can quickly become tiresome.
4. Are you comfortable negotiating deals? If you are dealing with an aggressive buyer are you confident you can negotiate the points you need without jeapordizing the deal? There is no guarantee that a real estate agent can do this, but a good agent will have experience negotiating these contracts and closing deals.
Selling your home is, in our opinion, completely possible, but it is a challenge. This challenge excites some people, and if you are willing to learn and plan the process through then with some know-how and energy you can sell your house without the help of a real estate agent and save thousands.
MPLLC is made up of seasoned real estate investors looking to help investors and home buyers and sellers gain easy access to the information and services they need for success.
1. The most important PRO for selling your home yourself is MONEY. Selling your home without the help of an agent means more money in your pocket! By selling it yourself you save the commissions and fees. We are not talking about small change here, we are talking about THOUSANDS of dollars which you would have to pay an agent. Commissions vary by market, but most agents ask for 6% (this is of course negotiable). If you are selling in a high priced market that is a considerable expense.
2. Saving on commissions allows you to price your property at a discount to other properties. The buyer sees an attractive price, yet you as the seller still end up with more in your pocket than if you had got a higher price and sold through an agent. We feel that this is an overlooked aspect of the FSBO process. There is no doubt that through the MLS and agent networks real estate agents have a large advantage when marketing a home. As a seller you certainly can utilize FSBO services and magazines, but they will most likely not have anywhere near the market penetration that an agent can get. Using the commission savings to price your house at an attractive level helps level this. Buyers will notice a well priced house!
3. Another advantage is that you are able to decide the times for open houses and showings. It is also completely up to you where and when you want to advertise.
4. Unlike a real estate agent who is selling many houses, you can focus on YOUR house, because you are only selling your own house.
But as mentioned above there are also disadvantages to selling your house yourself:
1. Good real estate agents earn high commissions for a reason. Selling a home takes a lot of time and energy. Dealing with potential buyers, open houses, closing sales and of course dealing with legal issues. Real estate agents are familiar with all the above and their experience can impact the sale.
2. You will not have access to the networks and listing services that a real estate agent will have.
3. People can call at anytime to see your house. Many of these people will be tire kickers. Will you drop everything to make a showing? This aspect of selling a home can quickly become tiresome.
4. Are you comfortable negotiating deals? If you are dealing with an aggressive buyer are you confident you can negotiate the points you need without jeapordizing the deal? There is no guarantee that a real estate agent can do this, but a good agent will have experience negotiating these contracts and closing deals.
Selling your home is, in our opinion, completely possible, but it is a challenge. This challenge excites some people, and if you are willing to learn and plan the process through then with some know-how and energy you can sell your house without the help of a real estate agent and save thousands.
MPLLC is made up of seasoned real estate investors looking to help investors and home buyers and sellers gain easy access to the information and services they need for success.
Who Will When The Fight Between FSBO Vs Realtors
When it comes to selling your home there are two different roads that you can take. First you can take the most used way, which would be with the Realtors. They have their positive things because they are going to do the work for you. They are going to put your house on the market and show it off to people. They can hold open houses, and they pretty much take care of everything. However, if you are looking to save some money then you may want to go with the FSBO. There are many websites that are out there now that can help you get your house on the market without the help from Realtors. Also, you can set up everything yourself because you do not have to do what the Realtors tell you to do. It seems like they both have their plus sides. now let's take a look at the bad.
When it comes to down falls,both FSBO and Realtors have their negatives. First, we will start with Realtors. Sure they guys may do everything for you, but it all is going to come as a big cost to you. They are going to get 5 to 6 percent of whatever you make on your house. Now say your house sells for 100,000 dollars, they are getting a good bit of that. However, if you go with FSBO you are going to have to pay to post your house on different sites.
Now only that, but you are also going to have to do everything yourself. Sure they have tools to help you, but you are not gong to have Realtors to handle all the dirty paper work. It's always nice to know that you do not have to do something by yourself, but doing it this way you are kind of taking a shot in the dark.
