Great Way Real Estate

Is For Sale By Owner a good idea?

I am going to pick on For Sale By Owners or as we call them FSBO! The people that take this on are courageous in their efforts to save money but is this the best idea? 

I am all about DIY projects! I love watching YouTube and taking on the challenge of new projects but I don't feel that selling your home falls into a project category and here is why....... Its like showing up to a knife fight without your knife! 😨

The market is an ever changing beast and to price your home correctly you need to have some knowledge of the market trends for the area. You can not gain this from looking at Zillow or any other site that is similar. A majority of people fall under the false pretense that these websites have all the up to date information.  I have rarely seen a FSBO priced appropriately appropriately for the market and neighborhood trends. Yes, when I see a new FSBO I take the time to check! 😉  

There are 4  essential parts of marketing that really attract a customer to anything that is for sale.....

1. How does it look?

2. How well is it priced?

3. How visible is it to its market?

4. What is being offering the buyers agent?

A typical FSBO owner has taken their own home photos and the pictures don't do the home justice. There is some skill that goes into taking a picture of a boxed shape room and making it look inviting and spacious and warm. 

A typical FSBO owner bases the price of their home on the top sale for the area and ALL owners believe their home is the best on the block even which that is far from the truth. Leaving their home on the market for a substantial amount of time, which statically lessens the desirability of the home. Yes, people want what others want. When your home has been for sale for along time people start to wonder what is wrong with your home? There has to be a reason i ts not selling. 

A typical FSBO owner only has so much reach when it comes to getting their homes in front of potential buyers. Its not as easy as you might think to advertise your home. Most agents spend a large sum on advertising per year to help get exposure, agents also have the ability to reach 30,000 plus agents with your listing that might have more than 1 client who might be interested. 

A typical FSBO owner not only is not being represented by an agent they also offer a lower commission to the buyers agent leaving the buy to make up the difference. Part of the buyers contract states in some cases that the buyer will pay the broker if the seller does not. As a buyer knowing you might have to pay your broker extra money for the FSBO when the same house is for sale down the street leaves your home less desirable. 

There are many other factors that come into play when not using an agent but I felt like these were the top priority. 

Once an offer is made the seller has to figure out how to get all the documents together and pay a higher fee for closing documents to be prepared. At the end of a typical FSBO the owner has mad less money than they would have if they had hired an agent.   

 

How to pick a Real Estate agent??

Have you ever wondered if you're picking the right agent to help you sell or buy? I read tons of articles and hear lots of different ways for potential buyers and sellers to select an agent. Heres the skinny on agents and the differences........ PERSONALITY that's it!

We have all been through the same training, have the same law binding documents we are required to use and the same pool of homes/people to pick from. So, does it really make a difference how many homes an agent has sold? Does it really make a difference if they work for a LARGE company name?

In my opinion, you can have the agent with the best sales qualities, most experience, and a large name company but if your personalities don't match you will walk away feeling USED like you were just another sale, a different dollar sign, and have a yucky taste in your mouth about ever buying or selling again.

Buying and selling homes is a stressful time for anyone with any agent. Nobody can take all the stresses away because there are no guarantees in real estate. No agent can promise a purchase price, or how many days on the market. Everything we do is based on market analysis, we can make educated guesses and if we know the market for the area we can come very close, but we have no idea who is going to walk into your home or what their specific needs are.  We also don't know anything about the functioning of the home besides what you have told us or whats disclosed by the other party, which leave room for things to come up during the home inspection. There are so many stages of buying and selling that have to come together for everyone to walk away happy.

Based on the information above and knowing that a deal can fall apart even when you have worked very hard and been very diligent what makes a good agent?

1. An agent that understands you and your needs
2. An agent that's available
3. An agent that wants to become a resource for you now and in the future
4. An agent you feel comfortable asking questions to and being yourself around

Yes, there are other things that agents need to be successful in the industry but if your agent is lacking these essentials regardless if how your real estate transaction goes, you will be left feeling used.

Buying and selling Real Estate is a HUGE monumental milestone in life and it should be remembered as a wonderful experience even if it's not a smooth transaction and there are bumps along the way. I think you should also walk away with a new friend someone who cares about you and your home that will be available for a lifetime of questions and concerns.

If you ever have any questions or concerns that I can help with please reach out to me. I am always happy to hear from people no matter what stage of the buying and selling process you are in.

Brittney McGuire
BRM Realty
Great Way Real Estate
www.Brittney.greatwayrealestate.com