NOT For Sale By Owner!
Julie Ternes, Realtor
www.JulieTernesHomes.com
719-629-6142
Some homeowners may consider trying to sell their home on without the assistance of a real estate professional, known in the industry as a For Sale by Owner (FSBO). We think there are several reasons this might not be a good idea for the vast majority of sellers.
Here are five of our reasons
1. There Are Too Many People to Negotiate With
Here is a list of some of the people with whom you must be prepared to negotiate if you decide to FSBO.- The buyer who wants the best deal possible
- The buyer’s agent who solely represents the best interest of the buyer
- The buyer’s attorney (in some parts of the country)
- The home inspection companies which work for the buyer and will almost always find some problems with the house
- The appraiser if there is a question of value
- Your bank in the case of a short sale
2. Exposure to Prospective Purchasers
Recent studies have shown that 92% of buyers search online for a home. That is in comparison to only 28% looking at print newspaper ads. Most real estate agents have an extensive internet strategy to promote the sale of your home. Do you?3. Actual Results also come from the Internet
Where do buyers find the home they actually purchased?- 43% on the internet
- 9% from a yard sign
- 1% from newspapers
4. FSBOing has Become More and More Difficult
The paperwork involved in selling and buying a home has increased dramatically as industry disclosures and regulations have become mandatory. This is one of the reasons that the percentage of people FSBOing has dropped from 19% to 9% over the last 20+ years.5. You Net More Money when Using an Agent
Many homeowners believe that they will save the real estate commission by selling on their own. Realize that the main reason buyers look at FSBOs is because they also believe they can save the real commission. The seller and buyer can’t both save the same commission.Studies have shown that the typical house sold by the homeowner sells for $184,000 while the typical house sold by an agent sells for $230,000. This doesn’t mean that an agent can get $46,000 more for your home as studies have shown that people are more likely to FSBO in markets with lower price points. However, it does show that selling on your own might not make sense.
Bottom Line
Before you decide to take on the challenges of selling your house on your own, sit with a real estate professional in your marketplace and see what they have to offer.
What's Your Home Worth?
Call Julie Ternes, SellState Alliance Realty, at 719-629-2199 or visit www.JulieTernesHomes.com
Money is usually the largest motivating factor when purchasing your first home. If you are fresh out of college and just starting your career, purchasing a home may not be the best idea when your financial future is so uncertain. Moreover, if you have started your career and are confident that you are going to continue growing in the career path you have chosen, then purchasing a home makes sense for many reasons. The pride that comes with owning a home can boost your confidence as a young professional and help drive you to succeed. This was my experience many years ago.
I love Colorado Springs. It's my home. I have lived in Washington, Idaho, Georgia, and Texas within my lifetime, and no place has ever felt as much like home to me as Colorado Springs. This is my hometown and I have no desire to live anywhere else. If you are uncertain whether you will be living in the same city you are in right now over the next year or two, purchasing a property may be a bad idea. On the other hand, if you love your city and know that you will be there for a long time, purchasing a home is a great idea.
I work with many different first-time homebuyers every month. One of the most common reasons for purchasing a home that I see is for a new couple to solidify a relationship by purchasing a home to build a life together. Homeownership feels much more stable and permenant than renting property. For this reason, couple feel a strong urge to buy a home together as a way of commiting to each other. Deciding to purchase a home with the new love of your life is a big commitment. A home is one of the most solid foundations to build lasting memories as a new couple. For this reason, purchasing a home is usually the first step that couples make once they are serious about moving forward in their relationship.
It's rare that I meet a first-time buyer in their 40's (or older), but it does happen. For some people, life just gets too busy to think about purchasing a home and so they get stuck in the routine of renting. This becomes an obvious problem when you look back over the last 5 years (or more) and calculate the amount of rent that you have spent during that time. Take those numbers and put them into a home mortgage calculator and you will soon realize that you could be sitting on tens of thousands of dollars of equity if you would have bought a home years ago, rather than putting it off.
My wife and I love to work on home improvement projects. We have purchased multiple distressed properties and remodeled them as a side business because it is something that we enjoy doing. The hardest part about renting for me would be not being able to alter a property or remodel in any way while I'm living there. One of the greatest benefits of owning a home is that you can do anything you want to it (within obvious parameters) to make it your own place. Some landlords will let you paint and redecorate a property before you move in, but all of your hard work and expenses are for their benefit, since they own the property.
Home
