Can you sell your home yourself? Probably. I won’t say no because many homeowners have had success in selling their home FSBO (For Sale By Owner) but I bet you didn’t know that many homeowners that start out FSBO eventually contact an agent when they are either overwhelmed, have no idea what their doing or just haven’t gotten any traffic. Did you know that homeowners that sell a property with a real estate agent actually make more money on average than if they sold it themselves? Why is this? You would think that you would have more money at the end of the sale since you didn’t have to pay real estate agent’s commission. However, most homeowners mis-price their homes to begin with losing out on extra money or overpricing it so heavily that they never get any bites.
Let’s map this out; if you feel your home is valued at $400,000 and price it as such, you might have buyers agents that come along knowing it’s either over priced or underpriced and will jump on an under market home or steer clear of a home that’s overpriced. Either way, you could lose money or just not get a sale.
Then it comes down to actually finding that price point.
How will you determine the price? You’ll need to take the time to research all the comparable sales, past sales, pending sales, appraisals and title reports to determine what value your home currently holds. As real estate agents we go through all this for you, and documents you probably can’t even access. With all our knowledge and research we can determine where to price your home. This figure is a crucial number to getting the right buyers in the door. Price it too high and you won’t have any bites, too low and you’ll have a flood of interest but end up giving more away than you wanted.
Price can also be affected if the home sits on the market too long. It’s very common for a homeowner to overprice their home just to see if it gets any bites. When it doesn’t they lower that price. They continue to lower the price until it’s sat on the market so long, buyers tend to think there may be something wrong with the home and shy away completely. By the time the home actually sells, it’s priced so far below market value that you could have paid a real estate commission AND had profit to spare had you just used an agent and priced it correctly from the beginning.
Qualified agents, especially those that specialize in a particular neighborhood, take the time to help stage and prep the home for the right buyer. An agent that is well aware of the caliber of buyer for a specific neighborhood can help guide a seller into creating a space that will appeal to the majority of potential buyers. Without knowing what buyers want and how to compete, you may end up more frustrated than not.
Tierra Linda Ranch attracts a certain type of homebuyer. Space, acreage, horse property or aircraft abilities all mean something to the right buyer. If you don’t know how to attract that buyer or have the right resources to market to those buyers, you may not get the traffic and attention the home really deserves.
Yes, it’s very possible for homeowners to sell their home but do you really have the time, the confidence on all the legal jargon and the knowledge of the market to price it correctly from the beginning, stage it properly and get the right buyers in the door? If so, go for it, but if you find yourself stuck, frustrated or on the market too long, give me a call.
Thank you for this guest post on FSBO’s by Vision Realty – For information on selling your home in Tierra Linda Ranch, give Tommy Taylor a call today!