FSBO Tips
I need tips to sell my house by myself. The same house in my neighorhood just sold for 230K with a realtor and another sold for 225K. I am a teacher so I have the whole summer to sell it. I have put an ad in the paper for 220K and have had no showings. I live in Las Vegas where houses have been typically selling in a few hours with multiple bids and for over the asking price. How do I get showings? Did I not price the property correctly? What other strategies do I need to use? I would really appreciate any help you can give me.
MGTWorthey:
FOR STARTERS---
Tell us what the wording in your AD said?
There are FSBO websites that should be able to help you. You might need a MLS listing. Without MLS, your house is practically invisible.
I found a site in Las Vegas:
http://www.salebyownerrealty.com/listingoptions.asp
Good Luck and eat your wheaties; you will probably need them.
Occasionally a fsbo will sell, but you are at a serious disadvantage to those with a realtor. First because of exposure, but also because if you've never sold a home before, it's not as easy as you may think. The MLS is a must. The confusion you have expressed is a sure sign that you should seek a professional. Keep in mind that the average fsbo, even with the help of www.isoldmyhouse.com, or similar site, goes under contract 3-4 times before actually selling. The time is also worth money." Don't trip over dollars to get to dimes", list at 4%, but require the Realtor to pay a 3% co-broke, and if the Realtor double ends the deal, the Realtor takes 3%. This is highly effective, and saves big money. :-o
[addsig]
There is a misconception that realtors charge astronomical fees to sell your home. A few are very successful, therefore wealthy. On the whole, however, most earn a fair to moderate living after paying multiple fees for licenses, errors & omission insurance, advertising, broker and co-broker commissions, and an occasional refrigerator or cash shortage for a disgruntled buyer or over-financed seller. When you try to sell your house at a discount through a realtor, you remove the incentive for another realtor to show yours to a potential buyer. Why sell yours for 4% when another listing will pay 6%?
Hey,
Maybe I don't get this, but if a house sold in your area for $230k and $225k and you want to sell for $220k, then you have already discounted the commission. In other words, what are you getting EXTRA for selling the house yourself???
$230k
-5% commission
=$218.5K
That is a whole lot of headache and worry for $1.5k.
Go with an agent.
Way to go Bruce!
Remember, when you list it, you tell the realtor what you need--its up to them to get you your asking price. Get your house appraised, or pull some reliable comps yourself. Las Vegas is a hot market.
Remember, if your going to sell without a realtor, someone is going to have to perform their work.....you or the buyer. Hire a seller realtor, they'll be on your side. If you are unsure as to what a realtor does for you, find out! You''re on this site, are you and or your spouse a real estate investor? Would you not use a realtor as part of your team? The incentive of multiple listings/sales is a great lure for the right realtor.
www.SaleByOwner.com is a fsbo site that puts your home on mls. they charge a "flat" fee for listing. its worth looking at..kenmax
Hey Kenmax,
I took a quick look at that site and it is very interesting. Basically, you pay a little under $600 and 3% (if the house sells through MLS) to an agent. It could be a big win/win.
But I have lots of questions as to how the details work:
How do the agents get in to your house?
How do you track who comes in to your house?
How many times do agents who visit you REALLY have clients and how many are just trying to get you as a client?
Who's paperwork do you use?
Etc.
When I sell a house, I always use an agent. I am charged 5% commission. I have tried selling houses FSBO and the headaches and increased time is just not worth it.
for my money i always use and agent. i have requirements that they must meet before i let them list my prop. they "must " list my home in the local and statewide paper and use a "color"photo and description to my liking. the "must " have scheduled "open house" showings to my liking..ect.....in answer to you other quiestion call the 1-800....number on the site and ask the ? you have asked me. it's nego. make a list of your needs and discuss your needs with them. remember you are there customer they need you to make a living. in other words you are the "boss" so talk to them as such make them earn your business if they don't there are many more that will be more than happy to help..kenmax
hey bruce, the agents will use a multi-lock to enter your house or you can have them pick up the key from you. you can have certain times that you allow showing or have any time showing. when it goes mls its on the "open market all agents will have access to the listing as with listing with a agent. they will serve you as to your needs...kenmax
when you use the service the agents that show your home don't try to recuit you to sell because you are aready listed on the mls by a re broker. kenmax
Hey Kenmax,
Thanks for the answers.
anytime......glad to be of help....kenmax
I have found sellers realtors to be a pain. The last one I sold with just tried to get us to put in thousands of dollars of improvements to raise her commission but not our profit. Just remember, they want their commission for minimum effort. Not unreasonable but not what you want necessarily.
Just sold my residence here. Did a flat rate MLS listing - $500, no seller commission, offered 3% to buyers realtor. Our phone number was listed as contact. We let them in and their realtor showed them the house - easy to follow up with the realtors afterwards for feedback and comments. This worked great! Lots of realtors bringing in clients, sold in 60 days.
In our case, pricing was the toughest part since there were no equivalent comps, but I don't think a realtor would have done any better in that situation..
Graham
The best way to determine the value of your house is to get three comparative market analyses from three agents specializing in your area. Not only will the agents take recent sales data and your home's attributes into account, they also will factor your neighborhood into the equation.
Typically, if you set your price 5 percent to 10 percent above market price, you are likely to end up with an offer close to your home's true value. Also try calculating the cost per square foot of your house compared to homes already on the market (divide list price by square footage of livable space). If your house has more features or other desirable qualities, you may want to set a higher price. Finally, follow an old retail maxim for hooking buyers: Set your price just under a whole number, such as $219,900.
The longer a house sits on the market, the less likely you are to get the best price. Put your house on the market during the spring or fall, when the most buyers are looking; avoid the seasonal slow periods of mid-summer and mid-winter. Remember, you're paying property tax, insurance, and other costs while you're selling.
A pre-sale evaluation from a qualified home inspector can save both money and heartache. You'll end up with a list of repairs you can address before you sell. The last thing you want is a surprise during the buyer's home inspection that will force you to lower the price or make costly, last-minute repairs before closing.
Once you've made basic repairs, give your house the model-home treatment. Your goal is to dazzle buyers willing to pay for a home in mint condition. Paint, floor polish, new light fixtures and fresh bedding plants are inexpensive ways to take your home from plain to profitable.
Offer a home warranty (A type of insurance that covers repairs to certain parts of a house and some fixtures.)
I myself am a Realtor, and an investor. Obviously, there is a difference in my cost for using my own services, but It usually costs me about $500.00 +3% to sell a property with another broker involved. A Realtor with a true knowledge about your goals, and ability to help you reach them is worth 10%! On the pricing issue, Timing is irrelevant if you approach it correctly. Your investment decision should have been made leaving space for a full service commission, and also with space to go atleast 3-5% below market. I have NEVER had a property for over 60 days, and NEVER a profit of less than 15%. Fighting for every little penny is cheap, and ineffective. You need a true AUCTION effect. Under contract in less than a week witha minimum of 3 backups. NO WAY TO LOSE WITH THIS MINDSET!!!