So who comes out on top? Well it really depends on what you like. For me it would have to be the Realtors. This is just because it seems like a lot less work to go ahead and pay someone to help you get your house off the market as quickly as possible. However, if you know what you are doing to sell a home then you may think that FSBO is the way to go. By doing it yourself you are saving a lot of money. It is great to save money because then you know longer have to pay the Realtors. So what it comes down to is what you like the most. However, I do think that it is great that we have two different roads to travel down. Sure the FSBO is the less traveled road, but we are starting to see a shift in that.
Article Source: http://EzineArticles.com/?expert=Mike_Stone
When it comes to down falls,both FSBO and Realtors have their negatives. First, we will start with Realtors. Sure they guys may do everything for you, but it all is going to come as a big cost to you. They are going to get 5 to 6 percent of whatever you make on your house. Now say your house sells for 100,000 dollars, they are getting a good bit of that. However, if you go with FSBO you are going to have to pay to post your house on different sites.
Now only that, but you are also going to have to do everything yourself. Sure they have tools to help you, but you are not gong to have Realtors to handle all the dirty paper work. It's always nice to know that you do not have to do something by yourself, but doing it this way you are kind of taking a shot in the dark.
So who comes out on top? Well it really depends on what you like. For me it would have to be the Realtors. This is just because it seems like a lot less work to go ahead and pay someone to help you get your house off the market as quickly as possible. However, if you know what you are doing to sell a home then you may think that FSBO is the way to go. By doing it yourself you are saving a lot of money. It is great to save money because then you know longer have to pay the Realtors. So what it comes down to is what you like the most. However, I do think that it is great that we have two different roads to travel down. Sure the FSBO is the less traveled road, but we are starting to see a shift in that.
Article Source: http://EzineArticles.com/?expert=Mike_Stone
For Sale by Owner Vs National Association Of Realtors
Potential and existing For Sale by Owners should take National Association of Realtors (NAR) ongoing rhetoric with a grain of salt. The NAR has a significant stake in how you choose to sell your property - did you know that there is approximately $60 BILLION in real estate commissions paid out annually (up 19 billion form 2000)? In a well planned and funded effort to justify their services and the astronomical commissions that they collect the NAR spends millions of dollars every year inundating the average homeowner with propaganda.
Realtors would have you believe that it is totally impossible to successfully market and sell your own home. The reason they propagate this fallacy is painfully obvious but it is shocking how convincing they can be and how frequently homeowners fall prey to their ploys.
Let's put some of the most common NAR rhetoric to sleep:
FSBOs do not sell for less
FSBOs do not take longer to sell
FSBOs do not unwittingly expose themselves to potential thieves, rapists or murderers
FSBOs can effectively market their own property
FSBOs can effectively sell their own property
FSBOs can save thousands of dollars in commissions
Truth be known, the National Association of Realtors does some things very well. First of all, they gather, compile and distribute very accurate data related to real estate that can prove very helpful when creating a For Sale by Owner marketing plan. This data is gleaned from hundreds of thousands of home sales so the data is very accurate. Most, if not all, of the data is readily available on the internet. This data includes, but is not limited to, average number of days on market (DOM), average and medium sale prices (compiled monthly and seasonally adjusted), unit sales by region and unit sales by "Metropolitan Areas".
The NAR also compiles statistics related to "Buyer" and "Seller" tendencies, these statistics are generated through surveys of both buyers and sellers. Some of the data speaks volumes, for instance over 70% of home buyers in 2006 used the internet to find the home they ultimately purchased, before they hired a real estate agent. Secondly 18% of home purchasers claimed that the first introduction to the home they purchased was a FOR SALE lawn sign. Do the math - that means over 88% of "BUYERS" found the property they ultimately purchased without the assistance of a real estate agent - yet 85% used an agent to facilitate the purchase - who says marketing doesn't work.
