The typical commission required by a real estate agent to sell a home will be around 6%, depending on where you live in the country and market trends. This can be a substantial sum of money that the homeowner does not want to part with. Some homeowners will try to sell their home on their own, but keep in mind that up to 80% of homeowners end up listing their home with an agent after receiving little interest in the property. One of the main reasons for this is that realtor word of mouth is the best publicity there is for selling your home. Even if you successfully market your home, the buyer will most likely have an agent to whom they will still have to pay a commission or search fee. If you think FSBO is the method for you, take a moment to consider marketing strategies that can help make the process easier.
Accurately pricing your home is the most important step in the process. If you overvalue your house, you are doomed to fail. Take a look at comparables in your neighborhood. Be sure to note any features these homes may have that yours doesn’t. Look at the square footage, the lot size, and most importantly, the condition of your home compared to others. If the house down the street is selling for $50,000 more than another, be sure to find out why, they may have invested in a high-end remodel that justifies the price. If your home is on the market for an extended period of time because it is overvalued, buyers may begin to suspect that there is something wrong with your home.
The Internet is an invaluable marketing tool that anyone trying to FSBO should use. There are many FSBO websites that offer assistance for free or for a nominal fee. Since the Internet provides access to your home remotely, you’ll need to make sure the photos you use are well done and look professional. Most buyers won’t even bother looking at a home listing that doesn’t have eye-catching photos. Make sure your house is really spotless when these photos are taken. Trim bushes, mow the lawn and remove any clutter. If a chipped front door is the only thing wrong with your house, the buyer will never know because they will never come to see your house if the initial presentation is poor. First impressions absolutely count in real estate. Take photos of every room in your house and upload them. Be sure to open up windows, hide clutter, and highlight unique features like a fireplace or built-in bookshelves.
Be as descriptive as possible when listing your own home. Buyers are interested or they wouldn’t be looking, so more information is better. Post signs if possible. Advertise in every reasonable real estate newspaper and magazine. Send an electronic brochure to realtors who represent your area and invite the realtors to tour your home. It is much easier to market a house than you have seen. Make sure real estate agents can easily access your home, if you place too many restrictions on access to your home it will be prohibitive for a sale. Finally, have open houses. Invite neighbors to the open house; they may have family who would like to live nearby.
Selling your home can be a daunting experience. But if you’re committed to a FSBO, be prepared to do a lot of marketing of your own. Take advantage of all advertising outlets. If you are one of the lucky few to be successful with this method, you will have saved thousands in realtor commissions. However, keep the market in mind when considering this option. Selling your home in a timely manner when it’s listed with a real estate agent can be worth saving a few dollars in commissions.