FSBO Tips

Is FSBO my best option?

Have you ever had a leaky faucet and thought.. "maybe I could fix that instead of paying hundreds of dollars to have a plumber fix it"? Or maybe you heard how easy it is was for your friend to change the oil on her car and how she saved a lot of money by doing it herself? Sure, selling your home involves a lot more money, but it's essentially the same thing. If you have the desire to do things yourself and like to learn a little in the process, then FSBO may be for you!

Fizzbo, FSBO, For Sale By Owner, By Owner... What's it all mean?

All those terms for selling your home might get a little confusing, but it's pretty simple, actually. There are quite a few differences between selling your home on your own versus hiring a realtor to do the work for you. The biggest of those is saving a whole lot of money. It might be a little extra work, but in the end, you collect that 6 or 7% commission that a realtor might normally charge to sell your home.

Pricing Tips

• Consider comparables. What have other homes in your neighborhood sold for recently? How do they compare to yours in terms of size, upkeep, and amenities?
• Consider competition. How many other houses are for sale in your area? Are you competing against new homes?
• Consider your contingencies. Do you have special concerns that would affect the price you’ll receive? For example, do you want to be able to move in four months?
• Get an appraisal. For a few hundred dollars, a qualified appraiser can give you an estimate of your home’s value. Be sure to ask for a market-value appraisal. To locate appraisers in your area, contact The Appraisal Institute (www.appraisalinstitute.org) or ask a REALTOR for some recommendations.
• Ask a lender. Since most buyers will need a mortgage, it’s important that a home’s sale price be in line with a lender’s estimate of its value.
• Be accurate. Studies show that homes priced higher than 3 percent over the correct price take longer to sell.
• Know what you’ll accept. It’s critical to know what price you’ll accept before beginning a negotiation with a buyer.