Many home sellers wonder if it is wise to go the FSBO or "For Sale By Owner" route rather than use a realtor. There is no fixed answer to this question because every seller's situation is different but according to National Association of Realtors Report there can be financial advantages to selling your home as a FSBO.
In a publicly released report by the National Association of Realtors (NAR), the conclusion was that people who sell "by Owner" or FSBO get closer to their actual asking price and actually sell their properties faster than those who sell their homes using a real estate agent. The general figures fall as follows: FSBO sellers receive 97 percent of their asking price and sellers using a real estate agent receive 96 percent of their asking price. Likewise, FSBO sellers generally sell their homes within 6 weeks and sellers using an agent sell within 10 weeks in an average market.
The NAR findings offer further evidence of the benefits of selling by owner. In separate studies completed by Northwestern University and Stanford University, it appears FSBO sellers were as effective as agents in optimizing the sales price of their homes. When commissions are factored into the equation, the studies concluded that sellers who sell "by owner" actually save more money and retain more equity than sellers who sell through agents.
Texas FSBO brings together home sellers and buyers that want to save time, money and streamline the selling and buying process. Texas FSBO offers cost effective marketing through the For Sale By Owner Magazine and their internet site. FSBO sites also offer a lot of educational material for both sellers and buyers including checklists, links to mortgage companies, Insurance companies, title companies, home inspectors, Appraisers, attorneys, home warranty companies and even moving companies.
There is no question that selling your property through FSBO requires more of your personal time, resources and energy but for those who have the time to commit to the process there is equity to be retained and money to be saved.
For buyers, an FSBO property can be a way to buy a property at a good price. It may not be the best method for first time buyers or out of state buyers, but if you have bought or sold a home previously, you are familiar with all the steps of the home buying process, you are a good negotiator, and you are buying locally, buyers can also benefit from better prices and terms.
FSBO is not for everyone. Inexperienced or first time buyers or sellers should think carefully about trying to go it alone because there are many things that can go wrong and professional advice can be a lifesaver in those situations. Before you make a decision to sell or buy using FSBO think carefully about your situation. Are you bound by a tight timeline? Are their potential problems with your home? Have you owned your home for a long time or only a short time? Do you have the time to stage your home, host open houses, market and show your property? Whether or not you choose to sell or buy a home using FSBO comes down to your own unique needs and your experience selling and buying property.
Whether you choose to partner with an agent or go it alone, we here at Texas Homes for Sale can help get your home sold!