The For Sale By Owner (FSBO), or for sale with owner, process can be complicated. Along with knowledge of the market and financial stability, negotiation skills, brutal honesty, emotional stability, firmness, and hard work are required to sell your home successfully.
A large part of realtor training is contract negotiation. Realtors are trained to have the skills to negotiate the best contract. Before entering into the FSBO process, honestly assess your ability to deal. Prepare yourself for the mental and emotional work it will take to successfully negotiate a real estate transaction with a licensed real estate agent. Study business and real estate negotiation strategies by reading books/articles related to the subject.
When you hire a real estate agent, one of his/her duties is to stage your home. Staging is defined as making changes to a home in order to make it more “sellable”. Since you are not working with a real estate agent, you must do the staging yourself. This can be a complicated process. We tend to view our home from a biased perspective; we may view our home differently than others do. Try to look around your house and figure about what you need to do to get the highest offer possible. While these fixes may not align with your preferences, you won’t be living there anymore. Popular ways to stage include removing furniture, limiting personal photos displayed, removing large prints/paintings, and replacing brightly colored carpet with neutral-colored carpet.
Selling a home can be stressful and emotional. You may be leaving a place that is attached to many sentimental memories: bringing home your first baby, playing ball in the backyard, marking how tall the kids are on the door, etc. It may be difficult to detach and view your home from a financial/legal standpoint. Add the stress of negotiations and contracting signing, and the process can be daunting. Every year, however, many of people successfully accomplish the process by moving into the home of their dreams. Simply understand the task at hand, keep calm, and carry on. View your property as a financial asset like a 401K fund or stocks. Your property is a financial investment and means of wealth.
Have you ever gone to the car dealership just to look at shiny cars? When the salesman walks over, you feel awkward because you have no intention of actually buying. Entertaining potential buyers who are not pre-qualified is very similar; you will be spending time with people who are most likely not looking/able to purchase. Require prospective buyers to bring a pre-qualification letter with them during their first visit. Also, there may be situations when you need to confront someone. Criminals entering open house events or posing as potential buyers are not unheard of. Be on the lookout for suspicious activity and you should be fine.
During deals, real estate agents work long hours. Their days are busy talking to lenders, escrow agents, and municipalities working to give you the best value possible. Expecting to sell your own home with minimal effort is unrealistic. Be prepared to set aside a large amount of time every week to your endeavor. Expect to be busier than normal.
Visit fsbo.fizber.com for more helpful information and resources on everything FSBO.
Food For Thought
1. A large part of real estate agent training is contract negotiation. Could you could negotiate with an experience realtor?
2. Staging is defines as making changes to a home in order to make it more “sellable”. What are some of the best ways to stage a home?
3. Also, there may be situations when you need to confront someone. What are some of examples of this?
4. Expecting to sell your own home with minimal effort is not going to work. How many total hours of work does it take to sell a house?