Top 5 Reasons You Should Not FSBO

    Top 5 Reasons You Should Not FSBO

    Aug 17, 2021

    Many sellers consider the “For Sale By Owner” route, thinking it will save them money. However, seasoned ERA Justin Realty Sales Associate, Carol D. Calamari outlines why FSBO might not be a good idea for the vast majority of sellers.

    1. Real Estate Is a Full-Time Job

    Can you rush home when someone wants to see your home? Or excuse yourself from a meeting every time a potential buyer calls? Do you have a marketing plan?

    An agent’s answer to all of these questions is “yes.” An agent has a marketing plan for maximum exposure to buyersand provides a lockbox for your front door that allows other agents to show your home when you aren’t available.

    2. Agents Have Access to Large Networks

    Yes, you can list your home on various real estate sites, even the Multiple Listing Service (MLS) that agents use. But will that be enough? Even if you have a large personal or professional network, those people will not likely promote your house sale. 

    Agents have relationships with active home seekers and other agents to bring the largest pool of potential buyers to your home, which means more demand for your property, more competitive pricing and a shorter time to closing. 

    3. Too Many People to Negotiate With

    An experienced real estate agent has specialized know-how in negotiating a home sale. Carol explains, “An experienced selling agent may have negotiated hundreds of home purchases and knows all the tricks or the warning signs of a nervous or disingenuous buyer.”

     

    An agent helps you get the best selling price and also negotiates with the buyer’s agent, the buyer’s attorney, the home inspection company (who will almost always find some problems with the house) and the appraiser.

     

    4. Exposure to Legal Risks

    The required paperwork has increased dramatically as industry disclosures and regulations have become mandatory. One of the most important items is the seller’s disclosures. If a seller fails to disclose a hazard, nuisance or defect—and the buyer decides to sue after moving in and finding a problem, the seller can be held liable for fraud, negligence or breach of contract. This is one of the reasons that the percentage of people who sell as FSBO has dropped from 19% to 7% over the last 20+ years.

    5. You May Not Net More Money Going It Alone

    Many FSBO homeowners believe that they will save money by not paying a real estate commission, however, real estate agents are likely to get top dollar for your home. 

    “There’s no substitute for actual market knowledge an agent has when pricing,” Carol explains. “Those who try to sell their own homes tend to set a price based on an online assessment tool or what a neighbor says they were offered—two methods that will make the listing price way off. As a result, the home tends to sit longer on the market and buyers will likely pay a lower price.” 

    The Bottom Line

    Selling your home FSBO may save fees, but hiring an agent has many advantages.

     

    If you are interested in selling your home, contact Carol D. Calamari or any one of our Real Estate Professionals at ERA Justin Realty by calling (201) 939-7500.