June 6, 2018

Top 7 Reasons Why “For Sale By Owner” Doesn’t Work

7 Great Reasons NOT to Sell By Owner.

That’s a FSBO – which stands for For Sale By Owner.

There are definitely reasons why people choose to sell their homes themselves instead of hiring a realtor, and one of the big objections is that the sellers will have to pay them a commission if and when their home sells.

That seems to be a big barrier to people hiring a realtor because they believe they will be giving up cash from the sale of their home and therefore reducing the amount of the net cash from the sale. They often don’t see the value that a real estate agent at 5 County Real Estate adds to the selling process. What many people think is that an agent is just going to place the property on the MLS and just wait for a buyer. Heck, the seller thinks, I can do better than they can.

As a precautionary, we have created our Top 7 Reasons Why FSBO Sellers Fail list.

The list price of the home was priced incorrectly from the start. What you want to sell your home for may not be a realistic valuation and will not attract serious buyers.
Not making the home accessible when the buyer’s schedule dictates. You have to meet them when they are available. The worst thing you can do is turn away a prospective buyer who wants to see your house. You’re too busy, have to work, you are going to be out of town a lot.
The home was not staged properly to interest the buyers. Buyers need to be able to imagine themselves living in the home. If it is dirty, or in disrepair, needs painting and that leak in the roof needs to be stopped does not a good impression make. And, it will definitely drive down after offers from the asking price. This can include fixing items that should have been refreshed (paint is cheap), clean windows and brightly lite rooms. Pix up your house like you were going to have a party!
The home was not marketed properly including presentation, photography and Internet exposure. You say you are a doctor – what do you know about marketing a house.
Not knowing how to properly qualify a buyer to ensure they can get a mortgage. Just because the buyers say they are prequalified doesn’t mean that they have any money or credit for that matter!
Not knowing how to negotiate home inspection repair requests. You can be on the hook for a lot of money out of pocket for repair costs. It could cost you up to approximately 3% or more of the selling price. (Learn more about as-is contracts). That tip right there could have paid 1/2 your realtors’ commission.
Being stubborn enough not to offer a buyers agent a commission if they bring a buyer. So, offer the real estate agent that brings you a buyer a 3% commission. Believe us, nobody wants to get that house sold more than a real estate agent. They don’t earn any money until the check for the sold house clears the bank so they will help both the seller and buyer come to a mutually beneficial agreement. Sellers want to sell. Buyers want to buy.

These are our 7 biggest reasons why for sale by owners fail in getting what they wanted in the first place – getting their home sold as soon as possible. Knowing this make sure you pay attention to these things to increase your chances of success!

About 5 County Real Estate

We are local Real Estate Agents in Sunrise, Florida and we trust you will enjoy browsing through our search features for houses for sale in Sunrise and all of Broward County. We are always available to assist you in finding the right home or commercial property for you or if you are interested in listing real estate for sale with us – we are you ‘go to’ team.

We hope this above article will provide helpful information. We have knowledgeable agents who can find the perfect property to meet and exceed your desires. Whether it is a luxury property, golf property, or lakefront property, we can turn your dreams into a lifetime of happiness! 5 County Real Estate is proud to serve the following areas: Sunrise, Plantation, Davie, Tamarac, Coral Springs, Pembroke Pines, Weston and Hollywood including the ever-popular Downtown Fort Lauderdale.

Call 5 County Real Estate with Homes For Sale throughout Sunrise and southwest Broward County on 954-999-5207.