It is understandable that we all become attached to our homes. It is easy to believe emotionally that our
home is best and worth way more than our neighbor's home. Sometimes sellers are testing to see how much they can
sell for. But the wrong price will keep your home off of the sold list and eventually it will end up on the expired list.
2. Marketing
Beyond the sign you will put on your lawn, you should find effective ways
to spread the word about your home. Local buyers can be reached through the newspaper, but this is only a small part of the
market you are after. Be sure you include the many buyers who could already be working with a Realtor. To locate them, target
as many top agents as possible in your market to see if the criteria of their buyers matche that of your homes. Because out-of
town buyers are also an important target, you should create a strategy to reach these people as well.
You might want to take a look at these websites to post your advertisement.
But remember, advertising doesn't sell your property, real estate professionals
do. A recent study by the NAR (National Association
of Realtors) uncovered some interesting statistic estimates about 66% of buyers come from real estate
agents, only 8% of buyers come from advertisement. You might consider the fact that most buyers do use a real estate agent
because it doesn't cost them anything for the service (i.e. the seller pays the agent's fee).
3. Pre-qualify your prospects
Don't waste your time entertaining buyers who could never afford your home. Research their
financial steadiness with respect to job security.
4. Prepare yourself with all necessary legal documentation
Not surprisingly, there are many important legal contracts and documents which you must assemble, complete
and understand. A partial checklist of forms that you will require for prospective buyers and for legal documentation is as
follows:
Mortgage Payoff
Loan Application
Deposit Receipt
Property Profile Fact Sheet
Buyer's Cost Sheet
Closing & Settlement
Personal Property
Exclusion List
Property Survey
Sellers Statement /Plot Plan of Representation
How to Assess Your Net Gain
Be cautious as buyers, investors and speculators who seek out For Sale by Owners are typically those in search
of a bargain. The low-ball offers from these types of buyers will often net you much lower in the long run. What you will
have to judge for yourself is the following:
Be as prepared as possible with your marketing, negotiations, evaluations, showings and all legalities.
Consider what it will cost you to effectively market your home and assemble all necessary materials from
the For sale・sign to any contracts?
What price will a buyer offer you as a For Sale by Owner minus the costs identified in point 2 above. Is this net price higher than the price an experienced agent could net for you minus his/her commission?
