The Do's and Don'ts of For Sale by Owner

In a buyers market homeowners look for ways to save and make as much money as they can. Some choose to sell their home themselves as a way to save some money, after all it is one, or two less commissions they have to pay. However there are several things to consider when deciding to be a FSBO (For Sale By Owner) as they are known in the real estate industry.

When considering whether or not to sell your home without the help of a professional keep in mind the bottom line, your price. Many people think that they will save a ton of money selling their home themselves but the reality is that often times a real estate agent can actually make you money by being able to sell your house for more money and in less time. FSBO's often either under price their property, not understanding the true market value that they have, causing a quick sale, but for less profit than they could have had if they had professional advice, or overpricing their home which causes it to sit on the market and ultimately forcing the homeowner to reduce the price or take it off the market, which costs the seller time and money.

When setting a price look at your house compared to the other houses in the neighborhood, is it the nicest or the middle or the bottom? Look at your home objectively (which is harder than it sounds). A buyer and their agent is going to look at your house and compare it to others so what does your house have to offer that the others don't? Does it have upgrades? A better or bigger lot? Keep in mind that a buyers agent will know what the properties in the neighborhood have sold for...that is their job after all, so you need to be able to back up your price. Why does your house deserve to have a specific price?