For Sale By Owner (FSBO)
For Sale By Owner (FSBO)
For Sale By Owner, or FSBO, is a popular option for selling real estate properties. Quite simply, it entails selling a home without the assistance of a real estate agent. Whether you are buying or selling, there are a few things you should be aware of before making this decision. As there are both benefits and drawbacks to consider, you need to make sure this option is right for you, your specific needs, and your expectations.
BENEFITS
- You will avoid paying real estate agent fees and commissions
- Fees and commissions aside, FSBO may bring in more profit than traditional transactions performed by a realtor and/or real estate agency for the actual sale of the property
- From vetting buyers to staging the home, you control all aspects of the sale
- You personally know your home inside and out, so you can be the best advocate for your sale
DRAWBACKS
- Only licensed realtors can list properties with the MLS (Multiple Listing Service), which reaches a much wider audience of potential buyers than other platforms
- All the work that a real estate agent would take to sell your home becomes your responsibility - showing the property, advertising, determining fair and realistic pricing, paperwork, and much, much more.
- You are responsible for working with the buyer’s realtors, who may know more about the process than you. They will work for their client’s benefit, which leaves you to fend for yourself
- You are responsible for ensuring that every aspect of the sale is legal. Real estate agents are licensed and experienced in the process, so they can help navigate to protect both you and the seller