Should you go FSBO?

Some people successfully sell their houses by themselves and others have made a major mess of it. There are legal documents which must be included in any home sale…you will have to do all the showings yourself. You will have to attract all buyers. The most important concern is a profitable and painless sale.

By securing the services of a professional, you can be certain your best interests will be represented. In fact, you might net more of your equity than if you handled it yourself.

The following is what you may fall victim to if you decide to sell your home without a responsible and knowledgeable agent:

• Lookers who want to see your wallpaper
• Calls at inconvenient times
• Sometimes, you are unavailable
• Incorrect pricing - too high or too low
• Separating real buyers from tire kickers
• Are interested parties financially qualified?
• Strangers checking out your valuables
• Transferees will not be exposed to your home
• Follow-up on showings - if YOU call, the buyer perceives anxiety
• Negotiating contracts - what's reasonable and customary and what's not?
• The paperwork of property transfer
• Legal issues and seller disclosure
• Buyers who want to save the same commission dollars you want to save
• Buyers who won't deal with owners
• Every real estate agent in town calls to ask you for the listing

More things to consider before decided to go FSBO!

The world of real estate has changed dramatically over the years. A hand-shake is no longer a prudent way of sealing the deal, and closing at the kitchen table is out.

Unfortunately, the  person who tries to sell "by owner" doesn't always understand the complexities of selling real estate. Selling real estate today requires a great awareness of current law, contracts, and the intricacies of closing the transaction.

Before the home is even offered for sale, the agent must:

- Research the condition of title to determine if any deeds will be required from a prior owners. This is common where the previous owner has provided financing to the current seller.

- Discover whether there are any unpaid liens or special assessments that would be accelerated for collection upon sale. Many owners don't realize that the new sewers, or other similar municipal improvements, which are paid for over many years, may be due in full, upon closing.

- Check the assessment and assessor's records for pertinent information.

- Obtain and complete proper disclosure forms per state law.

- Review the rules and regulations if the property is a condominium or subject to a Homeowner's Association to determine if there are any limitations on the use of the property of which a potential purchaser should be informed.

- Contact local municipalities and land surveyors, if there is substantial property being sold, or any planned partitioning will occur. Additionally, many county and state agencies may be involved in this process or at least must be consulted to ensure that accurate information is conveyed to the purchaser about the property's future zoning and development potential.

- Conduct substantial research to assure that the property is marketed at a price which not only will result in a fair sale, but can be supported an appraisal.

- Determine whether there are any unique factors that would make the property difficult to finance with the typical lender. Older homes, properties with private water and sewer, non-conforming zoning use or even homes with substantial acreage or numerous out-buildings can all be difficult to finance.

- Perform a financial analysis to assess whether or not the owner can or should offer to finance the sale themselves, if the owner has substantial equity.