You Can Save Money By Selling Your Own
Homeowners across North America are discovering a great way to save themselves a bunch of money: list their home apart from the services of a realtor. Yes, exasperated home owners are finding that the realtor's standard 6% commission simply does not suit them.
On the sale of a $400,000 home a realtor's commission can translate into a $24,000 fee! How about you? Have you considered a sale apart from a realtor?
Realtor fees are basically the same as always but their commissions are on the rise as home prices surge. Homeowners looking to have more money left over after the transaction of the sale has been complete, are questioning realtor commissions and taking matters into their own hands.
Some realtors are responding positively by dropping their fee to 4.9%, 3%, even less. Other realtors are charging a more modest flat fee thereby making their plans much more affordable.
Yet, in every case homeowners are paying out commission money that they would prefer to have for themselves.
Enter FSBO.
FSBO is For Sale by Owner a term to describe the owner doing all the prepping, showing, marketing, negotiating and closing of their home. Through websites, newspaper ads, MLS listings, and more homeowners are doing much of the realtor's work and saving big money.
Before closing, FSBO homeowners pay a real estate attorney to represent them to make certain that the contract of sale is squared away.
Of course, to go the FSBO route the homeowner must do plenty of the legwork normally done by the realtor. She must arrange the showings, run the open house, negotiate with the buyer, and make certain that all of the steps from the home inspection to the mortgage approval are in place. Once the process has been finalized the home will sell after the attorney review.
FSBO sellers know that marketing the home is a key part of the selling process. FSBO homes are typically listed at or below the market value and homeowners are bit more willing to go with a lower price especially when considering no realtor fees will have to be paid out.
Not all homebuyers have success with FSBO, but if you stick with it and find the right buyer you could save yourself tens of thousands of dollars in realtor fees. Should you decide later that FSBO is not the way that you want to go, simply contact a realtor and list your home with them.
On the sale of a $400,000 home a realtor's commission can translate into a $24,000 fee! How about you? Have you considered a sale apart from a realtor?
Realtor fees are basically the same as always but their commissions are on the rise as home prices surge. Homeowners looking to have more money left over after the transaction of the sale has been complete, are questioning realtor commissions and taking matters into their own hands.
Some realtors are responding positively by dropping their fee to 4.9%, 3%, even less. Other realtors are charging a more modest flat fee thereby making their plans much more affordable.
Yet, in every case homeowners are paying out commission money that they would prefer to have for themselves.
Enter FSBO.
FSBO is For Sale by Owner a term to describe the owner doing all the prepping, showing, marketing, negotiating and closing of their home. Through websites, newspaper ads, MLS listings, and more homeowners are doing much of the realtor's work and saving big money.
Before closing, FSBO homeowners pay a real estate attorney to represent them to make certain that the contract of sale is squared away.
Of course, to go the FSBO route the homeowner must do plenty of the legwork normally done by the realtor. She must arrange the showings, run the open house, negotiate with the buyer, and make certain that all of the steps from the home inspection to the mortgage approval are in place. Once the process has been finalized the home will sell after the attorney review.
FSBO sellers know that marketing the home is a key part of the selling process. FSBO homes are typically listed at or below the market value and homeowners are bit more willing to go with a lower price especially when considering no realtor fees will have to be paid out.
Not all homebuyers have success with FSBO, but if you stick with it and find the right buyer you could save yourself tens of thousands of dollars in realtor fees. Should you decide later that FSBO is not the way that you want to go, simply contact a realtor and list your home with them.