Nowadays everyone has seen the signs in the front yard that say "For Sale By Owner," but what does this really mean? Is it going to be a legally correct deal for both parties? Does it really save money? Yes, but it does not require a little bit more work from everyone involved.
For Sale By Owner simply means there is no real estate involved in the process. The owner wants to act directly from showing to negotiations. There is a range of about 10-20 percent of a FSBO sale and the number goes up and down from year to year.
Why Would You Sell With A For Sale By Owner (FSBO)?
From the sellers point of view. 5-7% of the final sale price of the house when you deal with a real estate agent. As an example, if you have a home selling for 200K at 5% commission it would be $ 10,000 in commission fees. If they are able to sell their home without the use of a realtor they would save all that money.
Why Buy A FSBO Home?
From the buyers point of view the process of buying a good deal and what is not. The one big benefit is that you have direct communication with the person selling the home. Because there is no middle-one involved you can call the seller directly without having to deal with a real estate agent as a go-between. This means that buying can be done.
Things To Think About
If no agent is directly responsible. Having a real estate lawyer on your side can only cost a few hundred dollars, but it will take some of the best money you spend in the entire process.
Another thing to keep in mind is the price. As a seller it is easy for you to overprice your house to get the most out of your home. For the buyer you have to do more work yourself because there is no one guiding the process. For you to have your homework on the local markets and to ensure that you have the correct price on your home. Getting a valuation report can help you make the most of the rest of the market.
As of late there has been a lot of information about how to deal with the ins and outs of this type of deal. Sites like ForSaleByOwner.com and Zillow.com have a huge list of different FSBO homes and tips to make the process easier. Going to library or other book store wants to show you that there are a lot of books on the subject as well. Buying and selling a home is one of the most important financial transactions of all people's lives but it does not require a real estate agent.Immobilienmakler Heidelberg Makler Heidelberg
Source by Melissa Gifford