The second thing they do very well is market real estate; this is done through their proprietary data service - the Multiple Listing Service better known as the MLS. This real estate listing data, while proprietary, is not restricted to real estate agents, it is available to virtually anyone that has access to the internet. Realtor.com, the consumer facing website is a by-product of the MLS, this primary marketing tool for Realtors is also available to virtually anyone. For Sale by Owners can invest in Flat Fee MLS. The concept is simple - instead of the "Listing Agent" charging a commission based on the sale of your home, the homeowner agrees to pay a Flat Fee to a registered Realtor - this fee is typically in the $399 - $699 range depending on your geographical area and level of service. The agent simply agrees to list your property on the MLS. This exposes your property to all Real Estate agents through the MLS database and most potential buyers through Realtor.com (remember over 70% of buyers found the property on the internet BEFORE they hired an agent) which enjoys over 7 million monthly visitors that generate over 350 page views. BEWARE - not all Flat Fee MLS is created equal - make sure you know what you are buying and that there is some level of support.
One of the biggest problems that I have always had with Real Estate agents (outside of their high commission fees) is that they have a different mandate then the typical homeowner. A real estate agents mandate is to sell "a" home and get paid their commission. The homeowners mandate is to sell their home. How often do you think a prospective buyer calls in to set up a showing for a specific property (your property) and the agent says - "sure, we'll set up an appointment - but while were out looking at that property let's look at these "others" that I think you may be interested in." Personally, I don't blame them, that is how they earn a living - I would do the same thing, it's called "hedging your bets". The inherent problem is that a real estate agent can be successful without the homeowner being successful. A great example of this is "Open Houses" in my opinion they are simply a lead generation platform for the listing agent. The "visitors" come to see your home, the agent takes their name and contacts them to sell them any house - they have simply used your property and time as a hook.
I always have to defend myself, and I want to be clear, I do not hate real estate agents. They definitely perform a service that some individuals are incapable of performing. I do however have a problem with the fees that they charge and their relentless attack on FSBO's. I have always felt that if someone has to take a run at the competition in an effort to justify themselves that it was a sign of weakness.
Bottom line, you can sell your own home and save thousands of dollars; do not be swayed by the NAR and its unsubstantiated claims. Do not believe something just because you saw it on television - it is a shameless effort to protect themselves, their association and a livelihood that is under significant pressure to justify it's fees. It's not a coincidence that the U.S. Department of Justice is currently investigating the industry for anti trust violations. Change is coming - and it will shake the very foundation that this association was founded. The internet has changed the way people buy and sell real estate - it's time for Realtors to accept that fact and adjust accordingly or go the way of the Dodo bird.
Mark Camphaug is currently President of http://www.FreeFSBO.org and it's parent Martcam LLC. FreeFSBO.org is a For Sale by Owner (FSBO) website that offers a free online listing and free real estate lawn sign to prospective FSBO home sellers. Previously Camphaug spent 6 years as Vice President of one of the world's largest and most successful Interactive Marketing Agencies where he specialized in all aspects of internet marketing, including SEO, PPC, Email and Affiliate marketing. Prior to that Camphaug spent 12 years in the competitive new home industry, duties included sales, marketing and client relationship management.
Article Source: http://EzineArticles.com/?expert=Mark_Camphaug
Realtors would have you believe that it is totally impossible to successfully market and sell your own home. The reason they propagate this fallacy is painfully obvious but it is shocking how convincing they can be and how frequently homeowners fall prey to their ploys.
Let's put some of the most common NAR rhetoric to sleep:
FSBOs do not sell for less
FSBOs do not take longer to sell
FSBOs do not unwittingly expose themselves to potential thieves, rapists or murderers
FSBOs can effectively market their own property
FSBOs can effectively sell their own property
FSBOs can save thousands of dollars in commissions
Truth be known, the National Association of Realtors does some things very well. First of all, they gather, compile and distribute very accurate data related to real estate that can prove very helpful when creating a For Sale by Owner marketing plan. This data is gleaned from hundreds of thousands of home sales so the data is very accurate. Most, if not all, of the data is readily available on the internet. This data includes, but is not limited to, average number of days on market (DOM), average and medium sale prices (compiled monthly and seasonally adjusted), unit sales by region and unit sales by "Metropolitan Areas".
