When selling properties, it is always a good idea to understand what is being asked of you, the seller. Many will attempt to sell their properties without an agent, and many will run into issues that they didn’t not account for. For sale by owner is like going skydiving with a sixty-year-old parachute, the odds of something going wrong are very high. Although there is potential to bypass losing commission to an agent, there is also a potential to lose much more money throughout the selling process. The 605 Advantage Group would like you to consider five things before attempting to list as “for sale by owner"
1. Knowledge and Time
In today's market, most home sellers and buyers believe that any question they may have, can be answered with a quick google search. We hate to be the bearer of bad news, but you will not have the insight on home type location and demographics,
that our agents would happily provide. The only way to potentially gain this type of information is to spend time learning the selling process and how to gather and read the data that can be collected. Without the knowledge that a quality real estate agent poses, there is potential to have things slip through the cracks. Showing the home is only part of the battle, could you show your home on a moments noticed? Do you have time to have a schedule for all of your showings, will you be able field questions in a timely manner? All things considered, time management and understanding the nuances of real estate will be critical to the success or failure of a for sale by owner listing.
2. Presentation and Marketing
Today's culture of fast media calls for the ability to produce eye catching media to make your home stick out from the rest. Will you be able to produce different forms of media, and advertise them in the most efficient way possible? Photos are not enough; are you prepared to present the house as a professional home seller. Will the home be professionally cleaned for any type of showing? Are you aware of the the demographics of the market you are trying to sell in? Are you able to make your home distinguishable from the other homes near your location? Again, this a critical due to the volume marketing and the importance of presentation, in person and through media.
3. Negotiation and Transaction Management
When selling your home, you may think that you have to have tough bravado to receive the offers that you are looking to receive. However, the golden rule of “treat others the way you want to be treated” is very true here. When you have a potential buyer there will be disagreements, but that is a part of negotiation. You will be able to gauge the buyer’s intent through consistent contact. Earnest money deposits are always helpful in understanding where the buy stands in terms of the negotiation, earnest money deposits keeps the buyer accountable throughout the negotiation. Transactions that are done during the selling process, if over looked, could be very costly. Not only will you need to track payments from the buyer, you must also be familiar with the different laws and regulations that the state or city have for selling homes. If you are not aware or, miss a step here it could cause legal trouble or the loss of a sale.
4. Inspection and Repair
When the time of inspection comes, be prepared to make some sort of repair or renovation. Although most home sellers are eager to do the renovations themselves, it is not a smart idea to attempt task that you have never done, on a house you are trying to sell. When the time comes that you are not able to make a repair, call a professional. Someone who can come on a moments notice, understand the repair, and handle the repair in a timely manner. After inspection, you will want to consider the repairs that are being ask of the homeowner. You must be able to balance cost and time efficient work, with quality that will pass any secondary inspection.
5. Closing the deal
When you getting towards the end of the selling process and you are approaching the closing process keep in mind that, the work is not over until the move in. Be prepared for the final walk through, make sure you are moved out of the home (preferably), make sure the house has been cleaned thoroughly. Lastly make sure that the home has passed all of the inspections and the home is in the best condition possible. Even after the final walk through you need to remain vigilant of the process the buyer is making on their side. If the buyer is not meeting deadline, that can cause trouble in your pockets. Paperwork will typically take time, so keep that in mind. When closing, keep Murphy’s law in the back of your head, “if something can go wrong, it will go wrong”, that is not meant to worry you as a seller, just to remind you that nothing will ever be perfect. Remain organized and efficient and the home selling process is much more manageable, with or without an agency.
When selling your home, without an agency you will want to jump right in, do a mile-long list of things, in a month, and consider your home sold. Don’t, take you time, be open to offers, treat people kindly, understand the business of real estate, and stay patient, everything will not go as smoothly as you want, but if you stay committed to the process of selling your home, you will get the result you want.