Today, everyone saw the front garden sign saying "for sale by the owner", what does this really mean? Will it be a legally correct contract for both parties? Can you really save money? The answer to both of these questions is yes, but we need a bit more work from everyone involved.
In the case of sale by owner, it means simply that there are no realtors involved in the process. The owner handles everything from exhibition to negotiation. There is a range of about 10 to 20% of the households sold by FSBO sales, and the number is increasing and decreasing year by year.
Why does the owner (FSBO) sell it?
From the seller's point of view, the cost of selling in this way is greatly reduced. When dealing with a real estate agent, only the commission fee may be between 5 and 7% of the final selling price of the house. For example, if you sold a 200K house with a 5% handling fee, the fee will be $ 10,000. If the seller can sell his home without using the real estate agent, you can save all that money.
Why buy FSBO's house?
From the buyer 's point of view, the purchase process is almost the same as long as the buyer is informed and knows what is a good deal or nothing. One of the big advantages is to communicate directly with the person selling your home. Since there is no man in the middle, you can call the seller directly without dealing with the real estate agent. In other words, purchasing this method often does not take time if an agent is involved.
Thinking
For all involved, it is a good idea to have a team of people to help sales, even if the agent is not directly responsible. Having a real estate lawyer on your side can be of great help, usually it costs just a few hundred dollars, but it will be some of the best money you will spend in the whole process.
Another thing to keep in mind is the price. As a seller it is easy to exceed your home to earn the greatest profit on the sale of your house. For buyers there is not anyone to lead the process, so we need to remember that we have to do more work on our own. For both parties it is important to make sure you do homework on the local market and ensure the correct price for your home. By obtaining an evaluation report you can help the process and set a good price for the rest of the market and a competitive home.
Resources
In the second half, there was a lot of information on how to deal with this type of trading mechanism. Sites like ForSaleByOwner.com and Zillow.com have a huge list of various FSBO families and tips and advice to make that process easier. When you go to a library or other bookstore, you will find that there are many books on that subject. Purchasing and selling houses is one of the biggest financial transactions that most people live in. If you want to work yourself, you do not need a realtor.
EmoticonEmoticon