The NAR also compiles statistics related to "Buyer" and "Seller" tendencies, these statistics are generated through surveys of both buyers and sellers. Some of the data speaks volumes, for instance over 70% of home buyers in 2006 used the internet to find the home they ultimately purchased, before they hired a real estate agent. Secondly 18% of home purchasers claimed that the first introduction to the home they purchased was a FOR SALE lawn sign. Do the math - that means over 88% of "BUYERS" found the property they ultimately purchased without the assistance of a real estate agent - yet 85% used an agent to facilitate the purchase - who says marketing doesn't work.
The second thing they do very well is market real estate; this is done through their proprietary data service - the Multiple Listing Service better known as the MLS. This real estate listing data, while proprietary, is not restricted to real estate agents, it is available to virtually anyone that has access to the internet. Realtor.com, the consumer facing website is a by-product of the MLS, this primary marketing tool for Realtors is also available to virtually anyone. For Sale by Owners can invest in Flat Fee MLS. The concept is simple - instead of the "Listing Agent" charging a commission based on the sale of your home, the homeowner agrees to pay a Flat Fee to a registered Realtor - this fee is typically in the $399 - $699 range depending on your geographical area and level of service. The agent simply agrees to list your property on the MLS. This exposes your property to all Real Estate agents through the MLS database and most potential buyers through Realtor.com (remember over 70% of buyers found the property on the internet BEFORE they hired an agent) which enjoys over 7 million monthly visitors that generate over 350 page views. BEWARE - not all Flat Fee MLS is created equal - make sure you know what you are buying and that there is some level of support.
One of the biggest problems that I have always had with Real Estate agents (outside of their high commission fees) is that they have a different mandate then the typical homeowner. A real estate agents mandate is to sell "a" home and get paid their commission. The homeowners mandate is to sell their home. How often do you think a prospective buyer calls in to set up a showing for a specific property (your property) and the agent says - "sure, we'll set up an appointment - but while were out looking at that property let's look at these "others" that I think you may be interested in." Personally, I don't blame them, that is how they earn a living - I would do the same thing, it's called "hedging your bets". The inherent problem is that a real estate agent can be successful without the homeowner being successful. A great example of this is "Open Houses" in my opinion they are simply a lead generation platform for the listing agent. The "visitors" come to see your home, the agent takes their name and contacts them to sell them any house - they have simply used your property and time as a hook.
I always have to defend myself, and I want to be clear, I do not hate real estate agents. They definitely perform a service that some individuals are incapable of performing. I do however have a problem with the fees that they charge and their relentless attack on FSBO's. I have always felt that if someone has to take a run at the competition in an effort to justify themselves that it was a sign of weakness.
Bottom line, you can sell your own home and save thousands of dollars; do not be swayed by the NAR and its unsubstantiated claims. Do not believe something just because you saw it on television - it is a shameless effort to protect themselves, their association and a livelihood that is under significant pressure to justify it's fees. It's not a coincidence that the U.S. Department of Justice is currently investigating the industry for anti trust violations. Change is coming - and it will shake the very foundation that this association was founded. The internet has changed the way people buy and sell real estate - it's time for Realtors to accept that fact and adjust accordingly or go the way of the Dodo bird.
Mark Camphaug is currently President of http://www.FreeFSBO.org and it's parent Martcam LLC. FreeFSBO.org is a For Sale by Owner (FSBO) website that offers a free online listing and free real estate lawn sign to prospective FSBO home sellers. Previously Camphaug spent 6 years as Vice President of one of the world's largest and most successful Interactive Marketing Agencies where he specialized in all aspects of internet marketing, including SEO, PPC, Email and Affiliate marketing. Prior to that Camphaug spent 12 years in the competitive new home industry, duties included sales, marketing and client relationship management.
Article Source: http://EzineArticles.com/?expert=Mark_Camphaug
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